In a historic move for Indian defence and aerospace, the government has signed a Rs 62,370 crore deal with Hindustan Aeronautics Limited (HAL) for the procurement of 97 Tejas Mark-1A fighter jets. This agreement marks the largest-ever order for an indigenous combat aircraft in India’s history and gives a significant boost to the Indian Air Force (IAF) as it modernizes its fleet.
Under this contract, 68 single-seat fighters and 29 trainer versions of the Tejas Mk-1A will be delivered. The induction of these aircraft is scheduled to commence in 2027-28 and will be completed over the next six years. The deal comes at a critical time as the IAF retires its remaining MiG-21 squadrons, making way for a new era of advanced indigenous aircraft.
The Tejas Mk-1A stands out for its high indigenous content—over 64% of its systems are made in India. Key technologies such as the UTTAM AESA radar and Swayam Raksha Kavach electronic warfare suite are Indian-developed, enhancing both capability and self-reliance. The procurement, classified under the ‘Buy (India-IDDM)’ programme, supports the government’s Atmanirbhar Bharat vision, aiming to make India increasingly self-sufficient in defence production.
This project is expected to generate close to 12,000 jobs annually, directly and indirectly, benefitting over 100 Indian companies involved in the supply chain. The deal also lays the groundwork for deepening local expertise in high-end aerospace manufacturing and technology.
Moreover, a separate engine deal with General Electric for 113 F-404 engines has been finalized, ensuring that advanced technology and reliable powerplants will support the Tejas Mk-1A’s missions.
The new fleet will perform a wide range of roles, from air defence to maritime operations and strike missions. With this order, the IAF aims to strengthen its operational capability, keep pace with regional security challenges, and transition from legacy platforms to cutting-edge indigenous technology.
