Prime Minister Narendra Modi will on Sunday lay the foundation stone of a manufacturing facility in Gujarat's Vadodara for the production of C-295 transport aircraft for the IAF by a consortium of European defence major Airbus and Indian conglomerate Tata, in what is billed as a major boost to the domestic aerospace sector.
Making the announcement at a media briefing, Defence Secretary Ajay Kumar said the facility will cater to the export of the aircraft as well as for additional orders by the Indian Air Force.
In September last year, India sealed an over Rs 21,000 crore deal with Airbus Defence and Space to procure 56 C-295 aircraft to replace the ageing Avro-748 planes of the IAF.
Under the agreement, Airbus will deliver the first 16 aircraft in 'fly-away' condition from its final assembly line in Seville, Spain within four years and the subsequent 40 aircraft will be manufactured and assembled by Tata Advanced Systems (TASL) in India as part of an industrial partnership between the two companies.
It is the first project of its kind in which a military aircraft will be manufactured in India by a private company. The total cost of the project is Rs 21,935 crore. The aircraft can be used for civilian purposes as well.
Kumar said, "96 per cent of the work that Airbus does at its facility in Spain will be done in India", adding it would not include the engine of the aircraft.
The foundation laying ceremony in Vadodara will also be attended by Defence Minister Rajnath Singh, Civil Aviation Minister Jyotiraditya Scindia and Gujarat Chief Minister Bhupendrabhai Patel among others.
"The first 16 fly-away aircraft are scheduled to be received between September 2023 and August 2025. The first Made-in-India aircraft is expected in September 2026," Kumar said, speaking from Kerala through video conference.
IAF Vice Chief Air Marshal Sandeep Singh suggested that the aircraft would be able to operate from Advanced Landing Grounds (ALGs) and even unprepared runways.
He said the aircraft can carry around 40-45 paratroopers or around 70 passengers.
"This is for the first time, the C-295 aircraft will be manufactured outside of Europe. This is very significant for the domestic aerospace sector," Kumar said.
He said all 56 aircraft will be fitted with indigenous Electronic Warfare suite to be developed by state-run Bharat Electronics Ltd and Bharat Dynamics Ltd.
“After completion of delivery of 56 aircraft to IAF, Airbus Defence and Space will be allowed to sell the aircraft manufactured in India to civil operators and export to countries which are cleared by the government of India,” he said.
The C-295MW is a transport aircraft of 5-10 tonne capacity with contemporary technology that will replace the ageing Avro aircraft of IAF.
It has a rear ramp door for quick reaction and para-dropping of troops and cargo. Short take-off and landing from semi-prepared surfaces are its other features. The aircraft is set to strengthen the logistic capabilities of the IAF.
"The project offers a unique opportunity for the Indian private sector to enter into technology-intensive and highly competitive aviation industry. It will augment domestic aviation manufacturing resulting in reduced import dependence and expected increase in exports," Kumar said.
The defence ministry said manufacturing of over 13,400 detail parts, 4,600 sub-assemblies and all the seven major component assemblies will be undertaken in India.
It said various systems such as engines, landing gear and avionics will be provided by Airbus Defence and Space and integrated into the aircraft by the TATA Consortium.
The aircraft will be tested as an integrated system by the TATA Consortium. The aircraft will be flight tested and delivered through a delivery centre at the TATA Consortium facility.
Kumar said the TATA Consortium has identified more than 125 in-country MSME suppliers spread over seven states.
The defence ministry said this will act as a catalyst in employment generation in the aerospace ecosystem of the country and is expected to generate 600 highly skilled jobs directly, over 3,000 indirect jobs and an additional 3,000 medium-skill employment opportunities with more than 42.5 lakh man hours of work within the aerospace and defence sector.
Nearly 240 engineers will be trained at the Airbus facility in Spain for the project.
Officer on Special Duty, Department of Defence Aramane Giridhar, who will take charge as the next defence secretary, was also present at the press conference.