Amid IAF's Depleting Airlift Capabilities, Defence Ministry to Pit Global Giants for $5B 'Make in India' MTA Contract

Amid IAF's Depleting Airlift Capabilities, Defence Ministry to Pit Global Giants for $5B 'Make in India' MTA Contract


The Ministry of Defence is preparing to launch a global tender for the acquisition of 60 to 80 Medium Transport Aircraft (MTA) in a deal estimated to be worth over $5 billion.

This significant procurement aims to urgently address the Indian Air Force's (IAF) critically declining transport capabilities and bolster the nation's self-reliance in defence manufacturing under the 'Make in India' initiative.

The program, revived after years of delay, will seek strategic partnerships between international aviation leaders and Indian companies to produce the aircraft domestically.

The new fleet is slated to replace the IAF's ageing Soviet-era Antonov An-32 and Ilyushin Il-76 aircraft.

These platforms, which have formed the core of India's tactical airlift for decades, are now facing significant operational and maintenance issues, with the serviceability rate of the An-32 fleet reportedly falling below 50%.

This decline severely hampers the IAF's ability to conduct rapid troop and equipment deployment, especially to high-altitude forward bases along India's northern borders.

The MTA will fill a crucial payload gap between 18 and 30 tonnes, enhancing logistics for both military operations and humanitarian assistance and disaster relief (HADR) missions.

The multi-billion dollar contract has attracted three major international aerospace firms, each of which has partnered with an Indian industrial giant to meet the stringent local production requirements.
  • Embraer C-390M Millennium: The Brazilian aerospace champion is offering its jet-powered C-390M aircraft in collaboration with Mahindra Defence. The C-390M is promoted as a versatile, new-generation platform capable of performing various roles, including troop and cargo transport, aerial refueling, and medical evacuation. The partnership aims to establish a final assembly line in India, creating a local industrial base.
  • Lockheed Martin C-130J-30 Super Hercules: The American defence major, in partnership with Tata Advanced Systems Limited (TASL), is offering the C-130J-30, a stretched version of the Super Hercules. The IAF already operates a fleet of 12 C-130J aircraft, and this proposal offers the advantage of fleet commonality and proven performance in challenging environments, including short, unprepared airstrips in the Himalayas.
  • Airbus A400M Atlas: European consortium Airbus is proposing its larger A400M Atlas, which has a payload capacity of 37 tonnes, potentially with TASL. This partnership would leverage the existing collaboration between Airbus and Tata for manufacturing the C-295 transport aircraft in Vadodara, Gujarat. The A400M would provide the IAF with a significant strategic airlift capability, bridging the gap between medium and heavy-lift assets.
While a proposal for the Russian IL-276 aircraft in partnership with Hindustan Aeronautics Limited (HAL) is also under consideration, recent geopolitical developments and India's focus on diversifying its military hardware sources have placed the Western contenders in a more favorable position.

The forthcoming tender is expected to mandate a minimum of 50-60% indigenous content, emphasizing technology transfer, local manufacturing, and the development of a domestic aerospace ecosystem.

Defence experts have described the procurement as essential and long overdue. The selection process, which follows a Request for Information (RFI) issued in December 2022, is expected to last between 18 and 24 months after the formal tender is released.

The first deliveries of the new aircraft are anticipated to begin around 2030, eventually restoring the operational edge of the IAF's vital airlift arm.
 

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