The Indian Air Force (IAF) is seeking to rapidly increase its fighter squadron numbers and has recommended that a private sector company take the lead in manufacturing the aircraft selected under the upcoming Multi-Role Fighter Aircraft (MRFA) tender.
This significant recommendation, aimed at boosting India's defense production capabilities, was recently presented to the Ministry of Defence (MoD).
The MRFA tender, expected to be issued later in 2025, aims to acquire 114 advanced fighter jets to modernize the IAF's fleet. This recommendation was part of a comprehensive set of proposals delivered by a high-level MoD committee charged with addressing the IAF's pressing operational needs.
The MRFA program is a critical element of the IAF's modernization plan. It's designed to supplement the domestically produced Light Combat Aircraft (LCA) Tejas and the existing Sukhoi Su-30 MKI fleet, while also replacing aging aircraft, such as the MiG-21, which are being phased out.
The IAF currently operates 31 fighter squadrons, significantly below the authorized strength of 42, highlighting the urgent need for new aircraft inductions.
The MRFA initiative falls under the "Buy Global – Make in India" category, emphasizing substantial domestic manufacturing and transfer of technology, which supports the Indian government's goal of achieving self-sufficiency in defense production.
The IAF's suggestion to involve the private sector is driven by the current workload of Hindustan Aeronautics Limited (HAL), the state-owned aerospace company.
HAL is currently tasked with producing 83 Tejas Mk1A jets, with a potential order for 97 more. Additionally, HAL is involved in the development of the Tejas Mk2, supporting the Advanced Medium Combat Aircraft (AMCA) program, and manufacturing trainer aircraft like the HTT-40.
Due to these extensive commitments, the IAF believes involving a private sector firm will ensure the MRFA program proceeds on schedule.
"Given HAL's existing commitments, incorporating a private sector partner will not only accelerate the MRFA project but also strengthen India's overall defense manufacturing capabilities," a senior IAF official stated during recent discussions.
The MoD panel's recommendations, submitted in early 2025, reportedly support this view, suggesting that a private company collaborate with the chosen foreign Original Equipment Manufacturer (OEM) to create a new production facility in India.
The MRFA tender is anticipated to draw interest from major international aerospace companies, including Dassault Aviation (offering the Rafale), Boeing (with the F/A-18 Super Hornet), Lockheed Martin (proposing the F-21), Eurofighter GmbH (presenting the Typhoon), and Saab (offering the Gripen E).
The selected bidder will be required to partner with an Indian company. The IAF's recommendation indicates a preference for a private entity over HAL for this partnership.
This could present significant opportunities for Indian defense companies like Tata Advanced Systems, Larsen & Toubro, and Reliance Defence, potentially marking a major shift in India's private defense sector.
The number of IAF squadrons has fallen far below the authorized strength of 42 squadrons over the last 20 years. According to the Standing Committee on Defence March 2023, this number could fall even further over the next 10-15 years.
The MoD panel's report, which is expected to influence the final tender specifications, is in line with earlier statements made by IAF Chief Air Chief Marshal A.P. Singh, who emphasized the necessity of producing 35-40 fighter jets per year to maintain operational readiness.
By leveraging the capabilities of the private sector, the IAF aims to complement HAL's output and speed up the introduction of modern fighter aircraft. This strategy is considered a practical solution to the delays encountered in indigenous programs like the Tejas Mk2 and AMCA, which, while promising, are not yet ready to meet the IAF's immediate operational needs.
