India has decided to buy 56 C-295MW transport aircraft from Airbus Defence and Space for the Indian Air Force (IAF). The deal is expected to cost about USD2.5 billion.
The Cabinet Committee on Security on Wednesday gave its approval. “Sixteen aircraft will be delivered in flyaway condition from Spain within 48 months of signing of the contract and 40 aircraft will be manufactured in India by TATA Consortium within 10 years of signing of the contract,” a defence ministry official informed.
The C-295MW aircraft is a transport aircraft of 5-10 tonne capacity with contemporary technology that will replace the ageing Avro aircraft of the IAF.
This is the first project of its kind in which a military aircraft will be manufactured in India by a private company.
All 56 aircraft will be installed with indigenous Electronic Warfare Suite. The aircraft has a rear ramp door for quick reaction and para dropping of troops and cargo, the official said.
The project will give a boost to aerospace ecosystem in India wherein several MSMEs spread over the country will be involved in manufacturing of parts of the aircraft.
“The programme will provide major boost to the mission “self reliance” of the government as it offers a unique opportunity for the Indian private sector to enter into technology intensive and highly competitive aviation Industry. The project will augment domestic aviation manufacturing resulting in reduced import dependence and expected increase in exports,” the official added.
Before completion of deliveries, ‘D’ Level servicing facility (MRO) for C-295MW aircraft are scheduled to be setup in India. It is expected that this facility will act as a regional MRO hub for various variants of C-295 aircraft.
In addition, the OEM will also discharge its offset obligations through direct purchase of eligible products and services from Indian offset partners giving further boost to economy.
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