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The Ministry of Defence (MoD) and Hindustan Aeronautics Limited (HAL) are set to sign a landmark contract for the procurement of 97 more Tejas Mk-1A fighter jets, in a deal valued at Rs 66,500 crore. This marks the largest contract in the history of the Tejas Mk-1A programme and is expected to significantly enhance the Indian Air Force’s operational capabilities.

The proposal received its initial clearance from the Defence Acquisition Council (DAC) on 30 November 2023, followed by the issuance of the Request for Proposal (RFP) on 13 April 2024. The Cabinet Committee on Security (CCS) gave the final nod on 19 August 2025, paving the way for today’s signing.

The Tejas Mk-1A jets currently operate with GE-supplied engines, while HAL is working towards higher indigenisation for future production. The aircraft will be manufactured at HAL’s Bengaluru and Nashik facilities. To meet delivery schedules, HAL is increasing its annual production from 18 jets to 28 jets.

This procurement will expand the Tejas Mk-1A fleet of the Indian Air Force, supporting the government’s ‘Atmanirbhar Bharat’ initiative and strengthening domestic defence manufacturing. The additional aircraft are expected to enhance operational readiness across multiple bases and reduce reliance on imported fighter jets.

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