New Delhi: Marking a milestone in India’s defence modernisation, the Ministry of Defence on Thursday sealed a ₹62,370 crore contract with Hindustan Aeronautics Limited (HAL) for 97 Tejas Mk-1A fighter jets — the biggest-ever order for an indigenous aircraft.
The mega deal includes 68 single-seat variants and 29 twin-seat trainers for the Indian Air Force, with deliveries slated to begin in 2027-28 and completed within six years. The procurement falls under the Buy (India-IDDM) category of the Defence Acquisition Procedure 2020, underscoring the government’s thrust on self-reliance.
MoD signed a contract with @HALHQBLR for 97 LCA Mk1A aircraft (68 Fighters & 29 Twin Seaters) with associated equipment for the IAF at Rs 62,370 Cr (excl. taxes) under Buy (India-IDDM), today in New Delhi. The advanced LCA Mk1A integrates UTTAM AESA #Radar, Swayam Raksha Kavach &… pic.twitter.com/Bwm8WlsITq
— Ministry of Defence, Government of India (@SpokespersonMoD) September 25, 2025
The order comes just as the IAF retires its last two MiG-21 squadrons on September 26, turning a historic page in its fleet transition. The Tejas Mk-1A will step in as their successor, boasting over 64% indigenous content and 67 new upgrades compared to the earlier 2021 order of 83 jets.
Among the advanced systems onboard are the UTTAM AESA radar, the Swayam Raksha Kavach electronic warfare suite, and indigenous actuators — strengthening both combat capability and India’s defence ecosystem.
With more than 105 Indian firms in the supply chain, the programme is projected to create nearly 11,750 jobs annually during the production run. Meanwhile, a separate deal for 113 GE F-404 engines to power the jets has also been finalised, with a formal announcement expected soon.
In a major boost to the ‘Aatmanirbhar Bharat’ initiative of the Government, the Ministry of Defence today signed a contract with the Hindustan Aeronautics Limited (HAL) for procurement of 97 Light Combat Aircraft (LCA) MK 1A (68 Fighters and 29 Twin Seaters) for the Indian Air… https://t.co/A5GxzeSNAt
— Rajnath Singh (@rajnathsingh) September 25, 2025
Defence analysts say the contract not only cements the Tejas as the backbone of the IAF’s light combat fleet but also signals India’s decisive shift towards homegrown military aviation.
