The Ministry of Defence is anticipated to soon commence the procurement of medium transport aircraft (MTA) to enhance the airlift capabilities of the Indian Air Force. According to individuals familiar with the situation, three international aircraft manufacturers are likely to compete for this contract, as reported on Thursday.

The Defence Acquisition Council, which is the highest military procurement authority in India, is expected to grant its Acceptance of Necessity (AoN) for the acquisition of up to 80 transport planes by the end of December. This will lead to the issuance of a tender in early 2026, as stated by the sources who requested anonymity. According to India’s defence procurement regulations, the AoN from the council represents the initial step towards the purchase of military equipment.

The contenders for this contract include the US company Lockheed Martin with its C-130J Super Hercules aircraft, the Brazilian manufacturer Embraer offering its KC-390 Millennium aircraft to India, and the European firm Airbus Defence and Space with its A-400M. This three-way competition to supply the Indian Air Force with 40 to 80 aircraft aligns with the government’s Make in India initiative aimed at enhancing self-reliance in the defence manufacturing sector. The successful bidder will establish a production line for these aircraft in India.

The Indian Air Force (IAF) is in search of a new transport aircraft with a cargo capacity ranging from 18 to 30 tonnes to address its increasing airlift requirements.

“The IAF currently operates the C-130Js and is satisfied with its performance, versatility, and reliability. The necessary infrastructure for maintenance and training is already established. We anticipate commencing operations promptly,” stated Roderick M McLean, vice president of air mobility and maritime missions at Lockheed Martin.

 

The American company has partnered with Tata Advanced Systems Limited (TASL), while Embraer has collaborated with Mahindra to submit a bid for the contract. In contrast, Airbus has yet to disclose its partnership plans.

The C-130J has a load capacity of 20 tonnes, whereas the KC-390 can carry 26 tonnes, and the A-400M has a capacity of 37 tonnes.

Approximately three years ago, the IAF sought information regarding the Multi-Role Transport Aircraft (MTA) from foreign original equipment manufacturers (OEMs). The requested information encompassed the scope of technology transfer, strategies to enhance indigenisation, and the establishment of a dedicated manufacturing line, which includes design, integration, and manufacturing processes within India. Additionally, it sought the capability for indigenous production of systems, subsystems, components, and spares, as well as the potential for India to become a regional or global hub for manufacturing and maintenance, repair, and overhaul (MRO) of the equipment.

Lockheed Martin and TASL are currently establishing a Maintenance, Repair, and Overhaul (MRO) facility in Bengaluru to support the Indian Air Force’s (IAF) current fleet of 12 C-130Js, in addition to other global Super Hercules fleets. According to McLean, the MRO facility is expected to be operational by early 2027.

Additionally, Airbus is collaborating with TASL on a ₹21,935-crore project aimed at providing the air force with 56 C-295 aircraft to enhance its transport capabilities. In the defense sector, Embraer has delivered eight jets to India thus far for VVIP travel and for use as airborne early warning and control aircraft.