627: INVOLVEMENT OF THE PRIVATE SECTOR IN INDIAN FIGHTER JET PRODUCTION

 

My Article published on the Chanakya Forum Website

on 24 Mar 25.

 

A recent Indian defence committee has recommended increasing private sector participation in military aircraft manufacturing to enhance the Indian Air Force’s capabilities. The committee, led by the defence ministry’s top bureaucrat, submitted its report to Defence Minister Rajnath Singh, who has directed that the recommendations be implemented promptly. The report emphasises the need for private companies to work alongside Defence Public Sector Undertakings (DPSUs) and the Defence Research and Development Organisation (DRDO) to achieve self-reliance in aerospace manufacturing. It suggests implementing short-, medium–, and long-term measures to expedite the production of Light Combat Aircraft (LCA) variants, including Mk-1, Mk-1A, and Mk-2, to address delays and strengthen the IAF’s operational readiness.

India’s aerospace and defence sector has undergone significant transformation in recent decades, evolving from a predominantly state-controlled domain to increasingly embracing private sector participation. Fighter jet production, a critical component of national defence, has traditionally been the preserve of public sector undertakings (PSUs) like Hindustan Aeronautics Limited (HAL). However, with the government’s push for indigenisation, self-reliance, and modernisation under initiatives like “Make in India,” the private sector is emerging as a vital player in this high-stakes industry. This article examines the intricacies of how private companies contribute to India’s defence capabilities and what lies ahead for this evolving partnership.

 

Historical Context

India’s journey into fighter jet production began in the mid-20th century, heavily reliant on foreign technology and licensing agreements. The 1960s saw HAL commence production of the Soviet-designed MiG-21 under license, marking the start of India’s aircraft manufacturing journey. Over the years, HAL expanded its portfolio, producing aircraft like the Jaguar, Mirage 2000, and Su-30 MKI, all under similar arrangements with foreign OEMs. These efforts established HAL as the cornerstone of India’s defence aviation industry, supported by other PSUs and the Defence Research and Development Organisation (DRDO).

The push for Indigenous fighter jet development gained momentum with the HF-24 Marut, designed by German engineer Kurt Tank in the 1960s. However, the Light Combat Aircraft (LCA) Tejas program, initiated in the 1980s by the Aeronautical Development Agency (ADA) with HAL as the production partner, represented a significant leap towards self-reliance. The Tejas, inducted into the Indian Air Force (IAF) in 2016, showcased India’s ability to design and build a modern fighter jet, albeit with substantial reliance on imported components.

Historically, private sector involvement in fighter jet production was minimal. The defence sector’s strategic importance, high capital requirements and restricted access to advanced technology confined manufacturing to PSUs. While effective in establishing a foundational aerospace industry, this PSU-centric model faced limitations in scalability, innovation, and meeting the IAF’s growing demands, setting the stage for private sector inclusion.

 

Policy Changes Enabling Private Sector Participation

A series of progressive policy reforms have driven the shift towards private sector involvement in defence manufacturing, including fighter jets. Launched in 2014, the “Make in India” initiative sought to bolster domestic manufacturing and reduce import dependency, with defence identified as a priority sector. This program encouraged private companies to participate in defence production by fostering a conducive business environment and promoting collaborations with global players.

A pivotal policy change was the liberalisation of Foreign Direct Investment (FDI) in defence. Previously capped at 26%, the FDI limit was raised to 74% under the automatic route in 2020, with provisions for up to 100% on a case-by-case basis for critical technologies. This opened doors for foreign OEMs to invest in India, often in partnership with private Indian firms, facilitating technology transfer and capacity building.

The Strategic Partnership (SP) Model, introduced in the 2017 Defence Procurement Procedure (DPP), marked another milestone. Designed to foster long-term collaborations between private Indian companies and foreign OEMs, the SP Model identifies private firms as Strategic Partners in manufacturing major defence platforms, including fighter aircraft. The selection process emphasises financial stability, technical expertise, and manufacturing capabilities to create a robust domestic defence industrial base.

Revisions to the DPP further supported this shift. The DPP 2016 introduced the “Buy (Indian-IDDM)” category—Indigenously Designed, Developed, and Manufactured—prioritising equipment with at least 40% Indigenous content. Offset clauses in defence contracts, mandating foreign vendors to invest a percentage of the contract value in India, have also incentivised partnerships with private companies. These policies collectively signal a departure from the PSU monopoly, inviting private sector innovation and investment.

 

Current Involvement of the Private Sector

The private sector’s role in Indian fighter jet production is multifaceted, spanning manufacturing, supply chain contributions, and support services. While HAL remains the primary assembler of fighter jets like the Tejas, private companies are increasingly integrated into the production ecosystem.

Supply Chain Contributions. In the Tejas program, private firms supply critical components and sub-systems. Dynamatic Technologies, for instance, manufactures the front fuselage of the Tejas, demonstrating the precision and reliability private players can offer. Larsen & Toubro (L&T) contributes to various aerospace projects, leveraging its engineering expertise, while Tata Advanced Systems Limited (TASL) participates in component manufacturing and assembly processes. These collaborations reduce HAL’s burden and enhance production efficiency, paving the way for a more robust and agile production ecosystem.

Offset Obligations.  Major defence deals have catalysed private sector involvement. The 2016 Rafale deal with France’s Dassault Aviation, involving 36 fighter jets, included offsets worth billions. Reliance Defence and Engineering partnered with Dassault to fulfil these obligations, producing components and establishing a manufacturing facility in Nagpur. Such partnerships generate business for private firms, facilitating skill development and technology absorption.

Maintenance, Repair, and Overhaul (MRO). Beyond production, private companies are making inroads into MRO services, which are essential for maintaining fighter jet fleets. TASL has established advanced MRO facilities that service military and civilian aircraft, while Mahindra Defence Systems supports aerospace equipment. These services ensure operational readiness, a critical factor given the IAF’s ageing fleet.

Emerging Technologies. Some private firms are exploring adjacent fields like Unmanned Aerial Vehicles (UAVs). Companies like TASL and Adani Defence & Aerospace are developing drones and building aerospace expertise that could eventually support fighter jet programs. While UAVs differ from manned fighters, the technological overlap strengthens the private sector’s aerospace capabilities.

Technology Transfer and Innovation. Technology transfer remains a cornerstone of private sector growth. Collaborations with foreign OEMs provide access to advanced systems, such as radar and propulsion technologies, while joint ventures encourage co-development. Private firms also invest in innovation, exploring additive manufacturing (3D printing) and artificial intelligence to streamline production and reduce costs. Over time, these efforts could lead to fully indigenous fighter jet designs.

Role of MSMEs. Micro, Small, and Medium Enterprises (MSMEs) are the backbone of the aerospace supply chain. These firms produce smaller components—fasteners, wiring harnesses, and sub-assemblies—supporting larger private companies and PSUs. By integrating MSMEs, the industry can enhance efficiency and scalability, fostering a broader industrial ecosystem and providing opportunities for growth and innovation.

 

Key Defence Production Private Companies. Several private companies have shown interest in participating in fighter jet manufacturing, either independently or in collaboration with HAL and foreign OEMs.

    • Tata Advanced Systems Limited (TASL) has emerged as a leader in India’s private aerospace sector. Its joint venture with Lockheed Martin to produce aero structures, including wings for the C-130J Super Hercules, showcases its manufacturing prowess. Although the F-16 production proposal did not materialise, TASL’s capabilities position it for future fighter jet projects.
    • Mahindra Defence Systems. Mahindra has leveraged its automotive expertise to enter defence manufacturing, supplying aircraft components and expressing interest in the SP Model. Its partnership with Airbus for helicopter components reflects its ambition to expand into fighter jet production.
    • Larsen & Toubro (L&T). L&T’s decades-long experience in defence engineering includes contributions to the Tejas and other platforms. Its advanced manufacturing facilities and focus on precision engineering make it a strong contender in aerospace production.
    • Adani Defence & Aerospace. It aims to enhance India’s self-reliance in defence manufacturing. While active in UAVs, avionics, and MRO, it seeks partnerships for fighter jet production but lacks an indigenous fighter aircraft program.

 

Challenges Faced by Private Companies

Private companies face significant hurdles in entering fighter jet production despite growing involvement.

    • High Capital Investment. Aerospace manufacturing demands substantial upfront investment in infrastructure, technology, and skilled manpower. The long gestation periods before returns materialise deter many firms, particularly more minor players.
    • Technological Barriers. Fighter jet production requires mastery of complex technologies—avionics, propulsion, and materials science—that PSUs like HAL have developed over decades. Private companies often lack this expertise, relying on foreign partnerships that may limit technology transfer.
    • Bureaucratic Procurement Processes. The defence procurement system is notoriously complex, with lengthy tendering, evaluation, and approval stages. This can discourage private firms accustomed to faster commercial cycles.
    • Competition with PSUs. HAL’s entrenched position and government backing create an uneven playing field. Private companies must compete with HAL’s economies of scale and establish relationships with the IAF.
    • Quality and Certification. Fighter jets demand uncompromising quality and safety standards. Private firms must navigate rigorous certification processes, such as those mandated by the Centre for Military Airworthiness and Certification (CEMILAC), adding time and cost.

 

Future Prospects

The private sector’s role in Indian fighter jet production is set for significant expansion, driven by policy continuity, market demand, and technological advancements. Government initiatives such as Atmanirbhar Bharat and the Defence Acquisition Procedure (DAP) foster a stable investment climate, encouraging private firms to engage in aerospace manufacturing. Policy measures like strategic partnerships and increased foreign direct investment (FDI) limits further enhance private sector participation.

Market demand is another key driver. The Indian Air Force (IAF) is undergoing rapid modernisation, with plans to replace ageing aircraft and induct advanced fighters. Additionally, India’s ambition to become a defence exporter presents lucrative opportunities for private companies. Countries in Southeast Asia, the Middle East, and Africa could become potential buyers, bolstering the case for increased private production.

Technological advancements are also reshaping the industry. Additive manufacturing, artificial intelligence, and advanced materials reduce entry barriers and enable new players to contribute. Collaborations with global aerospace firms can further accelerate technology absorption.

However, for private firms to succeed, key enablers must be addressed. Streamlining procurement processes, enhancing R&D funding, and developing a skilled workforce are critical. Bureaucratic hurdles and financial constraints have historically hindered private participation, but targeted reforms could unlock their full potential. If these challenges are managed effectively, private companies could be pivotal in next-generation fighter projects like the Advanced Medium Combat Aircraft (AMCA). This would strengthen India’s defence manufacturing ecosystem and enhance its strategic autonomy in aerospace technology.

Conclusion

The involvement of the private sector in Indian fighter jet production marks a paradigm shift from a PSU-dominated landscape to a collaborative ecosystem. While challenges like capital intensity and technological gaps persist, the opportunities—driven by policy reforms, IAF requirements, and global partnerships—are immense. Companies like TASL, Mahindra, and L&T exemplify the potential of private enterprises to enhance India’s defence capabilities. As the nation strives for self-reliance, the private sector’s role will be pivotal in shaping a robust, innovative, and competitive aerospace industry, ensuring that India’s fighter jets soar not just in the skies but also as symbols of industrial prowess and strategic autonomy.

 

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INVOLVEMENT OF THE PRIVATE SECTOR IN INDIAN FIGHTER JET PRODUCTION

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Information and data included in the blog are for educational & non-commercial purposes only and have been carefully adapted, excerpted, or edited from reliable and accurate sources. All copyrighted material belongs to respective owners and is provided only for wider dissemination.

 

References:-

  1. Singh, Abhijit. “Public-Private Partnership in Indian Defence Manufacturing: A Strategic Perspective.” Journal of Defence Studies, vol. 16, no. 2 (2023): 51-78.
  1. Raghavan, Ramesh. “The Role of Private Companies in Defence Production: Lessons from Global Models.” Strategic Analysis, vol. 45, no. 1 (2022): 29-50.
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  1. Sharma, Arvind. “HAL and the Evolving Role of Indian Private Defence Firms.” Journal of Defence Research and Development, vol. 19, no. 4 (2023): 88-105.
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  1. Mitra, Joydeep. “The Rafale Offset Deal: How Private Companies are Gaining from India’s Fighter Jet Deals.” Business Standard, September 25, 2023.
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  1. Observer Research Foundation (ORF). Public-Private Collaboration in Indian Defence: Global Lessons and Local Challenges. ORF Special Report, 2022.
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  1. Carnegie India. India’s Fighter Jet Ecosystem: Bridging the Capability Gap through Private Sector Involvement. New Delhi: Carnegie India, 2023.
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625: F-35 DILEMMA REVISITED: BALANCING AFFORDABILITY, CAPABILITY AND TRADE-OFFS.

 

My Article published on the EurasianTimes Website on 19 Mar 25.

 

In an interesting development, Portugal, Canada, and Germany are hesitating over the F-35. These developments can be both a challenge and an opportunity for India, whether India should jump into the fray and take the risk or stay away.

 

Indian Worries. India’s worries include operational and maintenance challenges, US policy uncertainty and technology transfer issues. Countries reconsidering their F-35 purchases usually cite concerns about high operational costs, maintenance complexities, and reliability issues. If a country like Canada, with a strong NATO supply chain, has problems, India, without an established F-35 ecosystem, could face serious logistics nightmares. India has historically struggled with restrictive American defence deals (e.g., CAATSA concerns with Russia). If Canada and Portugal are reconsidering under U.S. influence, India’s potential F-35 deal might come with diplomatic strings attached. Moreover, the U.S. is unlikely to share deep tech integration rights.

 

Opportunity. On the bright side, the cancellations by these countries could open up production slots, potentially leading to expedited deliveries if India proceeds with an F-35 deal. Furthermore, under these circumstances, Lockheed Martin may be more accommodating in pricing or support agreements with India. A limited number of F-35s could act as a stepping stone to India’s indigenous AMCA program, providing valuable 5th-gen combat experience until India develops its own.

 

Balancing Affordability and Capability.  Balancing affordability and capability in fighter acquisition programs is a complex and intellectually stimulating challenge in defence procurement. Modern fighter jets, with their advanced avionics, stealth technology, and weapons systems, are not just engineering marvels but also strategic assets that can dominate air, land, and sea. However, these capabilities come at a steep cost, and governments must grapple with budgetary constraints while ensuring their air forces remain capable of addressing current and future threats.

 

Trade-offs. Understanding and navigating the myriad trade-offs in fighter aircraft acquisition programs are a cornerstone of defence procurement. Balancing performance, cost, operational requirements, and strategic objectives is a complex task that governments and military planners must master to ensure optimal capability within the constraints of their resources. This knowledge empowers decision-makers and enhances the effectiveness of defence strategies.

 

Trade-Offs for Consideration in Fighter Acquisition Programs

Cost vs. Capability. A fundamental trade-off in fighter acquisition is between cost and capability. High-end fifth-generation fighters like the F-35 and the F-22 offer unparalleled performance but come at an exorbitant price. More cost-effective alternatives, such as the F-16 or the Gripen, may lack some advanced features but remain viable options for many air forces. Nations must decide whether to prioritise cutting-edge technology or opt for a more extensive fleet with slightly reduced capabilities.

 

Multirole Flexibility vs. Specialisation. Many modern fighters, such as the F-35 and Rafale, are designed as multirole platforms capable of performing air-to-air, air-to-ground, and electronic warfare missions. This flexibility reduces fleet diversity but may lead to compromises in specific roles. In contrast, specialised aircraft like the A-10 Thunderbolt II excel in close air support but lack air superiority capabilities. Decision-makers must weigh whether a single multirole platform meets their needs or if specialised aircraft are necessary.

 

Short-Term vs. Long-Term Investment. Some nations prioritise acquiring proven, off-the-shelf platforms that provide immediate operational capability, while others invest in the long-term development of next-generation aircraft. The former minimises short-term risks but may become outdated sooner. The latter approach, seen in programs like the Tempest and NGAD, is high-risk but ensures future technological superiority.

 

Fleet Size vs. High-End Technology. Budget constraints often force militaries to choose between a more extensive fleet of less advanced fighters or a smaller number of top-tier aircraft. A more comprehensive fleet provides more coverage and sortie rates, while a smaller fleet of high-end fighters offers superior combat capability. For instance, many nations supplement their fleets of expensive stealth aircraft with cheaper fourth-generation fighters to maintain numbers.

 

Capability vs. Quantity. Nations must decide between procuring fewer advanced jets or a more extensive fleet of less capable aircraft. For instance, the U.S. chose to supplement its high-end F-22 fleet with the more affordable F-35, while countries like China and Russia have emphasised quantity to ensure strategic depth.

 

Indigenous Development vs. Foreign Procurement. Countries face a strategic choice between developing domestic fighter programs and purchasing from foreign suppliers. Indigenous programs, such as India’s Tejas/AMCA or South Korea’s KF-21, promote self-sufficiency but require significant research and industrial infrastructure investment. Buying foreign jets ensures immediate capability but can lead to dependency on external suppliers.

 

Indigenous Fighter Development for Cost-Effectiveness. India’s HAL Tejas was developed to reduce reliance on foreign fighters while maintaining affordability. Designed with modular upgrades in mind, the Tejas has gradually improved with better radar, weapons integration, and avionics. Despite delays in development, its affordability compared to Western counterparts has made it an attractive option for India’s long-term air power strategy.

 

Balancing Affordability and Capability

Balancing affordability and capability in fighter acquisition programs is a complex but essential task for modern air forces. Governments must ensure that their aircraft provide operational effectiveness without exceeding budgetary constraints. The following best practices help achieve this balance.

 

Comprehensive Lifecycle Planning. A fighter jet’s cost extends far beyond its initial acquisition price. Governments must consider long-term expenses, including operation, maintenance, upgrades, and eventual disposal. Comprehensive lifecycle cost analysis, which involves estimating all costs associated with a system over its entire life, helps mitigate budgetary surprises and ensures financial sustainability over decades of service.

 

Incremental Upgrades. Modern fighter jets should have modular systems and open architectures to accommodate incremental upgrades. This approach extends an aircraft’s service life while spreading costs over time. The F-16 Fighting Falcon, introduced in the 1970s, remains operational due to continuous upgrades in avionics, radar, and weapons. This strategy prevents obsolescence while reducing the need for costly new aircraft acquisitions.

 

Focus on Multi-Role Capability. Multi-role fighters provide greater operational flexibility by performing various missions with a single platform. The Dassault Rafale exemplifies this concept, capable of air-to-air combat, ground attack, and reconnaissance missions. This versatility allows air forces to reduce the number of specialised aircraft types, simplifying logistics and maintenance while lowering overall costs.

 

Prioritising Export Potential. Designing fighter jets with exportability in mind helps amortise development costs and reduce per-unit expenses. Countries that successfully market their fighters to foreign buyers can reinvest revenues into further technological advancements.

 

Emerging Trends and Technologies. Technological advancements are reshaping how air forces balance affordability and capability. The following emerging trends offer cost-effective solutions while enhancing combat effectiveness.

 

Unmanned Systems. Unmanned aerial vehicles (UAVs) and ‘loyal wingman’ drones, which are autonomous aircraft that operate alongside manned aircraft, complement traditional fighter jets by taking on high-risk missions at a lower cost. These platforms can conduct reconnaissance, electronic warfare, and combat operations without endangering pilots. Programs like the Boeing MQ-28 Ghost Bat highlight the growing role of UAVs and ‘loyal wingman’ drones in modern air combat.

 

Artificial Intelligence. AI-powered systems improve decision-making, enhance situational awareness, and reduce pilot workload. Advanced AI integration enables autonomous operations, making fighters more effective while potentially reducing crew training costs. AI-driven mission planning and adaptive combat algorithms are key to next-generation fighter capabilities.

 

Conclusion

Balancing affordability and capability in fighter acquisition programs is a complex but essential endeavour. As nations face evolving threats and fiscal constraints, the ability to make strategic trade-offs will determine their air power’s effectiveness. By embracing innovative technologies and fostering international collaboration, governments can achieve an optimal balance that ensures operational readiness and financial sustainability.

 

India traditionally prefers non-restrictive platforms like the Rafale and Su-30MKI that allow customisation. The F-35, despite its advanced stealth and networking, is deeply tied to U.S. control mechanisms. If Germany, Canada, and Portugal, NATO allies with solid U.S. interoperability, are hesitating, India must be doubly cautious before signing anything. The Big Question, however, remains whether India should even consider the F-35. After analysing the factors mentioned earlier, the current answer is negative (even with faster delivery schedules).  

 

For considering the F-35 as a potential option for India, several critical concerns must be addressed to make it a viable choice. Foremost among these is the issue of technology transfer and support to Indigenous aircraft development. Operational sovereignty is essential, as any restrictions imposed by the U.S. could limit India’s ability to integrate indigenous systems and conduct independent upgrades. Cost considerations (including procurement, maintenance, and lifecycle expenses) must be carefully weighed against alternative platforms. Geopolitical reliability is another key factor, given past U.S. sanctions and export restrictions that could impact fleet sustainability. Finally, interoperability with India’s existing fleet and infrastructure must be thoroughly assessed to ensure seamless integration without excessive logistical burdens. Addressing these concerns through ironclad agreements and long-term strategic assurances would be essential for India even to consider the F-35 option (in limited numbers).

 

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613: INDIAN QUANDARY ABOUT PROCUREMENT OF FIFTH-GENERATION FIGHTER AIRCRAFT

 

My Article was Published in the Chanakya Diaries, Issue 2, Spring 2025.

 

The world of military aviation has witnessed a significant leap in technological advancements, particularly in developing fifth-generation fighter aircraft (5GFA). These next-generation fighter jets are equipped with stealth technology, advanced avionics, and superior weaponry, allowing them to operate in highly contested airspaces. As global military technologies advance, so does the need for air forces to adopt cutting-edge systems capable of responding to emerging threats. Acquisition of such advanced technologies is crucial for maintaining air superiority and securing national interests. However, India’s path to acquiring fifth-generation fighters has been filled with challenges, forcing the country into a quandary about securing these crucial assets for its Air Force. This article delves into India’s dilemma regarding 5th-gen fighter jets, exploring the complexities of the decision-making process, the challenges posed by current defence procurements, and the country’s broader defence and geopolitical considerations.

 

Fifth-Generation Fighter Aircraft

Fifth-generation fighter aircraft represent the pinnacle of modern military aviation, incorporating cutting-edge stealth, advanced avionics, superior manoeuvrability, and network-centric warfare capabilities. These aircraft are designed to achieve air superiority while minimising detection through radar-evading features such as internal weapons bays, composite materials, and aerodynamic shaping. Notable examples include the U.S. F-22 Raptor and F-35 Lightning II, China’s J-20, and Russia’s Su-57. Unlike previous generations, fifth-generation fighters rely on sensor fusion, artificial intelligence-assisted decision-making, and high-capacity data links to dominate the battle-space. Their integrated avionics provide pilots with unparalleled situational awareness, allowing seamless coordination with other forces and unmanned systems. High-thrust engines with supercruise capability enable sustained supersonic speeds without afterburners, enhancing operational range and fuel efficiency. Furthermore, their electronic warfare and cyber capabilities allow them to disrupt enemy communications and radar systems. While these aircraft offer unmatched lethality and survivability, their complexity and cost present production, maintenance, and procurement challenges. Nations investing in fifth-generation fighters seek battlefield dominance and strategic deterrence, as control of the skies remains a decisive factor in modern warfare. As military technology advances, these fighters continue to evolve, shaping the future of aerial combat.

 

IAF Challenges and Necessities

Prevailing Challenges. India is a major regional player, and due to its unique geographical location and geo-political environment, it faces a collusive threat (from its two nuclear-powered unfriendly neighbours) with significant chances of military conflict. This unique position dictates that the country be able to deter her hostile neighbours from any military misadventure singly or collusively. Besides land borders being the main reason for the dispute, the security of the IOR region would also be a major security necessity. IAF would be required to offer options to meet India’s domestic and regional security requirements.

Air Threat. For a considerable time, the IAF enjoyed an edge in modern combat aircraft over its rivals – the Chinese People’s Liberation Army Air Force (PLAAF) and the Pakistan Air Force (PAF). This situation is changing with the PLAAF transformation, China’s investment in aerospace research and development, and aircraft manufacturing. China has inducted its two home-grown stealth fighters (J-20 and J-31) in large numbers and has already flown sixth-generation prototypes. Pakistan continues to be in collusion with China. PAF has inducted Chinese J-10 and JF-17 aircraft and has desired to induct Chinese fifth-generation aircraft.

Urgent Necessity. The Indian Air Force’s current strength is significantly below its sanctioned level. Its indigenous development of fourth—and fifth-generation aircraft faces technological hurdles and time delays. In the face of prevailing challenges, India cannot afford to lag in its military capability. The impending air threat from China and Pakistan has made the acquisition of fifth-generation fighters an urgent and necessary priority to enhance the IAF’s deterrence value.

 

Acquisition Efforts

Collaborative Effort. India’s journey toward acquiring fifth-generation fighter aircraft began with an ambitious collaboration with Russia. In 2007, India partnered with Russia to co-develop the Su-57, also known as the T-50 or PAK-FA. This project was expected to yield a fifth-generation fighter with advanced stealth capabilities and cutting-edge avionics, making it a crucial addition to India’s fleet. While India’s collaboration with Russia began with great optimism, several issues soon emerged related to cost overruns, development delays, and technological shortcomings, leading to re-evaluating the program. 2018, after years of joint research and development, India decided to pull out of the Su-57 program, marking a pivotal moment in its fifth-generation fighter aspirations. The decision left India searching for alternative solutions.

MRFA Acquisition. The history of India’s Multi-Role Fighter Aircraft (MRFA) acquisition effort is marked by ambitious plans and evolving defence strategies to modernise the IAF’s fighter fleet. The origins of the MRFA initiative can be traced back to the Medium Multi-Role Combat Aircraft (MMRCA) tender issued in 2007, which sought to acquire 126 fighter jets to replace the ageing MiG-21 fleet. After extensive evaluations and trials, the Dassault Rafale emerged as the preferred choice in 2012; however, contractual disagreements and cost escalations led to the eventual scrapping of the deal in 2015. In its place, the Indian government opted for a government-to-government deal to procure 36 Rafale jets in 2016 to meet urgent operational needs. The failure of the MMRCA tender to materialise in its original form highlighted the complexities involved in large-scale defence procurements, including cost considerations, technology transfer requirements, and offset agreements. In response to these challenges, the IAF redefined its requirements and reinitiated the procurement process under the MRFA program in 2019. The renewed effort sought to leverage lessons learned from the previous tender while emphasising indigenisation and the development of India’s defence manufacturing capabilities under the ‘Make in India’ initiative. Unlike its predecessor, the MRFA acquisition focuses more on domestic production, requiring foreign vendors to collaborate with Indian defence firms to establish local assembly lines and facilitate technology transfers.

Overview of the MRFA Acquisition Program. The MRFA acquisition program is a critical initiative by the Indian Air Force to acquire 114 advanced multi-role fighter jets to enhance its operational capabilities and replace its ageing fleet of legacy aircraft. Under MRFA, the IAF aims to procure state-of-the-art fighters that can undertake various combat roles, including air superiority, ground attack, reconnaissance, and electronic warfare, ensuring dominance in modern warfare scenarios. The MRFA acquisition process is structured under the ‘Make in India’ initiative, emphasising indigenous production and technology transfer to boost the domestic defence industry. The IAF issued a global Request for Information (RFI) in 2019, inviting proposals from major aircraft manufacturers worldwide. The procurement is expected under the Strategic Partnership (SP) model, which involves collaboration between foreign Original Equipment Manufacturers (OEMs) and Indian defence firms. This collaboration required establishing production lines within the country and transferring critical technologies, reducing import dependency and promoting self-reliance in the defence sector.  One of the essential requirements outlined by the IAF in the MRFA tender is the transfer of technology (ToT), which will allow Indian defence companies to gain technical expertise in aircraft manufacturing, maintenance, and future upgrades. The current situation stresses the inclusion of fifth-generation aircraft in the acquisition plans.

Domestic Solution: AMCA. India has pursued an indigenous solution to its 5th-gen fighter needs through the Advanced Medium Combat Aircraft (AMCA). The AMCA is being developed by the Aeronautical Development Agency (ADA) under the Indian Ministry of Defence. It is intended to be a 5th-gen fighter with advanced stealth technology, super-cruise capabilities, and cutting-edge avionics. While the AMCA represents a step toward self-reliance and is seen as a critical component of India’s long-term military strategy, several challenges are associated with its development. The development of the AMCA has faced numerous delays. Initially slated for entry into service by the mid-2020s, it is now expected to enter service closer to the late 2030s. The project also faces significant technological challenges in developing a fighter of this sophistication. While progress is being made, achieving the same level of performance and stealth as the F-35 or Su-57 remains a formidable task.

Choices and Possibilities. Both the U.S. and Russia are aggressively pitching their fifth-generation aircraft. Besides outright purchase, India may explore collaboration and joint development programs or technology transfers (Stealth, Aero-engines and advanced avionics) that accelerate AMCA’s timeline.  Limited acquisitions of F-35s or Su-57s focusing on training and operational familiarity while ensuring that AMCA remains the primary focus are also possible options.

 

The Foreign Procurement Dilemma

Given the delays and challenges of Indigenous development, India has to explore foreign procurement options for fifth-generation fighter jets. The United States, with its F-35 Lightning II and the Russian SU-57, has emerged as a potential source of these advanced aircraft. However, several geopolitical, diplomatic, and technical barriers complicate purchasing these aircraft.

U.S. Signals: F-35 Lightning II. The U.S. has been subtly signalling a potential offer of the F-35 to India. The aircraft first appeared in the Indian skies in the previous aero India 2023. Although Washington has not officially proposed a deal, diplomatic engagements and increasing defence cooperation between the two nations suggest that such a move could be on the horizon. Some analysts believe the U.S. could propose the F-35 as a deterrent against China, leveraging India’s growing security concerns to break its traditional reluctance toward American fighter jets. The F-35, developed by Lockheed Martin, represents the epitome of 5th-gen fighter capabilities. It is a highly advanced stealth fighter, but its suitability for the Indian Air Force (IAF) is debatable due to operational, geopolitical, and logistical factors. While the F-35 offers cutting-edge stealth, sensor fusion, and electronic warfare capabilities, making it a formidable asset against threats, its integration into India’s diverse fleet (Su-30MKI, Rafale, Tejas) would be complex and costly. The aircraft’s high maintenance burden, reliance on U.S. software and spare parts support, and logistical challenges in high-altitude operations raise concerns. Additionally, India’s deep defence ties with Russia and its commitment to strategic autonomy could complicate an F-35 deal. The U.S. has been selective about F-35 exports, prioritising NATO allies and key Pacific partners, making approval for India uncertain. With unit costs exceeding $80 million and long-term sustainment expenses, the F-35 may not be the most cost-effective option compared to expanding Rafale squadrons or accelerating the indigenous AMCA program.

Russia’s Pitch: The Su-57 Felon. Russia is presenting the Su-57 Felon as a possible solution for India’s air power needs. The offer is sugar quoted with an offer to reduce price, Integration of hypersonic weapons, ToT and easy payment options. The Su-57, initially designated the PAK FA (Prospective Airborne Complex of Frontline Aviation), began development in the early 2000s under the Russian Ministry of Defence. The aircraft was conceived as a multirole stealth fighter capable of air superiority and ground attack missions. Given India’s deep-rooted defence ties with Russia and its existing fleet of Su-30MKI fighters, Moscow sees this as a natural extension of its strategic partnership. However, India has been cautious about procuring the Su-57 due to previous setbacks in the Indo-Russian Fifth Generation Fighter Aircraft (FGFA) project. While the Su-57 has promising features, the program has faced several challenges that have slowed its development and deployment. The aircraft has faced delays related to engine development and avionics integration.  Moreover, there have been questions about the production rate and the number of aircraft that will be built in the coming years. The Russian Air Force has been slow to field the aircraft, and it remains unclear how many Su-57s will ultimately be deployed, particularly as Russia faces significant budgetary constraints and competing priorities.

Comparative Analysis. The Su-57’s development and operational capabilities are often compared to the U.S. F-22 Raptor and F-35 Lightning II, representing American stealth technology’s pinnacle. While the Su-57 has similar features, such as stealth and advanced avionics, it lags in some performance areas. For example, the F-22 is generally considered superior regarding stealth and overall aerodynamics, while the F-35 is unrivalled in sensor fusion and multirole capabilities. However, the Su-57 holds unique advantages that could make it a formidable platform in specific scenarios. Its super manoeuvrability and advanced sensor capabilities make it highly suited for air-to-air combat and could give it an edge over Western fighters in certain situations. Moreover, its weapons capacity and the potential future integration of hypersonic weapons give it a longer-range and more potent offensive capability than current Western fighters.

 

Indigenous Effort.

Push for Indigenous Development: The AMCA Program. India’s exit from the Su-57 program signalled a renewed focus on indigenous development. Under pressure to modernise and enhance its capabilities, India pushed to develop its fifth-generation fighter. The Advanced Medium Combat Aircraft (AMCA) program was born out of this necessity. The AMCA was conceived as India’s first fully indigenous fifth-generation fighter. The project envisions incorporating stealth, advanced avionics, supercruise and multi-role capabilities. While the AMCA represents a significant leap forward for India’s indigenous defence capabilities, its development has not been without challenges. The program has faced technological hurdles, financial constraints, and inordinate delays. The prototype of the AMCA is expected to take flight in the late 2020s, with full-scale production not anticipated until the early 2040s. The AMCA is crucial to India’s long-term defence strategy. Its delayed timeline and high costs mean the country must consider alternatives soon to fill the capability gap.

Effect on the AMCA Development. India’s procurement of foreign fifth-generation fighter aircraft could positively or negatively affect the development of its Advanced Medium Combat Aircraft (AMCA) program. On the one hand, it could gain valuable insights into the design and technology of a fifth-generation fighter aircraft, including stealth capabilities, advanced avionics, and engine performance. This could accelerate the learning curve for Indian engineers and help improve AMCA’s design.​ On the other hand, foreign procurement could divert attention and resources from the AMCA project, as both programs require significant investment and focus. This could delay AMCA’s development as funding and manpower may be reallocated. While foreign procurement might provide a short-term solution, procuring it would reinforce India’s dependency on foreign technology, which contradicts the AMCA’s goal of achieving greater self-reliance in defence technology. It might also delay the domestic innovation necessary to produce the AMCA independently.

 

Procurement Considerations: A Tight Rope Walk.

 India’s pursuit of fifth-generation fighter aircraft (FGFA) is a complex balancing act, requiring careful evaluation of strategic, operational, and geopolitical factors. Despite the aggressive pitches from Russia and the U.S., India remains steadfast in its commitment to self-reliance. The country has several valid concerns about acquiring stealth fighters from external sources. The procurement decision must balance national security imperatives with long-term self-reliance goals.

Financial Constraints. While the need for advanced fighter aircraft is pressing, India’s defence budget remains constrained. The costs of acquiring 5th-gen fighters—whether through foreign procurement or domestic development—are substantial.

Strategic Autonomy. India has historically maintained strategic autonomy in defence procurement.  Outright procurement of fifth-generation fighters would increase dependency on foreign suppliers for maintenance, spares, and software updates. However, developing an indigenous FGFA is time-intensive and costly, necessitating interim solutions such as collaborations or selective acquisitions. Balancing these factors ensures India can act independently in future conflicts without external constraints.

Operational Sovereignty. Fifth-generation fighters rely heavily on integrated software, sensor fusion, and artificial intelligence, requiring continuous updates and security oversight. Procuring an FGFA from the U.S. or Russia may come with software black boxes, limiting India’s ability to modify or customise the aircraft to suit its operational needs. In contrast, an indigenous program like the AMCA would ensure complete control over mission configurations, electronic warfare systems, and weapons integration.  India risks operational constraints without complete control in scenarios where its strategic interests diverge from supplier nations.

Transfer of Technology (ToT). India has consistently demanded significant technology transfer as part of its defence procurements. One of the most crucial considerations in FGFA procurement is access to critical technologies such as stealth coatings, advanced radar systems, and aero engines. Nations that export fifth-generation fighters typically impose strict restrictions on technology transfers to protect proprietary designs and maintain their competitive edge. India must negotiate deals that ensure meaningful technology absorption, aiding AMCA’s long-term development.

Interoperability Issues. India operates a diverse fleet comprising Russian, French, Israeli, and indigenous aircraft, leading to interoperability challenges. Integrating an FGFA with existing platforms is critical, especially for network-centric warfare. American platforms, such as the F-35, rely on proprietary Link 16 data-sharing protocols, which may not be compatible with India’s indigenous combat management systems. On the other hand, Russian fighters align with existing IAF infrastructure but lack the networking capabilities of Western aircraft. Any FGFA procurement must ensure seamless integration with India’s Integrated Air Command and Control System (IACCS) while avoiding security vulnerabilities tied to foreign command structures.

Reliance and Reliability Concerns. Fifth-generation fighters require a robust supply chain for spare parts, software updates, and maintenance. India’s experience with Russian platforms, such as the Su-30MKI, has shown that supply bottlenecks can impact fleet availability. Similarly, reliance on the U.S. for F-35 components could expose India to geopolitical leverage, where supply disruptions may occur due to policy shifts. An indigenous FGFA would mitigate these risks. However, India must bridge the gap in manufacturing critical components, such as high-thrust jet engines and low-observable coatings, to ensure long-term sustainability.

Geopolitical Pressures. India’s FGFA decision is deeply entangled in global power dynamics. Acquiring an American fighter would enhance ties with QUAD allies (U.S., Japan, Australia) but could strain India’s strategic partnership with Russia. Conversely, a Russian FGFA might provoke U.S. sanctions under CAATSA (Countering America’s Adversaries Through Sanctions Act), complicating India’s defence cooperation with Western nations. Thus, any procurement choice must navigate these external influences without compromising national security.

 

Way Ahead

India’s quest for fifth-generation fighter aircraft is emblematic of the broader challenges emerging powers face in the 21st century. While the country has made significant strides in developing Indigenous defence capabilities, the path to acquiring fifth-generation fighters remains fraught with challenges. The choices India makes in the coming years will shape its defence posture and air superiority in the decades ahead.  While the AMCA holds promise for India’s long-term goals, the immediate need for advanced fighter aircraft means that foreign options, including the F-35 or SU-57, will likely remain in play despite the geopolitical and financial challenges they present.

India’s success in this endeavour will depend on its ability to integrate technology, manage its defence budget, and forge strategic partnerships that advance its security interests in a rapidly evolving global landscape. Given the complexity of fifth-generation fighter procurement, India must focus on accelerating the AMCA program while exploring selective technology partnerships. A dedicated task force with a top-down approach could ensure timely execution. Increased funding, private sector involvement, and strategic technology acquisitions could further bolster the program.

India must balance Indigenous development with the need for foreign procurement while navigating a complex geopolitical landscape. While India will likely continue seeking a combination of foreign procurements and domestic development, the path forward will require careful navigation of technological and strategic challenges. Ultimately, India’s ability to field a fleet of 5th-gen fighters will depend on its ability to balance these competing demands while securing the necessary resources and partnerships to maintain its regional and global standing.

 

Conclusion

The stealth fighter war is not just about aircraft but about India’s position in the global defence landscape. The choices made in the coming years will define India’s air power for decades. While Aero India 2025 will serve as a grand stage for the U.S. and Russia to showcase their best fighters, India must navigate this battle carefully. Whether it chooses a limited acquisition, a joint development initiative, or a complete rejection of external options, one thing is clear: India’s future in stealth aviation will be determined by its ability to balance strategic autonomy with practical air power needs.

 

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Information and data included in the blog are for educational & non-commercial purposes only and have been carefully adapted, excerpted, or edited from reliable and accurate sources. All copyrighted material belongs to respective owners and is provided only for wider dissemination.

References:-

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