India to Begin Procurement of 97 Upgraded TEJAS MK-1A Jets in FY27 Under ₹67,000 Crore Plan

India’s homegrown fighter jet program is set to receive a major push with the planned procurement of 97 upgraded TEJAS MK-1A fighter jets from Hindustan Aeronautics Limited (HAL). The acquisition, likely to begin in the financial year 2026–27 (FY27), forms part of a ₹67,000-crore plan that is expected to receive formal approval from the Cabinet in the near future.

This new order follows the earlier deal for 83 TEJAS MK-1A jets signed in 2021, which was worth around ₹48,000 crore. Once finalised, the two orders together will take the total number of MK-1A jets ordered by the Indian Air Force (IAF) to 180. The latest batch includes upgraded features and a significantly higher degree of indigenisation, reflecting India’s growing emphasis on self-reliance in defence manufacturing.

A standout feature of the upgraded TEJAS MK-1A is its enhanced indigenous content. HAL has increased the share of locally produced components to 60%, up from about 50% in the previous variants. This includes critical systems like radar and high-frequency communication equipment, which are now being built by Bharat Electronics Ltd (BEL). These changes are in line with the government’s ‘Make in India’ initiative and its broader goal of building a robust domestic defence industrial base.

The unit cost of the advanced TEJAS MK-1A is estimated to be around ₹600 crore, slightly higher than before. This rise is mainly due to the fluctuating cost of the US-supplied General Electric F404 engines that power the aircraft. However, recent supply chain issues affecting these engines have been resolved, with GE committing to deliver 12 engines by December 2025, ensuring that the production timeline remains on track.

HAL plans to produce the aircraft over four to five years, gradually increasing its production capacity. To meet this target, it will utilize its new assembly line in Nashik alongside the existing production facilities in Bengaluru. The goal is to manufacture 24 jets annually, significantly ramping up output compared to earlier years.

This procurement is not just about increasing numbers but also about replacing older fighter jets such as the MiG-21, MiG-27, and Jaguars, which are being phased out from the IAF’s fleet. The new jets will bring advanced capabilities with improved avionics, modern radar systems, electronic warfare features, and the ability to carry a wider range of weapons.

Apart from strengthening the IAF, the expansion of TEJAS production is expected to boost India’s defence sector by creating skilled jobs and potentially increasing defence exports. The TEJAS fighter has already sparked interest from countries in Asia, Africa, and Latin America, positioning it as a competitive offering in the global market for light combat aircraft.

Overall, the planned procurement of 97 more TEJAS MK-1A jets marks a significant milestone in India’s journey towards defence self-reliance. It reinforces the country’s long-term vision to modernise its air force using indigenous platforms while strengthening its technological and industrial capabilities.