Centre Paves Way For India’s Second Fighter Jet Production Ecosystem | Exclusive Details

Last Updated:May 27, 2026, 16:49 IST

If executed as planned, the AMCA manufacturing programme could emerge as one of the most important milestones in India’s push towards defence self-reliance.

In a significant boost to the Modi government’s Atmanirbhar Bharat defence manufacturing push, the Request for Proposal (RFP) for India’s Advanced Medium Combat Aircraft (AMCA) programme has been issued to three shortlisted private sector consortiums, CNN-News18 has learnt.

The shortlisted bidders are Tata Advanced Systems Limited (TASL), a consortium of Larsen & Toubro (L&T) and Bharat Electronics Limited (BEL), and another consortium comprising Bharat Forge and BEML.

The move is expected to mark a major shift in India’s military aviation manufacturing structure by opening the door for a fighter aircraft production ecosystem outside Hindustan Aeronautics Limited (HAL), which has traditionally led fighter jet manufacturing in the country.

Officials and industry sources view the development as a key step towards creating an additional fighter aircraft production line in India, aimed at expanding long-term manufacturing capacity for combat aircraft.

Defence sector experts say the creation of parallel production capabilities could help increase overall fighter jet output, improve delivery timelines and strengthen supply-chain resilience- all considered critical for future force preparedness and squadron expansion.

The inclusion of private sector players such as TASL, L&T, BEL, Bharat Forge and BEML is also expected to bring expanded industrial participation and advanced engineering capabilities into India’s aerospace manufacturing sector.

The AMCA programme, India’s proposed fifth-generation stealth fighter project, is regarded as a cornerstone of the country’s long-term indigenous defence manufacturing ambitions. Industry observers believe wider private sector participation could support faster development of domestic capabilities in areas such as avionics, advanced materials, sensors, precision manufacturing and aerospace systems integration.

The programme is also expected to contribute to reducing long-term dependence on foreign suppliers for critical aerospace technologies and platforms. Officials and industry stakeholders expect the expansion of fighter aircraft manufacturing infrastructure to generate significant employment opportunities, particularly in high-skill sectors including aerospace engineering, avionics, metallurgy, composites and precision manufacturing.

Experts note that large-scale fighter aircraft programmes typically create spillover growth across sectors such as metals, electronics, software, testing infrastructure and advanced manufacturing, with broader economic benefits for the domestic industrial base.

If executed as planned, the AMCA manufacturing programme could emerge as one of the most important milestones in India’s push towards defence self-reliance and indigenous aerospace capability development.

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