India has signed a ₹62,370 crore ($7.03 billion) deal with state-owned Hindustan Aeronautics Limited (HAL) to procure 97 Tejas Mk1A fighter jets for the Indian Air Force (IAF).

As per the government, the first batch of these indigenously designed and developed aircraft will be delivered in 2027-28, with the entire order scheduled for completion within six years. The deal covers 68 single-seat fighters and 29 twin-seater variants, the latter also doubling as trainer aircraft.

This large-scale procurement is expected to strengthen the IAF’s combat capability while promoting India’s self-reliance in defense manufacturing.

The new Tejas deal comes on top of a 2021 contract for 83 jets, which HAL is still in the process of delivering. While the company has a massive order book, the Indian establishment has often raised concerns over delivery delays and their impact on the Air Force’s combat strength.

About Tejas Mk1A 

The Tejas is India’s homegrown fighter jet, but it is powered by American General Electric F404 engines. The government says the new Tejas Mk1A variant will be more advanced, featuring over 64% indigenous content. 

Key additions include the UTTAM AESA radar, Swayam Raksha Kavach self-protection suite, new control surface actuators, and more than 60 other upgraded components. Over 100 Indian firms are part of the programme, supplying parts, systems and sub-systems. 

Officials estimate the deal will generate around 11,750 direct and indirect jobs every year for six years, giving a major boost to the domestic aerospace industry.

The timing of this contract is also symbolic, it comes just a day before the retirement of India’s Soviet-era MiG-21s. First inducted in 1963, the MiG-21s served the Air Force for over six decades and played a role in nearly every conflict involving India. 

With their exit, the IAF’s squadron strength has dropped to 29 squadrons, each comprising 16–18 jets. Many of these squadrons still operate ageing fighters like the Jaguar, Mirage-2000, and MiG-29UPG, underlining the urgent need to strengthen the fleet.

The IAF has a sanctioned strength of 42 squadrons but remains far short of that target. In comparison, Pakistan maintains about 25 squadrons, while China fields around 66 squadrons, with advanced jets rapidly joining its fleet and even sixth-generation aircraft under testing. At present, the backbone of India’s fighter fleet is the Russian-origin Sukhoi-30MKI with over 250 in service, while the French Rafale stands as the IAF’s most advanced fighter.

The latest Tejas Mk1A order is therefore not just about adding numbers, it is about closing the gap, modernizing the fleet, and pushing India’s self-reliance in defense manufacturing.