Boosting India’s Defence Manufacturing Under Atmanirbhar Bharat
Made-in-India C-295 : In a major milestone for India’s defence sector and the Atmanirbhar Bharat initiative, External Affairs Minister S. Jaishankar has revealed that the first fully Made-in-India C-295 military transport aircraft will emerge from the Tata-Airbus facility in Vadodara, Gujarat, before September 2026. This announcement, made during bilateral discussions with Spanish Foreign Minister Jose Manuel Albares in New Delhi, underscores the strengthening defence ties between India and Spain. Key terms like C-295 aircraft, Made in India, defence manufacturing, and Atmanirbhar Bharat highlight the project’s significance in enhancing India’s self-reliance in aerospace technology.
The C-295, a versatile medium tactical transport aircraft produced by Airbus, is designed to replace the Indian Air Force’s (IAF) ageing Avro-748 fleet. This development stems from a landmark 2021 deal worth approximately Rs 21,935 crore for 56 aircraft. The initial 16 units are being delivered from Airbus’s Seville plant in Spain, with the remaining 40 to be manufactured entirely in India. Jaishankar’s statement emphasizes the project’s role in building resilient manufacturing capabilities, stating, “We are expecting the first ‘Made in India’ C-295 aircraft to roll out of the factory before September this year.”
The Vadodara Facility: A Hub for Indigenous Production
The Tata Advanced Systems Limited (TASL) plant in Vadodara, inaugurated in October 2024 by Prime Minister Narendra Modi and Spanish Prime Minister Pedro Sanchez, marks India’s first private-sector final assembly line (FAL) for military aircraft. This collaboration between Airbus and Tata involves over 85% local production of structural and metallic components, engaging a network of 37 Indian suppliers and creating around 15,000 direct and indirect jobs. The facility’s output will include more than 18,000 detailed parts and 13,000 components, showcasing the depth of indigenization in defence production.
Strategic Importance of the C-295 in India’s Military Arsenal
Versatile Capabilities for Diverse Missions
The C-295 aircraft is equipped with twin turboprop engines, enabling operations from short, unprepared airstrips – ideal for India’s varied terrain, including high-altitude regions like the Himalayas and coastal areas. It supports missions such as troop transport, cargo logistics, medical evacuation, surveillance, and maritime patrol. The IAF plans to utilize these for tactical airlift, improving rapid response and operational flexibility. Additionally, the Ministry of Defence is exploring procurements for the Navy (nine units) and Coast Guard (six units), fitted with advanced sensors for anti-submarine warfare and maritime surveillance.
Enhancing National Security and Export Potential
This initiative aligns with India’s surging defence exports, which hit Rs 21,083 crore in FY 2023-24, a 32.5% rise from the previous year. By reducing reliance on imports, the project positions India as a potential exporter of military hardware. Experts note that successful implementation could lead to further joint ventures in areas like fighter jets and helicopters, bolstering national security and economic growth. The defence sector is projected to reach $25 billion in production by 2025, driven by such programs.
Broader India-Spain Bilateral Relations
During the talks, Jaishankar and Albares discussed expanding cooperation in trade, renewable energy, digital infrastructure, and counter-terrorism. Bilateral trade reached $9.4 billion in 2023, with both sides committing to accelerate India-EU Free Trade Agreement negotiations. Jaishankar reiterated India’s “zero tolerance” policy on terrorism and the need for a rules-based global order.
Future Prospects and Challenges
The rollout timeline reflects progress since the facility’s launch, with all 40 indigenous aircraft slated for delivery by August 2031. Challenges include ensuring technology transfer and supply chain integration, but the project’s emphasis on SMEs fosters innovation. As India aims to become a global defence hub, the C-295 program symbolizes strategic autonomy and international collaboration.
In related updates, the IAF has inducted several Spanish-built C-295s, with full operationalization imminent. Custom modifications for Indian needs, such as high-altitude capabilities and domestic avionics, will further enhance efficacy.
This announcement not only advances aerospace manufacturing but also invigorates India-Spain ties, as highlighted by recent high-level visits. With anticipation building for the September 2026 rollout, it represents years of planning and a leap towards self-sufficiency in defence.
