Indian defence manufacturing journey reached a significant milestone with the rollout of the first ‘Made in India’ C295 transport aircraft, marking a decisive shift from importer to producer in the military aviation sector. While the aircraft itself strengthens the Indian Air Force’s (IAF) operational capabilities, its larger strategic impact lies in what it signals for India’s defence industrial ecosystem—indigenisation, private sector participation, technology transfer, and export potential.
This development is not just about replacing ageing aircraft; it is about reshaping India’s long-term defence manufacturing narrative.
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| The C295 tactical transport aircraft being manufactured in India under the Make in India defence initiative. Image: Airbus |
The C295 Project: A Brief Overview
The C295 is a medium tactical transport aircraft developed by Airbus Defence and Space, selected to replace the IAF’s ageing Avro-748 fleet, some of which have been in service for over six decades. Under a ₹21,935 crore contract signed in 2021, India will induct 56 C295 aircraft, with:
- 16 aircraft manufactured and delivered from Spain
- 40 aircraft manufactured in India at a Tata-Airbus facility in Vadodara, Gujarat
This makes it India’s first military aircraft to be manufactured domestically by a private company, a landmark departure from decades of defence production dominated by public sector units.
Why the ‘Made in India’ C295 Matters
1. A Turning Point for Private Sector Defence Manufacturing
For decades, India’s defence manufacturing was largely confined to state-owned entities such as HAL and DRDO. The C295 programme breaks that mould by placing Tata Advanced Systems Ltd (TASL) at the centre of aircraft manufacturing.
This signals:
- Increased trust in private Indian industry
- A more competitive defence manufacturing environment
- Reduced dependence on overburdened public sector units
In strategic terms, it shows that Make in India in defence is no longer policy rhetoric—it is operational reality.
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| The C295 marks India’s first military aircraft to be manufactured by a private sector company. |
2. Technology Transfer and Skill Development
A critical component of the C295 programme is deep technology transfer from Airbus to Indian industry. This includes:
- Aircraft assembly
- Structural manufacturing
- Systems integration
- Testing and quality assurance
- A skilled aerospace workforce
- Indigenous design and manufacturing competence
- Supplier ecosystems capable of supporting future aircraft programmes
Importantly, more than 13,000 jobs are expected to be created directly and indirectly, strengthening India’s aerospace value chain.
3. Strengthening the Indian Air Force’s Capabilities
From an operational perspective, the C295 is a major upgrade for the IAF. The aircraft is designed for:
- Tactical troop and cargo transport
- Casualty evacuation
- Maritime patrol
- Special operations
- Disaster relief missions
Its ability to operate from short and unprepared airstrips is particularly crucial for India’s border regions, island territories, and high-altitude areas.
This enhances India’s rapid deployment and logistics capabilities, especially in the context of evolving regional security challenges.
Strategic Implications for India’s Defence Ecosystem
Boost to Defence Indigenisation Goals
The C295 programme aligns directly with India’s broader defence goals:
- Reducing import dependency
- Increasing indigenous content
- Building domestic manufacturing capacity
As India moves towards positive indigenisation lists and import bans on certain defence equipment, programmes like C295 provide a tested template for future projects.
Export Potential and Global Positioning
Perhaps the most forward-looking implication is export potential. Once India establishes manufacturing credibility for military aircraft, it opens the door to:
- Supplying aircraft or components to friendly nations
- Participating in global aerospace supply chains
- Enhancing India’s profile as a defence exporter
With global demand rising for cost-effective transport aircraft, India could position itself as a regional manufacturing hub, especially for developing countries.
Reduced Lifecycle Costs and Strategic Autonomy
Domestic manufacturing also ensures:
- Faster maintenance and repairs
- Lower lifecycle costs
- Better availability of spare parts
In strategic terms, this reduces India’s vulnerability to supply chain disruptions and geopolitical pressures, strengthening national security and strategic autonomy.
Challenges That Still Remain
- Limited indigenous engine and avionics capability
- Dependence on foreign OEMs for critical technologies
- Need for sustained policy stability and long-term orders
What the C295 Really Heralds for India
The ‘Made in India’ C295 aircraft is not just a new transport platform—it is proof of concept. It demonstrates that India can:
- Manufacture complex military aircraft
- Integrate private industry into defence production
- Absorb advanced aerospace technologies
- Build scalable defence manufacturing ecosystems
More importantly, it reflects a strategic mindset shift—from buying defence platforms to building them.
Conclusion
The induction of the ‘Made in India’ C295 aircraft marks a defining moment in India’s defence manufacturing journey. It strengthens the Indian Air Force in the short term, but its real value lies in the long-term transformation of India’s aerospace and defence ecosystem.
If followed up with consistent policy support, deeper indigenisation, and export-driven thinking, the C295 programme could be remembered as the project that changed how India builds for its defence.
