India Faces $2.3 Billion Hike for Domestically Produced Fighter Jets in MRFA Program
India’s ambitious Medium Multi-Role Fighter Aircraft (MRFA) program, aimed at strengthening the Indian Air Force (IAF), could cost an additional $2.3 billion if the government opts for domestically produced fighter jets.
This potential cost hike is tied to India’s push for self-reliance in defense manufacturing under the “Atmanirbhar Bharat” initiative.
The MRFA program, valued at approximately $20 billion, aims to procure 114 fighter jets to bolster the IAF’s operational capabilities. A significant portion of these jets is expected to be manufactured domestically through collaborations between global aerospace companies and Indian firms. However, the shift towards indigenous production comes with increased expenses related to infrastructure, technology transfer, and production setup.
Government’s Push for Domestic Manufacturing
“India is committed to reducing dependency on foreign defense imports and boosting indigenous production,” stated a senior defense official. The additional $2.3 billion will cover costs associated with setting up manufacturing facilities and ensuring compliance with Make in India guidelines.
While this move is seen as a boost to India’s defense manufacturing ecosystem, experts caution about potential delays and increased financial implications. The local production aims to generate jobs, enhance technological expertise, and contribute to the economy, but these benefits come at a premium cost.
Strategic Implications
The MRFA program is critical for modernizing the IAF, which is grappling with an aging fleet. The new jets are expected to complement the Tejas Light Combat Aircraft and other advanced platforms like the Rafale. Ensuring the program’s timely execution remains vital for India’s defense preparedness amid rising regional threats.
The government is currently in discussions with global defense manufacturers, and an official decision on the final structure of the program, including cost-sharing mechanisms, is anticipated soon.