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HomeWorldIsraeli firm IAI ready to meet India’s 30% ‘Make in India’ mandate for IAF tanker programme

Israeli firm IAI ready to meet India’s 30% ‘Make in India’ mandate for IAF tanker programme

Israel Aerospace Industries says it will fully comply with India’s 30% ‘Make in India’ mandate as it remains the sole bidder for the Indian Air Force’s ₹8,000-crore mid-air refueller contract.

December 02, 2025 / 17:41 IST

Israel's leading defence manufacturer, Israel Aerospace Industries (IAI), which is the only firm left in the Rs 8,000-crore contract for supplying six mid-air refuellers, said it is fully aligned with the Indian government's requirements for providing 30 per cent 'Make in India' mandate for the project.

Yehuda Lahav, an Executive Vice President of Israel Aerospace Industries, however, refused to comment on where these aircraft will be prepared.

Earlier, ANI reported that the Indian Air Force is likely to award the around Rs 8,000 crore deal for buying six aerial tanker planes from an Israeli government-owned firm, which has emerged as a single vendor.

"It's not specific to this project, but in any programme where we consider ourselves as a candidate, we are willing to comply. Hopefully, India will be the next customer," Lahav said.

"We are fully aligned with local requirements, which means we are open to meeting any local content obligations. There is a will to do it, and we will do it. Regarding the refueller, if there are specific requirements, we will be 100 per cent aligned," he added.

The Israeli firm Israel Aircraft Industries (IAI), if awarded the contract, would be modifying six old and second-hand Boeing 767 commercial planes to turn them into tanker aircraft and then supplying them to the Indian Air Force, defence sources told ANI.

As per the ANI report, the IAI has emerged as the resultant single vendor in a competitive bid where it has agreed to the need for around 30 per cent Made in India content through offsets involved in the deal, they said.

The competition launched a few years ago has seen participation from Russian and European firms also, but IAI was the only one left in the race, as others were not meeting the requirements, including the one for 3-30 per cent indigenous content on second-hand planes, they said.

The Indian Air Force has been operating a fleet of six Russian-origin Il-78 mid-air refuelling aircraft, which are based out of Agra and provide support to all types of fighter aircraft operations of the Indian Air Force and the Navy.

The Indian Air Force has made several attempts in the last 15 years to buy six more flight refuelling aircraft, but has failed to do so due to multiple reasons.

It has recently also wet-leased a tanker aircraft, but would require a larger number of aircraft to meet its expanding requirements. The Indian Air Force is in the process of phasing out its legacy aircraft, and its new fleet can fly for longer hours with mid-air refuelling.

The Indian Air Force has made several attempts in the last 15 years to buy six more flight refuelling aircraft, but has failed to do so due to multiple reasons.

It has recently also wet-leased a tanker aircraft, but would require a larger number of aircraft to meet its expanding requirements. The Indian Air Force is in the process of phasing out its legacy aircraft, and its new fleet can fly for longer hours with mid-air refuelling.

ANI
first published: Dec 2, 2025 05:41 pm

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