A significant enhancement to the Indian Air Force’s strategic capabilities is on the horizon, with Israel Aircraft Industries (IAI) positioned as the preferred supplier for six new mid-air refuelling aircraft. This major acquisition, estimated at Rs 8,000 crore, is set to dramatically expand India’s operational footprint and extend the reach of its air power.
The proposed deal involves IAI sourcing six existing Boeing 767 commercial aircraft. These airframes will undergo a comprehensive conversion process, transforming them into state-of-the-art aerial tankers equipped with modern refuelling technology before being handed over to the Indian Air Force.
IAI’s commitment to fostering domestic industry is a key element of its successful bid. The company has assured compliance with significant offset clauses, ensuring that roughly 30% of the contract value will be invested in ‘Make in India’ initiatives, including local manufacturing and technology transfer.
This focus on indigenous content and platform flexibility distinguished IAI’s offering from those of competing Russian and European aerospace firms. The Indian Air Force had specific requirements for the integration of domestic components onto second-hand aircraft, a criterion that only the Israeli proposal fully satisfied.
The Indian Air Force has operated with a limited number of mid-air refuelling aircraft for years. Its current fleet of six Russian-origin Il-78 tankers, based in Agra, has been a critical but insufficient asset for supporting the evolving needs of modern air combat. For nearly 15 years, the service has sought to significantly increase its tanker capacity, facing persistent hurdles in previous acquisition attempts.
With the recent induction of advanced fighter jets featuring extended combat ranges, the imperative for a larger and more capable tanker fleet has become even more acute. Air Force planners recognize that sustained, deep-range operations require a robust refuelling infrastructure, which the current fleet cannot adequately provide. A temporary wet lease of a tanker recently highlighted this pressing requirement.
This forthcoming deal represents a crucial stride towards modernizing the Indian Air Force’s strategic assets. Following rigorous evaluation and anticipated final approvals, the contract is expected to be signed, ushering in a new era of enhanced operational flexibility and extended power projection for India.