Union defence ministry inks Rs 21,000 crore deal with Airbus for 56 IAF planes
NEW DELHI: The Union defence ministry on Friday inked the over Rs 21,000 crore (around $3 billion) contract with Airbus Defence and Space (Spain) to acquire 56 C-295 medium transport aircraft to replace the old Avro planes of the IAF.
Airbus will deliver 16 of the twin-turboprop C-295MW aircraft in a flyaway condition within four years, with the remaining 40 being manufactured in India by the Tata Consortium under a joint industrial partnership within 10 years.
After the delivery of the 56 aircraft, the subsequent planes manufactured here can be exported to countries cleared by the Indian government, said MoD officials.
