Prime Minister Narendra Modi has laid the foundation stone of the C-295 medium tactical transport aircraft manufacturing facility at Vadodara in Gujarat on Sunday, which is the first private sector aircraft manufacturing facility in India.
The C-295 transport aircraft for the Indian Air Force will be manufactured by Tata-Airbus, said Defence Ministry officials.
Apart from making 40 aircraft, this facility would be manufacturing additional aircraft for Air Force requirements and exports, as per Defence Secretary Aramane Giridhar.
In September last year, India sealed a Rs 21,935 cr agreement with Airbus Defence and Space to procure 56 C-295 aircraft to replace the Indian Air Force‘s old Avro-748 planes that entered service in the early 1960s.
As per the agreement, Airbus will deliver the first 16 aircraft in fly-away condition from its final assembly line in Seville, Spain within 4 years and the subsequent 40 aircraft will be manufactured by Tata Advanced Systems Ltd in India as part of a commercial partnership between the two companies.
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