Industry Wants Govt to Guide Partner Selection for Stealth Fighter Prototype

Government intervention may be required to guide the selection of the development-cum-production partner for the prototype of India's first radar-evading fighter jet, industry insiders with first-hand knowledge of the exercise told Business Standard.

- BHASWAR KUMAR

Otherwise, they said, the current process is unlikely to yield a second combat aircraft manufacturing line in the country, let alone one led by the private sector.

Even if the prototype were successfully built under the current scheme of things, the programme's intended execution through industry partnership is likely to be derailed, the sources stressed.

This follows a key meeting of the Aeronautical Development Agency (ADA)—the design agency of the stealthy Advanced Medium Combat Aircraft (Amca)—held in Bengaluru on July 4, which was attended by over two dozen interested companies but left many of the largest private players uncertain about the way forward. Private defence majors such as the Kalyani Group, Larsen & Toubro, the Tata group, and the Adani Group are keen to participate in the programme.

One of the issues that emerged from the meeting, as outlined by a source, was this: "Some of the companies that participated in the meeting simply do not have either the experience or the scale to significantly contribute to the Amca prototype design, development, and production project."

The sources said the qualification criteria do not appear appropriately stringent for a project of this scale and significance. "For instance, the low minimum annual turnover threshold has allowed even unqualified companies to throw their hats into the ring. Some of them have never built any defence equipment of significance," an industry insider said.