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The new initiative promises thousands of jobs as Gujarat prepares to elect its next government.
Digital Desk: Tata and Airbus will manufacture transport planes for the military in Prime Minister Narendra Modi's home state of Gujarat. The project will cost a whopping 22,000 crore, or 2.66 billion dollars.
"This is the first initiative of its sort in which a commercial company will produce a military aircraft in India. The project's overall cost is Rs. 21,935 crore. The aircraft can also be utilised for civilian reasons "Dr. Ajay Kumar, Defence Secretary, stated.
The PM will dedicate the manufacturing unit in Vadodara on Sunday. The new initiative, which promises thousands of jobs, comes as Gujarat prepares to elect its next administration.
Gujarat defeated Maharashtra in September to gain a $19.5 billion investment that will see chips (semiconductors) produced by a joint venture of Vedanta Ltd and Taiwan's Foxconn. The factories will be built near Ahmedabad, with significant state subsidies on electricity and other incentives, and are estimated to produce over 100,000 employment.
The Tata-Airbus deal is considered as a key win for Prime Minister Narendra Modi's "Make-In-India" initiative, which aims to lessen India's reliance on foreign military technology and equipment.
The Centre approved the purchase of 56 Airbus transport planes last month. "As part of the contract, 16 aircraft will be delivered in flyaway condition, with the remaining 40 being constructed in India," the Defence Secretary stated today. "This is the first project of its sort in which a commercial enterprise will produce a military aircraft in India," he stated.
The first 16 fly-away or ready-to-operate aircraft are expected to arrive between September 2023 and August 2025, according to an official release. The first Gujarat-made aircraft is scheduled to be delivered in September 2026.
The new C-295 transport jet will "replace the Indian Air Force's ageing Avro aircraft," according to the government. "It includes a rear ramp entrance for quick response and paradrop of personnel and cargo. Another benefit is the ability to take off and land quickly from semi-prepared areas. The aircraft will improve the IAF's logistical capabilities "According to the announcement.
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