L&T, BEL join hands to bid for building India’s 5th-generation fighter jet
A full-scale model of India’s Advanced Medium Combat Aircraft (AMCA) aircraft, advanced stealth fighter jet
| Photo Credit:
MURALI KUMAR K
The competition to produce India’s ambitious 5th-generation fighter jet, the Advanced Medium Combat Aircraft (AMCA), has intensified with a Larsen & Toubro (L&T)-Bharat Electronics Ltd consortium formally expressing interest in the ₹15,000 crore programme. This marks the first time a private sector-led consortium — outside of the state-run Hindustan Aeronautics Limited (HAL) — has entered the race to develop and manufacture a platform conceived by the Defence Research and Development Organisation (DRDO).
Sources said at least three more bids from leading private players, apart from the HAL, which so far has monopoly in the combat aircraft manufacturing, are expected ahead of the September 30 deadline. One of them is Adani Defence & Aerospace, which is exploring further tie-ups for participation in the AMCA programme, while HAL is also looking to onboard a couple from 28 private players who have shown interest to become part in its consortium.
L&T has partnered with BEL, a public sector electronics giant, to jointly respond to the Expression of Interest (EoI) issued by the DRDO’s Aeronautical Development Agency (ADA) for the AMCA programme. The partnership will be 50-50, said L&T sources. The deadline for submitting bids for India’s AMCA project’s full-scale engineering development (FSED) was extended to September 30 after no private sector consortiums responded to the EoI initially released on June 18, 2025.
₹15,000 crore programme
The programme, believed to cost around ₹15,000 crore, was cleared by the Cabinet Committee on Security in March 2024. The lead partner would be DRDO’s Aeronautical Development Agency which will develop it in collaboration with various private and public entities to manufacture five prototypes in about five years.
“This is a significant leap in our commitment to modernising India’s defence capabilities,” said S N Subrahmanyan, Chairman & Managing Director, L&T. “Our collaboration with BEL is built on mutual strengths and shared national vision.”
Manoj Jain, CMD, BEL, added: “The AMCA project showcases India’s maturing defence technology ecosystem. Partnering with L&T allows us to deliver a truly world-class solution.”
While HAL has been the traditional development and production partner for DRDO-led aerospace projects, including the Tejas Light Combat Aircraft, the entry of an L&T-led consortium signals a new phase of competition and private participation in advanced fighter programmes. The government for the first time allowed private players entry into aerospace manufacturing to end the monopoly of HAL, which has also come under criticism from IAF for not meeting timelines for delivery of LCA Tejas MK-1A.
The L&T-BEL consortium is expected to submit its formal proposal to ADA in the coming week. If selected, the partnership could reshape how India’s defence aviation programmes are developed and executed — moving toward a multi-vendor, capability-driven model and breaking the decades-long monopoly of state-owned players in combat aircraft production.
Published on September 24, 2025
