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IAF to buy mid-air refueling aircraft from Israel for ₹8,000cr
IAI is the sole bidder

IAF to buy mid-air refueling aircraft from Israel for ₹8,000cr

Oct 28, 2025
04:27 pm

What's the story

The Indian Air Force (IAF) is likely to award an ₹8,000 crore contract to Israel Aircraft Industries (IAI) for six mid-air refueling aircraft. The Israeli government-owned firm has emerged as the sole bidder in a competitive process. If finalized, IAI will convert six second-hand Boeing 767 commercial jets into tanker planes and deliver them to the IAF.

Deal details

Deal to include 'Made in India' content

As part of the deal, IAI has agreed to include around 30% "Made in India" content through offsets. The tender process, which began years ago, saw participation from Russian and European manufacturers but only IAI met all technical and indigenization requirements. This is a major step toward strengthening India's aerial refueling capabilities amid growing operational demands.

Existing resources

Current fleet of Russian-origin IL-78 aircraft

The IAF now operates six Russian-origin IL-78 tanker aircraft from Agra, supporting refueling operations for Air Force and Navy fighters. However, this fleet has been plagued by operational and maintenance challenges. Despite multiple attempts over the past 15 years to procure additional tankers, no deal has been finalized due to the cost, procedural, and operational factors.

Future prospects

Enhancing IAF's operational capabilities

The new aircraft, once delivered, are expected to significantly enhance the IAF's long-range operational reach and endurance. This will go a long way in supporting India's expanding air power needs. The move comes as part of a broader strategy by the Indian Air Force to modernize its fleet and improve operational efficiency amid evolving security challenges.