The Defence Ministry has intensified efforts to boost India’s domestic aerospace capabilities by involving private companies in the development of the indigenous fifth-generation Advanced Medium Combat Aircraft (AMCA). This move marks a significant step towards self-reliance in military aviation and fostering technological innovation in the sector.
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High-Level Committee for Private Sector Integration
To streamline private sector participation, the Ministry of Defence has established a high-level committee under Defence Secretary Rajesh Kumar Singh. This committee, which includes representatives from the Indian Air Force (IAF) and Hindustan Aeronautics Limited (HAL), is tasked with identifying viable models for private sector involvement in the AMCA project.

The government is considering multiple approaches to maximize private sector engagement. One option is a joint venture between HAL and a private firm, leveraging the strengths of both entities. Another proposal focuses on the direct involvement of private companies in design and development while utilizing HAL’s extensive expertise in aerospace manufacturing.
Private Sector’s Growing Role in Aircraft Manufacturing
Currently, the Tata Group is the only private Indian firm with experience in aircraft integration, collaborating with Airbus to assemble C-295 transport aircraft in India. However, HAL has already partnered with private companies such as L&T, Godrej, and Azad Engineering to outsource key components of jet manufacturing. Expanding this network to include more private players will accelerate the AMCA’s development and production.
AMCA: India’s Futuristic Fighter Jet

Designed by the Aeronautical Development Agency (ADA) for the IAF, the AMCA was showcased at Aero India 2025 in Bengaluru. This 25-ton stealth fighter will incorporate cutting-edge artificial intelligence (AI) capabilities, enhancing its combat effectiveness. AI-driven features include multi-sensor data fusion for superior situational awareness, automatic target identification for quicker threat response, and a combined vision system for improved navigation in low-visibility conditions.
According to the ADA, AI integration in the AMCA will significantly enhance operational efficiency, making it one of the most advanced fifth-generation fighter jets globally. The project’s success will mark a milestone in India’s journey toward self-sufficiency in defence technology while positioning the country as a key player in advanced military aviation.