PM Modi, Spanish counterpart Sanchez inaugurate Airbus C295 plant in Vadodara

A plant for producing Airbus C295 aircraft was inaugurated in Vadodara on Monday by Prime Minister Narendra Modi and Spanish PM Pedro Sanchez.

Who held up the project as a milestone for India’s aviation and defence manufacturing capabilities. Sanchez, the first Spanish PM to visit India in 18 years, and Modi toured the plant located at the Tata Advanced Systems campus at Vadodara after participating in a road show in the city. The two leaders are set to hold talks to review bilateral relations and chart the course for collaboration in future.

The plant, set up by Tata Advanced Systems in collaboration with Airbus Spain, will manufacture 40 of the 56 Airbus C295 aircraft to be delivered to the Indian Air Force (IAF) under a $2.5-billion contract finalised in September 2021. Airbus will deliver the 16 other aircraft in a “fly-away” condition from its assembly line in Seville, Spain.

Speaking at the inauguration of the plant, Modi said the factory will give a new direction to the India-Spain partnership and bolster the “Make in India, make for the world” mission. Referring to the recent death of former Tata Sons chief, Ratan Tata, Modi said, speaking in Hindi: “If he was among us, he would have experienced the greatest happiness. Wherever his soul is, it will be feeling happiness.”

Several steps taken over the past 10 years had strengthened defence manufacturing and driven exports of military hardware, moving India away from its traditional role as an importer of such equipment, Modi said. Defence exports have increased by 30 times, and India now supplies military equipment to more than 100 countries, he said.

A vibrant defence industry has developed, the private sector’s role has increased, the public sector has been made efficient, and ordnance factories were converted into seven companies, while the Defence Research and Development Organisation (DRDO) and Hindustan Aeronautics (HAL) were strengthened, and defence corridors were created in Uttar Pradesh and Tamil Nadu, he said.

The plant in Vadodara can play a key role in the future in designing and manufacturing civilian aircraft, given the needs of the booming aviation sector, Modi said. In this context, he pointed to the orders placed by Indian airlines for 1,200 aircraft and the government’s efforts to make the country a hub for aviation and maintenance, repair and operations (MRO).

Sanchez said the partnership between Airbus and Tata will contribute to the progress of India’s aerospace industry and open new doors for the arrival of other European companies. The project “strengthens our industrial ties while underlying Spain’s deep commitment as a reliable and strategic partner”, he said.

“In addition to contributing to modernising India’s defence capabilities, it will also drive technological development,” Sanchez said, adding that the plant will help create a new generation of highly qualified technicians and engineers.

Spain is committed to transfer of technology for the creation of an authentic industrial eco-system covering manufacture, delivery, production of parts, testing and maintenance of the aircraft, Sanchez said.

The first “Made in India” C295 is expected to roll out in 2026, and delivery of all the aircraft is expected to be completed by 2031. The groundbreaking for a training centre at the Agra airbase was done in March 2023 and a full motion simulator is set to be delivered by the end of 2024.

The plant in Vadodara is the first “Make in India” project in the private aerospace sector involving the development of a full industrial ecosystem, including assembly, testing, qualification, delivery and maintenance for the aircraft over 25 years. Leading defence public sector units such as Bharat Electronics and Bharat Dynamics will contribute to the programme.

The C295, capable of operating from short or unprepared airstrips, can transport up to 71 troops or 50 paratroopers, and be used for logistic operations at locations that are inaccessible to heavier aircraft. It can also be used for medical evacuation, disaster response, special missions and maritime patrol duties.