Anil Ambani-led Reliance Infrastructure has achieved a historic milestone in India’s defence sector. The company has now become India’s first private sector firm to independently carry out a complete upgrade programme of a military aircraft without an original manufacturer (OEM). This sector has so far been under the control of public sector units (PSUs) and foreign defence companies.
Reliance Infra Becomes First Private Firm to Fully Upgrade Military Aircraft
The company has so far successfully upgraded 55 Dornier-228 aircraft. This project was awarded to it under a contract with Hindustan Aeronautics Limited (HAL), in which US-based Genesys Avionics was also a technical partner. Initially, the contract was for 37 aircraft, which was followed by an order for 18 more aircraft after successful implementation.
The cost of the project is estimated at Rs 350 crore
The cost of this entire project is estimated at Rs 350 crore. These upgraded aircraft are being used by the Indian Air Force, Navy and Coast Guard. The company is now targeting upgrade opportunities worth Rs 5,000 crore over the next 7 to 10 years.
Growing Market for Defence Aircraft Upgrades
India has thousands of old military aircraft and helicopters with a service life of 30 to 40 years. Regular upgrades of avionics, mission systems and security equipment are required to keep these platforms compatible with the latest combat technology.
₹5,000 Crore Opportunities in Next Decade
According to experts, the cost of upgrades and maintenance over the lifecycle of a platform can be up to 200-300% of its original price. Globally, this market is over Rs 5 lakh crore and can reach Rs 7 lakh crore in the coming years.
Boost to ‘Atmanirbhar Bharat’ in Defence
This move of Reliance Infrastructure is in line with the ‘Atmanirbhar Bharat’ mission. The company aims to empower India with indigenous capabilities in the defense sector.
The company is now planning to scale-up upgrade services for helicopters and other military platforms as well. For this, it is partnering with global defense companies.
Reliance Infra’s Role in Rafale’s PBL Program
Another major role of Reliance Infrastructure is also in the Performance-Based Logistics (PBL) program of Rafale fighter jets in India, where it is working closely with France’s Thales company.
Big opportunity for investors
Reliance Infrastructure’s defense upgrade model is not only technologically revolutionary, but presents a high potential opportunity for investors with recurring revenue and global partnerships.
Given the growing role of the private sector in defense manufacturing, this initiative adds a new chapter to India’s defense aviation ecosystem. The company’s expertise and execution capabilities can make it the leading private firm in this sector.
Q1. What is Reliance Infrastructure’s role in defence aircraft upgrades?
Reliance Infrastructure is India’s first private company to independently upgrade military aircraft, completing 55 Dornier-228 upgrades under a HAL contract.
Q2. How much is the Dornier-228 upgrade project worth?
The project is estimated at ₹350 crore and is a part of a growing defence upgrade market expected to be worth ₹5,000 crore in the next 7–10 years.
Q3. What is Performance-Based Logistics (PBL) in defence?
PBL is a model where companies support maintenance and performance of defence platforms like Rafale. Reliance Infra is a key player in Rafale’s PBL in India.
