NEW DELHI: Adani Defence & Aerospace on Tuesday announced a strategic partnership with Italian defence major Leonardo to develop, manufacture and sustain a helicopter manufacturing ecosystem in India, with the collaboration being pitched against an estimated demand of over 1,000 helicopters projected by the Indian armed forces across various categories.
The two companies have signed a Memorandum of Understanding (MoU) to establish what they described as a “fully integrated helicopter manufacturing ecosystem in India”, positioning the country as a potential hub for military helicopter production.
The overall demand is projected to extend to more than 300 light utility helicopters, over 300 medium-lift helicopters, upwards of 100 platforms in the intermediate category and over 90 maritime multi-role helicopters.
Adani Defence said the collaboration would focus on addressing these requirements, particularly through Leonardo’s AW169M and AW109 TrekkerM platforms. The programme will involve phased indigenisation, the creation of maintenance, repair and overhaul (MRO) capabilities in India and the establishment of pilot training infrastructure.
The MoU was signed at an event in New Delhi attended by Defence Secretary Rajesh Kumar Singh, who said that self-reliance in defence manufacturing would be a gradual process. Referring to the government’s Atmanirbhar Bharat initiative, he said achieving full self-reliance could not happen immediately and would require sustained effort..
Calling the partnership a significant milestone, Adani Defence & Aerospace director Jeet Adani said the alliance with Leonardo marked a decisive step towards building a resilient and future-ready helicopter manufacturing ecosystem in India. He said the collaboration would combine global technological expertise with India’s industrial capabilities, generate high-skilled employment and position India as a competitive player in global aerospace.
Leonardo’s return to India’s defence sector comes five years after its subsidiary AgustaWestland received a clean chit in connection with the VVIP helicopter case that had led to its blacklisting. The controversy centred on a Rs. 3,600-crore contract signed in 2010 for the supply of 12 AW101 helicopters for VVIP transport, which was cancelled by India in 2014 after allegations emerged that kickbacks had been paid to Indian intermediaries and officials to manipulate technical requirements.
The case triggered a prolonged political and legal battle in India, with investigations by the CBI and the Enforcement Directorate and became a major flashpoint in national politics for nearly a decade.
Italy’s judicial proceedings, however, concluded with courts ruling that there was insufficient evidence to establish corruption by the parent company Leonardo or its management. Following these rulings and after an internal review, the defence ministry lifted the ban on AgustaWestland in November 2021, formally clearing the way for Leonardo to re-enter the Indian defence market.