Telangana-based Apogee Aerospace has secured a landmark ₹3,500 crore ($390 million) contract with Australia-based Amphibian Aerospace Industries (AAI) for the procurement and local maintenance, repair, and overhaul (MRO) of 15 Albatross 2.0 amphibian aircraft.

This deal marks a significant stride for India's indigenous defence and aerospace manufacturing ecosystem, highlighting the growing prowess of private sector players in high-value international partnerships.

The Albatross 2.0, an advanced multi-role amphibian aircraft, is designed for versatile operations across maritime surveillance, search and rescue (SAR), disaster relief, and troop transport. Capable of landing on both land and water, it features state-of-the-art avionics, enhanced endurance of over 10 hours, and a payload capacity exceeding 2,500 kg. These attributes make it ideal for India's diverse operational needs, particularly in coastal and island regions.

Apogee Aerospace, headquartered in Hyderabad, emerges as a key beneficiary of India's Atmanirbhar Bharat initiative in defence. Specialising in aerospace components and now scaling to full aircraft assembly, the firm brings expertise from collaborations with global OEMs. This contract underscores its readiness to handle complex MRO programs, with local facilities set to create over 1,000 direct and indirect jobs in Telangana.

AAI, a frontrunner in amphibious aviation from Australia, selected Apogee after rigorous evaluations of technical capabilities and cost efficiencies. The partnership aligns with Australia's Indo-Pacific strategy, fostering defence ties with India amid shared concerns over regional maritime security. Deliveries are slated to commence within 36 months, with the first batch prioritised for Indian Coast Guard integration.

Local MRO provisions form the contract's cornerstone, ensuring lifecycle support and technology transfer. Apogee's planned greenfield facility near Hyderabad will handle 80% of maintenance indigenously, reducing dependency on foreign vendors and slashing turnaround times.

This move bolsters India's maritime domain awareness, critical for safeguarding vast exclusive economic zones.

Financially, the deal values each Albatross 2.0 at approximately ₹233 crore, inclusive of customisations for tropical climates and Indian regulatory compliance. Funding draws from defence ministry allocations under the amphibious aircraft program, complementing existing platforms like the Dornier 228. Export potential looms large, with Apogee eyeing Southeast Asian markets.

The pact strengthens the India-Australia Comprehensive Strategic Partnership. It follows recent Quad initiatives and reflects Australia's pivot towards reliable supply chains in the region.

For India, it diversifies amphibian fleets beyond legacy HAL projects, injecting cutting-edge capabilities.

This collaboration exemplifies private sector dynamism in India's defence exports, projected to hit $5 billion by 2025. Apogee's success could catalyse similar deals, propelling Telangana as an aerospace hub rivaling Bengaluru.

The Apogee-AAI contract not only equips India with modern amphibious assets but also cements bilateral defence-industrial synergies, promising long-term strategic dividends.

IDN (With Agency Inputs)