India's Tata and France's Airbus to manufacture helicopters together

NEW DELHI, Jan 27 (Reuters) - India's Tata group and France's Airbus have signed an agreement to manufacture civilian helicopters together, India's Foreign Secretary Vinay Kwatra said on Friday.

The agreement was signed during French President Emmanuel Macron's ongoing state visit to India, he said.

Tata and Airbus are already cooperating to make the C-295 transport aircraft in Prime Minister Narendra Modi's home state of Gujarat.

"Industrial partnership (signed) between Tata and Airbus helicopters for production of H125 helicopters with a significant indigenous and localisation component," Kwatra said at a media briefing on Friday.

Airbus, in a statement announcing the final assembly line (FAL) for helicopters on Friday, said the machines produced would also be exported to some of India's neighbouring countries.

"The FAL will take 24 months to set up and deliveries are expected to commence in 2026," Airbus said, adding that the location of the facility will be jointly decided by the companies.

Tata did not immediately respond to a request for comment.

Further cooperation in the defence sector was also discussed during Macron's state visit, officials said, including the possibility of French engine maker Safran assisting in manufacture of fighter jet engines in India.

France is already India's second largest arms supplier and the South Asian nation has relied on its fighter jets for four decades now.

"Safran is fully willing to do it with a 100% transfer of technology in design, development, certification, production and so on," India Ambassador to France Jawed Ashraf said, adding that discussions will continue on the matter.