Tata lowest bidder for Rs 20k-cr tank project

By Sohail Khan 8 September 2026, 11:48 pm

Benchmarks
Nifty23,635.10-144.06

Precious Metal
Gold (MCX) (Rs/10g.)152,605.00-213.0

Enter search text:

Business News›News›Defence›Tata emerges lowest bidder for Rs 20,000-crore Project Zorawar light tank; Mahindra to also develop prototype

Read Today's Paper

Tata emerges lowest bidder for Rs 20,000-crore Project Zorawar light tank; Mahindra to also develop prototype
Synopsis

Tata Advanced Systems Ltd has emerged as the lowest bidder in the Army's prestigious Project Zorawar defense contract. This pivotal initiative centers around creating a new light battle tank specifically designed for high-altitude operations. TASL is set to produce and showcase two prototype tanks within the next 130 weeks. In addition, Mahindra Defence Systems, the second-lowest bidder, will also be working on their own prototype.

Tata Advanced Systems Ltd (TASL) has emerged as the lowest bidder in a gruelling defence ministry contest to develop a next-generation light battle tank, beating four other entities vying for the key project valued at nearly ₹20,000 crore, said people familiar with the matter.

The Army’s Project Zorawar marks the first time a battle tank will be fully built by the private sector. It entails developing a new Armoured Fighting Vehicle-Indian Light Tank (AFV-ILT) capable of operating at very high-altitudes, besides marshlands and deserts.

The ministry has shortlisted TASL after a three-year selection process involving evaluation of technical and commercial bids, the people said. In the next stage, the Tata Group company will be tasked with developing and demonstrating two prototype tanks within 130 weeks.

The project is being implemented under the defence ministry’s Make 1 policy, which permits 70% government funding for project development. The second-lowest bidder, Mahindra Defence Systems, will also be invited to develop the prototype.

While TASL had emerged as the lowest bidder for the project last year, it is learnt that one of the competitors raised objections on the selection process. After detailed examination by the army and defence ministry, the objections were not found to be valid, and the process has now moved ahead to the stage of issuing of a Production Order (PO).

The step marks a milestone for Tata that has previously supplied tactical trucks and infantry fighting vehicles to the army. It also marks a natural progression to tracked, armoured systems, with Tata learnt to have offered the tank with an indigenous turret system and self-developed loitering munitions.

Add as a Reliable and Trusted News Source
Add Now!

(You can now subscribe to our WhatsApp channel)

(You can now subscribe to our WhatsApp channel)

Read More News on
Tata Advanced SystemsProject ZorawarIndian Army light tankTata light tankMahindra Defence SystemsProject Zorawar tankindigenous light battle tankIndian defence sectorMake 1 policyProject Zorawar light tank

Enter search text:

Continue reading with one of these options:
Limited Access
Free
Login to get access to some exclusive stories

& personalised newsletters
Login Now

Unlimited Access
Starting @ Rs120/month
Get access to exclusive stories, expert opinions &

in-depth stock reports
Subscribe Now

Unlock Access to All Exclusives with ETPrime FREE TRIAL

15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers

Trial offer expiring in00 : 05 : 00

I'd rather pay ₹2599 now

Uh-oh! This is an exclusive story available for selected readers only.

Worry not. You’re just a step away.

Prime Account Detected!

It seems like you're already an ETPrime member with

Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.

Unlock ETPrime's Exclusive Stories Today!

Subscribe to gain powerful insights on business, stock market and industry trends.

Big Price Drop! Flat 40% Off

Student Only Offer

Already a Member? Sign In now

Already a Member? Sign In now
Already a Member? Sign In now

Offer Exclusively For You

Save up to Rs. 700/-

ON ET PRIME MEMBERSHIP

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get Flat 40% Off

Then ₹ 1749 for 1 year

Avail Offer

Offer Exclusively For You

ET Prime at ₹ 49 for 1 month

Then ₹ 1749 for 1 year

Avail Offer

Special Offer

Get flat 40% off on ETPrime

Avail Offer
Avail Offer

Claim NowAlready a Member? Sign In now

Need Assistance?

Connect with an ETPrime expert for personalized support and guidance

+91 9484700004

' + h3 + '

' + h4 + '

' + listing + '

What’s Included with

ETPrime Membership

1Exclusive Insights That Matter

Uncover the truth with our investigative stories

Make strategic moves using the real-world case studies

Read industry-specific stories to identify emerging trends

Spot opportunities with in-depth insights that matter

Trump temper on H-1B visas is forcing Indians to do these things to stay put in US

What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.

Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?

The problem with lab grown diamonds
Why a falling rupee is a better option for the economy

A list of top 20 momentum stocks that have delivered massive returns in one year