Delhi is establishing a second major overhaul facility for the Indian Army’s T-72 and T-90 main battle tanks (MBT), adding capacity to address a shortfall in army tank sustainment infrastructure.
A ground-breaking ceremony for the T-72 and T-90 tank overhaul project at Vehicle Factory Jabalpur (VFJ) took place on 27 August, in the presence of Indian Defence Minister Rajnath Singh. Jabalpur is located in the Indian state of Madhya Pradesh.
Singh said the facility being closer to army field formations would significantly reduce transportation time and logistical requirements for tank overhaul and maintenance.
Indian T-72 and T-90 MBTs have been produced and overhauled under license from Russia at Heavy Vehicles Factory (HVF) Avadi (located near the southern city of Chennai). Both HVF Avadi and VFJ are now part of state-owned Armoured Vehicles Nigam Limited (AVNL).
The Indian Army was facing a shortfall in the overhaul capability for its Russian-origin tanks, with HVF Avadi capable of maintaining only 150 MBTs annually, as against a requirement of 230.
The facility at VFJ will therefore add the capacity to overhaul up to 80 additional MBTs annually.
The new VFJ facility is being established at a cost of INR4.7 billion (approximately US$50 million), and it will be entirely funded from AVNL’s internal resources.

The additional maintenance capacity comes as India continues to sustain and upgrade a large legacy armoured fleet. The Indian Army has an authorised holding of approximately 3,700 T-72M/M1 and T-90S/SK tanks.
In February 2026, the Ministry of Defence (MoD) had also approved the overhaul of armoured recovery vehicles, T-72 tanks and BMP-2 infantry fighting vehicles to enhance the service life of these platforms.
India is also pursuing measures to sustain the service life of its T-72 fleet. In March 2025, the MoD signed a US$248 million contract with Russia’s Rosoboronexport for 1,000hp engines for these T-72 MBTs.
These engines will be delivered fully formed and in completely knocked-down and semi-knocked-down kits. A technology transfer arrangement covers their integration and subsequent licensed production at HVF Avadi.
by Atul Chandra

