Eyeing the global market, Russia has offered to jointly develop with India a next generation Advanced Jet Trainer, which could also be used as a Light Combat Aircraft.

"Within this year we are going to formally make the  proposal to pool the efforts of the two countries in developing new generation AJT and hope that Indian defence ministry's response would be positive," said Alexei Fyodorov, president of Russia's IRKUT Aerospace Corporation.

The proposal calls for pooling of Defence Research and  Development Organisation resources on the AJT programme and IRKUT's Yak-130 project to cut costs and share risks, he  said while interacting with the Indian media in Moscow.

"We are not talking only of Indian or Russian  requirements. We are eyeing the global market, where this trainer jet, convertible into Light Combat Aircraft capable of carrying three tons of weapon load, would have a great scope,"  Fyodorov said.

The proposed aircraft would be based Russian Air Force's Yak-130 AJT, which is 75 per cent identical to the Sukhoi Su-30MKI fighter jets, he said. The new AJT would have certain distinct features, he added.

Fyodorov said over the years IRKUT has developed very close and fruitful interaction with Hindustan Aeronautics Limited, which can supply avionics produced under license for the Su-30MKI production, as well as key components for the proposed AJT.

IRKUT Corporation's Irkutsk-based aircraft plant, involved in the Sukhoi Su-30MKI project, proposes to take the Indo-Russian defence ties from 'buyer-seller' relationship to the higher orbit of joint development, production and marketing of the state-of-the-art weapon systems.

The Su-30MKI project is virtually a joint venture with HAL, which would supply components for the similar fighters to be supplied to Malaysia, said Mikhail Pogasyan, president of Sukhoi Aviation Corporation.

Under the $3.5 billion Sukhoi technology transfer deal, largest ever single defence contract signed by India with Russia, HAL is getting "deep" license for the indigenous production of all the components, including unique thrust vectoring AL-31FP Lyulka Saturn engines, he said.