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Whether we like it or not the incompetent lazy unkils in HAL are the only one who can take risk because they aren't losing their job after failure. Basically they have unlimited safety cushion but that also makes them what they are. Incompetent lazy unkills.Well thats what is gonna happens
I think what the government should do is give the partner companies like TASL and L&T contract for trainer aircraft necessary for AMCA. That way they will get a chance to use the expertise they have gained or will gain. There is less risk involved in that front. All MoD has to convince is HAL to give their trainer design to some private company. And MoD babus can easily do that.
Just give this to them.

HAL HLFT-42 - Wikipedia
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