Two defence sources said they were currently trying to ascertain Rawat's status.
Rawat was appointed as India's first Chief of Defence Staff (CDS) by Prime Minister Narendra Modi's government in late 2019. The position was set-up with the aim of integrating India's three services — the Army, the Navy and the Air Force.
The Air Force said that Rawat, who had previously served as India's Chief of Army Staff, was traveling in an Mi-17V5 helicopter.
Video footage from Reuters partner ANI showed rescue workers dousing a steaming wreckage in a wooded area.
"An inquiry has been ordered to ascertain the cause of the accident," the Air Force said in a tweet.