Engines

Indian Defense ministry signs ₹260B engines contract with HAL

Indian Defense ministry signs ₹260B engines contract with HAL
Indian Defence Secretary Giridhar Aramane and Chief of the Air Staff Air Chief Marshal VR Chaudhari .

HAL will be indigenizing up to 1,000 parts of the engine with local industry support, to boost the development of the engine manufacturing ecosystem in India.

The Ministry of Defence (MoD) of India has formalized a ₹26,000 crore contract with Hindustan Aeronautics Limited (HAL) for the supply of 240 AL-31FP aero engines, which will be used to power Su-30MKI aircraft. Under this agreement, HAL will deliver 30 engines annually, beginning next year, with the full supply expected to be completed by 2032.

The contract was finalized in New Delhi, with senior officials from the MoD and HAL present, including Defence Secretary Shri Giridhar Aramane, Secretary (Defence Production) Shri Sanjeev Kumar, and Chief of the Air Staff Air Chief Marshal VR Chaudhari.

“The AL-31FP engines will be produced at HAL’s Koraput Division and are expected to fulfill the need of the Indian Air Force to sustain the operational capability of the Su-30 fleet for the defence preparedness of the country,” said the Indian Ministry of Defence.

Indian Defense Ministry and HAl’s 240 AL-31FP Aero Engines contract signing ceremony

HAL will leverage the Indian defense manufacturing ecosystem, incorporating contributions from MSMEs, as well as public and private sector industries. By the conclusion of the delivery program, HAL aims to enhance indigenization content to 63%, achieving an average of over 54%. This effort is expected to significantly increase the domestic content of repair and overhaul tasks for these engines.

Dr. D.K. Sunil, Chairman and Managing Director (additional charge), HAL, highlighted, “HAL will be indigenizing up to 1,000 parts of the engine with local industry support, to boost the development of the engine manufacturing ecosystem in India.”

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The Indian Air Force (IAF) currently operates a fleet of 259 Su-30MKIs out of 272 contracted, which are manufactured domestically under license from Russia. The purchase of 12 additional jets to replace those lost in accidents has been approved, and a long-awaited upgrade program for the fleet is underway, with HAL set to upgrade 84 jets over the next 15 years.