In a significant step towards strengthening India’s self-reliance in defence manufacturing, the Ministry of Defence (MoD) signed a Rs 26,000 crore contract with Hindustan Aeronautics Limited (HAL) for the production of 240 AL-31FP aero engines for the Indian Air Force’s (IAF) Su-30MKI aircraft. The agreement was formalized in the presence of senior officials, including Defence Secretary Shri Giridhar Aramane, Secretary (Defence Production) Shri Sanjeev Kumar, and Chief of the Air Staff Air Chief Marshal VR Chaudhari on September 9.
The engines will be produced at HAL’s Koraput Division, ensuring the operational readiness and sustained capability of the IAF’s Su-30 fleet, which is critical to the nation’s defence preparedness. HAL is set to deliver 30 engines annually, with the entire production schedule expected to be completed over the next eight years.
As part of the initiative, HAL will collaborate with India’s defence manufacturing ecosystem, involving Micro, Small, and Medium Enterprises (MSMEs) as well as public and private industries. HAL aims to increase the indigenization content in the production process to 63% by the end of the delivery program, with an average of over 54% indigenization throughout. This initiative will also boost the indigenous content in the repair and overhaul of the engines, contributing to the nation’s self-reliance goals.
The deal is seen as a key milestone in advancing India’s Aatmanirbhar Bharat mission, with the contract not only enhancing the IAF’s combat capability but also bolstering the country’s defence manufacturing sector.