HAL’s Koraput division to produce 240 AL-31FP engines in Rs 26,000 crore deal

New Delhi: In a landmark development for India’s defense sector, the Ministry of Defence (MoD) has signed a substantial contract with Hindustan Aeronautics Limited (HAL) for the supply of 240 AL-31FP aero engines, crucial for the Su-30MKI aircraft.

Valued at over Rs 26,000 crore, this contract marks a significant advancement in the nation’s pursuit of self-reliance in defense production and fortifies its defense preparedness.

The contract was formalized in New Delhi by senior MoD officials alongside HAL representatives, with key figures including Defence Secretary Giridhar Aramane, Secretary (Defence Production) Sanjeev Kumar, and Chief of the Air Staff Air Chief Marshal VR Chaudhari witnessing the agreement.

This contract not only underscores the growing capabilities of India’s defense industry but also highlights the pivotal role of HAL’s Koraput division in this strategic venture.

Koraput Division: The Manufacturing Hub

The Koraput division of HAL, located in Odisha, will be at the heart of this monumental project. Renowned for its advanced manufacturing capabilities, the Koraput facility will undertake the production of these 240 high-performance aero engines.

HAL would  supply 30 aero-engines per annum as per the contractual delivery schedule. The supply of all 240 engines would be completed over the period of next eight years.

During the manufacturing, HAL plans to take support from the country’s defence manufacturing ecosystem, involving MSMEs and public and private industries. By the end of the delivery programme, HAL would enhance the indigenisation content up to 63% to achieve an average of over 54%.

 This would also help increase the indigenous content of Repair and Overhaul tasks of the aero-engines.