Defence Ministry Signs Rs 26,000 Crore Contract with HAL for 240 AL-31FP Aero Engines, Boosting Aatmanirbhar Bharat

New Delhi: In a significant step towards promoting the Aatmanirbhar Bharat initiative, the Ministry of Defence (MoD) has signed a contract with Hindustan Aeronautics Limited (HAL) for the procurement of 240 AL-31FP Aero Engines, designed to power the Su-30MKI aircraft. The deal, worth over Rs 26,000 crore, was finalized in New Delhi in the presence of Defence Secretary Shri Giridhar Aramane, Secretary (Defence Production) Shri Sanjeev Kumar, and Chief of the Air Staff Air Chief Marshal VR Chaudhari.

The engines will be produced by HAL’s Koraput Division and will play a vital role in sustaining the operational readiness of the Indian Air Force’s Su-30 fleet. HAL has committed to delivering 30 aero-engines annually, with the entire order of 240 engines scheduled to be completed over the next eight years.

In line with the government’s focus on indigenization, HAL will work with India’s defence manufacturing ecosystem, including MSMEs and private sector partners, to increase the indigenous content of these engines. By the end of the delivery timeline, the indigenization level is expected to reach up to 63%, enhancing the local capabilities in the repair and overhaul of the aero-engines.