India Secures ₹62,700 Crore Defence Deal for 156 Combat Helicopters and Flight Refuelling Aircraft

New Delhi: The Ministry of Defence (MoD) has signed two contracts with Hindustan Aeronautics Limited (HAL) for the procurement of 156 Light Combat Helicopters (LCH) Prachand, along with training and associated equipment. The contracts, worth ₹62,700 crore (excluding taxes), were formalized on March 28, 2025. The first contract includes the supply of 66 LCHs to the Indian Air Force (IAF), while the second contract is for 90 LCHs for the Indian Army.

The delivery of these helicopters is set to commence in the third year and will continue over the next five years. The LCH Prachand is India’s first indigenously designed and developed combat helicopter capable of operating at altitudes exceeding 5,000 meters, significantly enhancing the combat capability of the Armed Forces in high-altitude regions. The LCH features a high degree of indigenous content, with over 65% of components sourced from domestic manufacturers. This procurement will involve over 250 domestic companies, primarily MSMEs, and is expected to generate more than 8,500 direct and indirect jobs.

Additionally, the Ministry of Defence has signed a contract with Metrea Management for the wet leasing of one Flight Refuelling Aircraft (FRA) to provide Air-to-Air refuelling training for pilots of the IAF and Indian Navy. Under this agreement, Metrea will supply a KC-135 Aircraft within six months, marking the first-ever wet lease of an FRA by the IAF.

With these agreements, the total number of contracts signed by the Ministry of Defence in 2024-25 has reached 193, with a cumulative contract value exceeding ₹2,09,050 crore, the highest ever in India’s defence procurement history. Out of these, 177 contracts (92%) worth ₹1,68,922 crore (81%) have been awarded to domestic industries, reinforcing India’s commitment to self-reliance in defence manufacturing under the Atmanirbhar Bharat initiative.