In a significant boost to India’s defence capabilities, the Ministry of Defence (MoD) has signed a Rs 26,000 crore contract with Hindustan Aeronautics Limited (HAL) for the supply of 240 AL-31FP aero-engines. These engines will be used to power the Indian Air Force’s Su-30MKI fighter jets. The agreement was formalised on Monday during a ceremony attended by senior MoD officials, including Defence Secretary Giridhar Aramane and Air Chief Marshal VR Chaudhari, Chief of the Air Staff.

As per the contract, HAL’s Koraput Division will produce the aero-engines, supplying 30 units annually over an eight-year period. This schedule ensures that all 240 engines will be delivered within the contractual timeframe. The new engines are expected to play a crucial role in maintaining the Su-30 fleet’s operational readiness, hence strengthening India’s defence preparedness.

The project also aims to boost local manufacturing and enhance the country’s self-reliance in defence production. HAL plans to collaborate with small and medium-sized enterprises (MSMEs), as well as public and private sector industries, to support the manufacturing effort. As part of the initiative, the company will gradually increase the level of indigenization in the aero-engines, aiming for 63% indigenous content by the end of the delivery program, with an overall average of more than 54%.

The move will not only support indigenous manufacturing but also improve the content of local materials in repair and maintenance tasks associated with the aero-engines, in line with the government’s Make in India policy.