HAL aims for Rs 2.2 trillion order book by 2030; expands production

Hindustan Aeronautics Limited (HAL) announced on Tuesday that it has an order book of Rs 1.2 lakh crore and expects to add another Rs 1 lakh crore in the coming year, bringing the total order book to Rs 2.2 lakh crore, which it aims to execute by 2030.

Addressing a press conference on the sidelines of Aero India 2025 in Bengaluru, HAL Chairman and Managing Director D K Sunil said the company has received orders worth Rs 55,000 crore in the first nine months of this fiscal year. 

It is also expecting to finalise orders worth another Rs 1.2 lakh crore in the next five to six months, he added.

Noting that HAL has been spending Rs 2,500 crore annually on research and development to upgrade its products and sustain order inflows, Sunil emphasised the company's commitment to innovation.

Sharing details about two major contracts secured by HAL, he said one of them is for 97 Light Combat Aircraft (Tejas) and 156 Light Combat Helicopters (Prachanda).

"We are actively pursuing these two major contracts. Both are in the advanced stages of negotiations, and we hope to finalize them within the next five to six months," he said.

The senior official also stated that the company is manufacturing 240 engines for the Sukhoi aircraft.

According to him, HAL has ramped up its production capacity to meet increasing demand. For manufacturing Light Combat Aircraft (LCA), three units have been set uptwo in Bengaluru and one in Nasik, Maharashtra.

Additionally, the company has collaborated with private firms, including Tata and L&T, to enhance production capacity and meet its targets.

"To execute these orders, we have expanded our production capacity by setting up three new units. With this expansion, we are targeting the production of 26 aircraft by 2026," Sunil said.

Beyond domestic orders, HAL is also actively exploring export opportunities and is in discussions with the Philippines and North America for Dornier aircraft.

Guyana is already a client, and HAL has supplied two Dornier aircraft to the country. "Our discussions in North Africa are still at a preliminary stage, with ongoing talks in Nigeria, Morocco, and Egypt. Their pilots have already flown various HAL aircraft and helicopters. Similarly, in Southeast Asia, we are exploring opportunities for the Dornier aircraft," he said.

Responding to a question about the crash in Gujarat last month, which led to the grounding of the Advanced Light Helicopter (ALH) Dhruv fleet, Sunil described the incident as "unfortunate".

He stated that the Defect Investigation Team (DIT) is expected to submit its report within three weeks, after which a decision will be made on clearance.

"The cause of the accident has been identified. Currently, a defect investigation committee is analysing why a specific part failed and determining the root causes. They will provide a comprehensive report on this," he said.

"It is a cross-functional committee, comprising HAL representatives, certifying agencies, and users. We expect the report in three weeks, after which we will issue necessary instructions before clearing the aircraft for operations," he added.

Emphasising the importance of safety, Sunil said, "Since safety is paramount, we are exercising extreme caution to ensure that clearance is granted only after we have all the answers."  Regarding the development of the Advanced Medium Combat Aircraft (AMCA), Sunil stated, "The design of AMCA is nearly complete, and we are now moving into the prototyping phase. We are working closely with the Aeronautical Development Agency (ADA), and we expect the first flight by early 2028. Testing will follow thereafter."  He added that production is expected to begin by 2034, though it could happen sooner depending on the pace of development and flight testing. "The project has been sanctioned, and we are moving ahead at full speed," he said.