The production model design is expected to be ready by June-July this year, he said.
The test flight, commanded by Wing Commander U P Singh, Group Captain R V Panicker and Group Captain K P Bhat of the Indian Air Force (Aircraft and System Testing Establishment), lasted 25 minutes, Vardhan said.
The flight took off from the HAL's airport here.
"This was the second of the 20 test flights planned for Saras PT1N, before freezing the production version...," he told reporters here.
The first successful test was carried out on January 24 this year.
The design and development of the aircraft are being done by the CSIR-National Aerospace Laboratories, he said.
The Indian Air Force has committed to induct 15 such aircraft initially, Vardhan said.
CSIR-NAL proposes to get the SARAS-Mk 2version certified initially for military and subsequently for civil version, he said.
Saras will be 20 to 25 per cent cheaper than any imported aircraft in the same category and it will be a 19-seater aircraft instead of 14-seater, Vardhan said.
"The unit cost of the aircraft, with more than 70 per cent indigenous content, will be around Rs 40 to Rs 450 million as against Rs 600 to Rs 700 million for imported ones and has far more benefits than what the imported aircraft offers," he said.
The HAL has been identified as the production agency for the military version of Saras, while production of the civilversion will be given to identified private industries.
India needs 120 to 160 civil and military versions of the aircraft in this genre in the next 10 years, Vardhan said.
"Its successful development will be one of the game changers in the history of civil aviation in India," he said.
The project was dumped by the previous government, after an accident during the test flight in 2009, Vardhan said.
"Though the Directorate General of Civil Aviation had exonerated the aircraft from any design flaw or poor-quality production, no effort was made to revive the project," he added.
The credit for reviving the indigenous project goes to the present government, headed by Prime Minister Narendra Modi, who had given a thrust to the 'Make in India' mission and the team of scientists and engineers under the leadership of JJadhav, the minister said.
"It is the culmination of joint team efforts of ASTE, DGAQA, CEMILAC and HAL," he added.
After the project was revived by the present government, NAL has incorporated design modifications and improvements on the Saras PT 1 model, like 2x1200 shp engines, among other things, Vardhan said.
CSIR Director General Girish Saini said the cost of development and certification of Saras Mk2 will be around Rs 6 billion with a time period of about 2 to 3 years.
Air Vice Marshal Sandeep Singh said the IAF was committedto testing and thereafter inducting the first indigenously designed and manufactured Light Transport Aircraft.
"IAF is fully supporting this programme and the design and configuration of the new version of SARAS would be frozen soon," he added.