Hindustan Aeronautics Limited’s Koraput division has delivered its 2,000th aero-engine, a milestone the Ministry of Defence marked on 6 October 2026 by announcing major capacity expansions. Defence Minister Rajnath Singh called for stronger focus on indigenous engine design, development and manufacturing as part of India’s efforts to reduce dependence on imported propulsion systems for military aircraft and helicopters.
The announcement comes as India pursues an ambitious indigenous high-thrust engine programme and prepares to develop engines for the Advanced Medium Combat Aircraft (AMCA) project. Two significant production expansions have been approved with combined investment of Rs 553 crore.
Key facts
- HAL Koraput established in 1964; has now delivered 2,000 engines across six decades
- AL-31FP production capacity to increase from 30 to 50 engines per year; investment Rs 335 crore
- Second Shakti engine production line approved; investment Rs 218 crore; capacity up to 100 engines annually by 2028-29
- Indigenous high-thrust engine programme receives investment of about Rs 5,000 crore
- HAL received order for 240 AL-31FP engines in 2024; delivered 63 against target of 60 by end of second year
- HAL Koraput has overhauled more than 9,000 engines to date
- Odisha Government approved Aerospace and Defence Equipment Manufacturing Complex at Gajamara, Dhenkanal
What HAL Koraput makes and its role
The Koraput division manufactures and overhauls aero-engines for India’s military aircraft fleet. Its engines have powered leading combat aircraft including the MiG-21, MiG-27, MiG-29 and Su-30MKI. The facility also provides maintenance, repair and overhaul services that extend the operational life of existing engines, helping the Defence Forces maintain aircraft readiness without replacing entire propulsion systems.
Production capacity expansion for AL-31FP engines
The AL-31FP engine powers the Su-30MKI fighter aircraft. Currently, HAL produces 30 such engines annually. The approved Rs 335 crore investment will increase this to 50 engines per year. This expansion addresses a 2024 Defence Ministry order for 240 AL-31FP engines to be delivered over several years. HAL has already delivered ahead of schedule despite global supply-chain disruptions and raw material challenges, indicating the facility’s operational maturity.
Shakti engine and helicopter propulsion
A second production line for the Shakti engine will be established with Rs 218 crore investment and be fully operational by 2028-29. The Shakti engine powers India’s helicopter fleet, including the Dhruv Advanced Light Helicopter and the Prachand Light Combat Helicopter. The new line will produce up to 100 engines annually, meeting the Defence Forces’ requirement for reliable indigenous helicopter propulsion that remains available throughout the aircraft’s lifecycle and can be upgraded as technology evolves.
Indigenous high-thrust engine programme
India is investing approximately Rs 5,000 crore to develop a high-thrust indigenous engine, particularly for the AMCA combat aircraft programme. This effort includes partnerships with Mishra Dhatu Nigam Limited (MIDHANI) to indigenise raw materials and the establishment of India’s first indigenous high-thrust engine testing facility. The Defence Minister stressed that aerospace self-reliance requires mastery of propulsion technology alongside advanced materials, metallurgy, cooling systems and precision manufacturing.
Broader ecosystem development
The Defence Minister called on HAL Koraput to develop beyond a simple production facility into a broader aerospace propulsion ecosystem. This includes mentoring small and medium enterprises, supporting start-ups and young engineers in advanced technology areas, collaborating with universities and research institutions, and building indigenous manufacturing capabilities for critical engine components. Odisha’s strategic location, ports, mineral resources and existing defence infrastructure, including DRDO’s Integrated Test Range at Chandipur, position it as a growing centre for aerospace and defence manufacturing.
What this means for you
Indian taxpayers benefit from reduced dependence on imported military engines, lowering long-term defence procurement costs. Students and engineers gain expanding career opportunities in advanced aerospace manufacturing and propulsion technology. Defence personnel will have improved aircraft and helicopter readiness as indigenous engines reduce supply vulnerabilities. Private industry and MSMEs can participate in the engine ecosystem as component suppliers and specialised manufacturers, creating business opportunities across Odisha and India.
What happens next
The second Shakti engine production line is scheduled to become fully operational by 2028-29. HAL will work to deliver the 240 AL-31FP engines ordered in 2024. The Defence Ministry and HAL will pursue the Rs 5,000 crore indigenous high-thrust engine programme in parallel, with the Odisha Aerospace and Defence Equipment Manufacturing Complex at Gajamara also moving toward establishment.