New Delhi, Feb 12: The Defence Ministry on Thursday said it has signed a contract with Hindustan Aeronautics Limited (HAL) for the acquisition of eight Dornier 228 aircraft, along with operational role equipment for the Indian Coast Guard (ICG), for Rs 2,312 crore.
Boost to domestic manufacturing and employment
The order is expected to generate significant direct and indirect employment by strengthening HAL’s production ecosystem and supporting a broad network of MSMEs and ancillary industries.
It will also create sustained opportunities in Maintenance, Repair & Overhaul and life-cycle technical support, according to an official statement.
The contract was signed under the Buy (Indian) category in the presence of Defence Secretary Rajesh Kumar Singh. The contract reinforces the government’s commitment to Aatmanirbhar Bharat and ‘Make in India’ while bolstering India’s maritime security architecture.
HAL posts strong Q3 results
HAL on Thursday reported a strong financial performance for the December quarter of the current financial year (Q3 FY26), as the defence public sector company posted a 29.6 per cent year-on-year rise in its consolidated net profit. Its profit after tax for the quarter stood at Rs 1,866.66 crore, compared to Rs 1,439.79 crore in the same period last financial year (Q3 FY25), according to an exchange filing.
India’s fighter jet engine push
Meanwhile, India is gearing up to give its aerospace ambitions a big push with a massive investment of about Rs 65,400 crore ($7.44 billion) to develop and produce fighter jet engines by 2035. The plan aims to make India self-reliant in one of the most critical areas of defence — aircraft propulsion, according to reports.
The project marks a strong step towards reducing dependence on imports and building engines that can power the next generation of Indian fighter jets. From the advanced Tejas Mk2 to the stealthy AMCA, and from upgraded fighters to unmanned aircraft, India plans to build around 1,100 engines in the next decade.
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For the first time, India is inviting private companies to participate in fighter jet development, opening new opportunities for innovation and growth in the aerospace sector. Hindustan Aeronautics Limited (HAL) will work alongside private and global players to share the workload and boost production.
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