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HAL shares in focus as delay-hit Tejas jets to reach IAF by March
Hindustan Aeronautics Ltd
(
HAL
) shares will be in focus on Wednesday after CMD D.K. Sunil confirmed that the
Indian Air Force
(IAF) will receive at least six
Tejas Light Combat Aircraft
(LCA) by March 2026. The assurance comes amid concerns raised by the IAF over delays in the delivery schedule.
Sunil attributed the delay to U.S.-based GE Aerospace, which missed deadlines for supplying the
F404 engines
that power the
LCA Mk-1A
variant.
'The aircraft are ready. As of today, we have six aircraft lined up, but the engine deliveries from GE Aerospace have not happened. They were supposed to deliver the engines in 2023, and so far, we've received only one,' Sunil said in an interview with PTI.
He added that the delays were initially due to COVID-related disruptions and the exit of senior engineers, which caused supply chain bottlenecks. However, with technical issues now resolved, HAL expects to receive 12 engines during the current fiscal year, enabling deliveries to the IAF.
'Every company faces criticism. In our case, we're prepared — the jets are ready, and we'll deliver them by the end of this fiscal,' Sunil said.
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The IAF had earlier raised concerns about the delay in the induction of the LCA Mk-1A, with Air Chief Marshal A.P. Singh highlighting the issue publicly. HAL now plans to produce 16 Tejas jets next year, provided the engine supply remains steady.
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In February 2021, the Ministry of Defence signed a Rs 48,000 crore contract with HAL to procure 83 Tejas Mk-1A jets. An additional order for 97 more jets, worth Rs 67,000 crore, is currently in the pipeline.
The single-engine Tejas Mk-1A is designed to replace the ageing MiG-21 fleet and bolster the IAF's squadron strength, which has declined to 31 from the sanctioned 42.
The Tejas is a multi-role fighter equipped with advanced radar systems, electronic warfare suites, and a wide range of missiles. 'It's a potent platform with a full complement of avionics and weapons. It will serve the Air Force well,' Sunil said.
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Sunil also said HAL is in talks with several countries that have expressed interest in the Tejas aircraft. 'We hope to have a breakthrough soon,' he said, without naming the potential buyers.
Additionally, HAL recently secured a major contract to supply 156 Light Combat Helicopters (LCH) Prachand to the Indian military. The Rs 62,700 crore deal was finalised in March, with deliveries expected to begin in 2028.
The Prachand is India's first indigenously designed and developed combat helicopter, capable of operating at altitudes above 4,500 metres.
(
Disclaimer
: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times)
