MoD inks two contracts worth Rs 62,700 crore with HAL for supply of 156 LCH, Prachand to the Armed Forces - Broadsword by Ajai Shukla - Strategy. Economics. Defence.

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Saturday, 29 March 2025

MoD inks two contracts worth Rs 62,700 crore with HAL for supply of 156 LCH, Prachand to the Armed Forces

66 LCHs will be supplied to the Indian Air Force;

90 will be supplied to the Indian Army 

 

MOD also contracts with Metrea Management for wet leasing one flight refuelling aircraft; for air refuelling training to IAF and navy pilots 


By Ajai Shukla

 

On March 28, 2025, India’s Ministry of Defence (MoD) signed two contracts with Hindustan Aeronautics Limited (HAL) for supplying 156 Prachand Light Combat Helicopters (LCH), along with training and other associated equipment worth Rs. 62,700 crore, excluding taxes. 

 

The first contract is for 66 LCHs to the Indian Air Force (IAF). The second is for 90 LCHs to the Indian Army. 

 

The supply of these helicopters will commence from the third year after signing and will be spread over the next five years.

 

The Prachand attack helicopters will enhance the combat capability of India’s armed forces at high altitudes. It is India’s first indigenously designed and developed combat helicopter with the capability of operating at an altitude of over 5,000 meters.

 

This helicopter has a large number of components designed and manufactured in India and it is planned to achieve an overall indigenous content of over 65 per cent during the execution of this procurement.  This will involve over 250 domestic companies mostly micro, small and medium enterprises (MSMEs) and will generate over 8,500 direct and indirect jobs.

 

The MoD also signed a contract with Metrea Management for wet leasing of one Flight Refuelling Aircraft (FRA) for air to air refuelling training to pilots of IAF and Indian Navy. Metrea will provide FRA (KC135 Aircraft) within six months which will be the first FRA to be wet leased by IAF.

 

With this, the total number of contracts signed by MoD during 2024-25 reaches 193. Overall contract value has exceeded Rs 2,09,050 crore –­ the highest ever and nearly double the previous highest figure. 

 

Out of these, the contracts to domestic industry are 177 (92%) with contract value Rs 1,68,922 crore (81 per cent). 


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