HAL, Russian consortium to produce multi-role aircraft

Bangalore, May 22 : BANGALORE-based Hindustan Aeronautics Limited, will design and produce jointly with a Russian consortium, a multi-role transport aircraft, which would be cheaper, by atleast 30 per cent than similar aircraft in the world, a top HAL official said.

HAL Chairman, CG Krishnadas Nair, said the aircraft would be a 100-seater in passenger mode. In the military, transport or cargo mode, it would have a carrying capacity of 15 to 20 tonne.

“It (aircraft) will be at least 30 per cent cheaper than similar aircraft in the world. It has a lot of potential for India and outside India”, Mr Nair said.

The aircraft project entails an investment of Rs 2,000 crore to Rs 3,000 crore. “HAL will invest and we will get funds from outside”.

He said it is in a “detailed project report stage” and “we have to get funds”. “At that stage, we will see whether we get into equity participation with the private sector”. With the government recently opening up the defence production sector to private participation and permitting 26 per cent foreign direct investment (FDI), Mr Nair indicated that HAL, which already has two joint ventures (JVS), might go in for some more JVs.

“HAL, on a selective basis in some areas, may go in for co-production and joint ventures”, he added.

Welcoming the opening up of the defence production to private participation, Mr Nair hoped it would lead to creation of more jobs and encourage the Indian private sector.

“At present, we are importing a lot of weapons and equipment and all that. Since we are buying from them, it is much better if they come to India and produce here...so we will have better control”, he said.