Samtel HAL Display Systems Ltd (SHDS), the joint venture between Hindustan Aeronautics Ltd (HAL) and Samtel Avionics, has opened a new manufacturing facility in Haryana’s Gurugram to expand indigenous production of defence-grade avionics display systems.

The nearly two-decade-old venture, described as India’s first public-private defence avionics joint venture to design, qualify and serially manufacture a fighter-aircraft multifunction display, expects to record its highest-ever annual turnover of around Rs 200 crore this year and sees potential to scale this to Rs 400-500 crore over the next three to four years.

HAL Chairman and Managing Director Ravi K inaugurated the facility at Udyog Vihar, Phase IV, on August 26. The new site will support testing, quality assurance, design, development, manufacturing and product support for advanced display systems used in airborne and ground applications.

Expanding indigenous avionics capability

The new facility marks an important move in India’s effort to localise avionics, a high-technology segment that includes cockpit displays, mission-system interfaces, test benches and associated electronics. Such systems provide pilots with critical flight, navigation, engine, weapon and mission information in a readable format during operations.

SHDS was established in 2006 to meet avionics requirements, including test benches and systems, for HAL’s fixed-wing and rotary-wing aircraft programmes. The venture combines HAL’s experience in military aviation and aircraft integration with Samtel Avionics’ display-technology capabilities.

Ravi K said the facility represented an important step in HAL’s wider indigenisation programme.

“Going forward, we want to move ahead with all the other displays for our new product that is coming up. We want to work with the joint venture because capability-wise, they are already there,” he said.

He said HAL aims to expand local sourcing through the partnership and strengthen the domestic industrial ecosystem, including micro, small and medium enterprises.

“In all our platforms now, we want to take this forward and make sure that more and more sourcing is happening,” Ravi said.

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From imported systems to Indian displays

SHDS is notable for being India’s first public-private joint venture in defence avionics to indigenously design, qualify and produce a multifunction display for a fighter aircraft. Its displays are already installed on HAL’s Su-30 MKI fighter fleet, demonstrating that Indian-designed display systems have entered operational military aviation use.

Puneet Kaura, Director at SHDS and Managing Director and Chief Executive Officer of Samtel Avionics, said the new manufacturing site reflects almost two decades of joint work to replace equipment that was previously dependent on imports.

“The facility is the outcome of nearly two decades of collaboration with HAL to indigenise technology that was once entirely import-dependent,” Kaura said, pointing to the multifunction display operating on the Su-30 MKI as evidence that Indian companies can develop and manufacture defence-grade avionics.

The facility will also help SHDS improve control over quality, testing and lifecycle support—important requirements for systems deployed across long-life military aircraft and helicopter fleets.

Rs 200 crore turnover milestone

The business case for the venture is growing along with HAL’s pipeline of aircraft production, upgrades and helicopter programmes. SHDS expects a turnover of roughly Rs 200 crore in the current financial year, which Kaura said would be its highest since the JV was formed and among the strongest performances by a HAL joint venture.

“We will be doing about Rs 200 crore turnover in the JV this year. This is by far the highest turnover for this JV and also one of the best-performing JVs for HAL,” Kaura said.

The company expects revenue to potentially more than double to Rs 400-500 crore over the next three to four years as additional programmes move forward.

“This will grow further with these projects that I’m talking about. Potential of order book is very large,” Kaura said.

While the company has not announced an immediate new investment plan for the joint venture, its expansion prospects will be shaped by the Indian Air Force’s requirements, aircraft upgrade programmes and HAL’s upcoming platforms.

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Wider role across HAL platforms

SHDS display systems are already installed on the Su-30 MKI and the company has been selected for HAL’s Advanced Light Helicopter programme. It is also positioned for the Light Combat Helicopter programme and is exploring work on the Light Utility Helicopter. Discussions related to the Light Combat Aircraft programme are yet to be finalised.

The JV is also looking at possible opportunities associated with HAL’s Indian Multi-Role Helicopter programme, a next-generation platform intended to address future military helicopter requirements.

Kaura said the potential scope goes beyond conventional cockpit displays. “We are looking at multiple different products, as the chairman already said. We are looking at head-down displays, head-up displays, even helmet-mounted side displays,” he said.

A head-down display is generally located within the cockpit instrument panel, while a head-up display projects flight and mission information into the pilot’s forward field of view. Helmet-mounted displays can allow pilots to access or cue mission information through a display integrated with their helmet.

Potential SATCOM and MSME linkages

HAL and Samtel are also discussing satellite-communications technology as a possible new collaboration area. This could broaden the joint venture’s role from display systems into communications-related avionics and mission electronics.

“Another area which we discussed today, which can be a potential collaboration, is looking at some SATCOM technology as well,” Kaura said.

For India’s defence-manufacturing ecosystem, the Gurugram facility is important not only as a new production site but as a platform for building domestic design, testing and supply-chain capability in complex avionics. HAL’s plan to source more through the JV, alongside SHDS’s work with local MSMEs, could deepen domestic value addition across future aircraft and helicopter programmes.

Avionics remains one of the most specialised parts of aerospace manufacturing because systems must work reliably under vibration, temperature variation, electromagnetic interference and demanding operational conditions. A locally capable supplier can support production as well as long-term repair, upgrades and spares availability for Indian military platforms. The new SHDS facility therefore gives HAL and Samtel a route to expand indigenous avionics content across current and future aircraft programmes.