Hindustan Aeronautics Limited (HAL) is establishing a second production line for the Shakti helicopter engine at its Koraput facility in Odisha, backed by an investment of ₹218 crore. The expansion is being undertaken as India prepares for higher production requirements for indigenous helicopters, particularly the Advanced Light Helicopter (ALH) Dhruv and Light Combat Helicopter (LCH) Prachand.

The development comes as Defence Minister Rajnath Singh prepares to mark HAL Koraput’s delivery of its 2,000th aero-engine on October 6, 2026. The Ministry of Defence says the new Shakti capacity will support growing requirements for indigenous helicopter platforms and forms part of India’s broader effort to build domestic propulsion capability.

Key takeaways

  • HAL is establishing a second Shakti engine production line at Koraput, Odisha.
  • The new facility involves an investment of ₹218 crore.
  • The additional capacity is intended to support Dhruv and Prachand helicopter programmes.
  • The Shakti is the Indian production designation for the Safran Ardiden 1H1, co-developed with HAL.
  • Safran says the Ardiden 1H1 has a power range of 1,400–2,000 shaft horsepower and uses dual-channel FADEC.
  • HAL Koraput will mark its 2,000th aero-engine delivery on October 6.
  • The new capacity comes alongside a much larger expansion of India’s military helicopter fleet, including contracts for 156 Prachand helicopters worth ₹62,700 crore, according to Business Standard’s report.
  • The move increases India’s ability to manufacture helicopter propulsion systems domestically, but it does not mean India has independently designed the Shakti engine from scratch.
  • HAL and Safran are simultaneously moving toward a new-generation, jointly developed Aravalli turboshaft engine.

What is HAL’s second Shakti engine line?

HAL is preparing to establish an additional production line for the Shakti helicopter engine at its Koraput division in Odisha.

The Ministry of Defence announced that the second line represents a ₹218 crore investment and will support increasing requirements from indigenous helicopter platforms, specifically naming the Dhruv Advanced Light Helicopter and Prachand Light Combat Helicopter. Defence Minister Rajnath Singh is scheduled to mark the initiative during his October 6 visit to HAL Koraput.

The wording is important.

The second line is being established; it should not be confused with a fully operational production facility already delivering engines. The October 6 programme is expected to mark the foundation or establishment of the new capacity alongside HAL Koraput’s 2,000th aero-engine milestone.

The investment is nevertheless strategically significant because engines can become a production bottleneck for aircraft and helicopters.

An airframe can only be delivered when its propulsion system is available, certified and ready for installation. Increasing engine manufacturing capacity can therefore help an aircraft manufacturer align helicopter production with the availability of engines.

For India’s indigenous helicopter programmes, that matters because the country is simultaneously increasing orders for military rotorcraft.

Why India needs more Shakti engines

The immediate demand comes from HAL’s helicopter programmes.

The Shakti engine powers variants of the Dhruv and is also used in the LCH Prachand. HAL’s own Dhruv specifications identify the Ardiden 1H1/Shakti as the powerplant for the Dhruv Mk III and Mk IV. The company’s LCH documentation lists two Shakti engines for the combat helicopter.

That creates a straightforward production relationship.

More helicopters → more engines required → greater engine-production capacity needed.

The requirement becomes even more significant when helicopter orders are considered.

Business Standard reported that the Ministry of Defence has signed contracts worth ₹62,700 crore with HAL for 156 Prachand helicopters — 66 for the Indian Air Force and 90 for the Indian Army. Deliveries are scheduled to begin from the third year and continue over five years.

Because each Prachand requires two Shakti engines, a 156-helicopter order represents a potential requirement of 312 engines for the aircraft in that contract alone, before accounting for spares, replacements, maintenance requirements or other platforms.

That 312 figure is a simple calculation based on HAL’s specification of two Shakti engines per LCH and the reported 156-helicopter order. It should not be interpreted as HAL’s officially disclosed procurement requirement.

The same engine family is also important for Dhruv variants.

HAL says more than 340 Dhruv helicopters have been produced, while the Shakti is the powerplant for its Mk III and Mk IV variants.

The second production line is therefore intended to serve an existing helicopter ecosystem as well as future production.

What exactly is the Shakti engine?

The Shakti is the Indian designation for the Safran Ardiden 1H1 turboshaft engine.

A turboshaft engine converts the energy generated by combustion into shaft power rather than directly producing thrust like a jet engine. In a helicopter, that shaft power is transferred through the transmission system to turn the main and tail rotors.

The Shakti was co-developed by HAL and Safran Helicopter Engines.

Safran lists the Ardiden 1H1’s power range at 1,400 to 2,000 shaft horsepower. The engine incorporates dual-channel FADEC, or Full Authority Digital Engine Control, an electronic system used to control engine operation. Safran also highlights its compact modular architecture and suitability for demanding “hot and high” operating conditions.

The hot-and-high characteristic is particularly relevant to Indian military helicopter operations.

Helicopters operating at high altitude face lower air density, which affects lift and engine performance. An engine designed to maintain performance under such conditions is therefore valuable for military operations in mountainous areas.

The Prachand itself was designed for high-altitude operations and has been positioned for India’s requirements along difficult mountainous terrain.

The Shakti is not the same as a fully indigenous engine

India’s push for self-reliance in aerospace propulsion needs to be understood carefully.

The Shakti is produced in India through the HAL-Safran partnership, but its origins are in the Ardiden 1H1 developed jointly by the two companies.

Safran describes the Ardiden 1H1 as co-developed with HAL and says it is now produced under the Shakti designation.

This means the programme represents a significant level of industrial capability and localisation, but it is different from designing a modern turboshaft engine entirely domestically from first principles.

That distinction matters because aero-engine development is one of the most technically demanding areas of aerospace manufacturing.

Modern turbine engines require expertise in high-temperature materials, turbine blades, combustion, compressors, control systems, testing and certification.

Business Standard cited defence experts making essentially this distinction: licensed or technology-assisted production builds valuable industrial capabilities, but it does not automatically create all the technological knowledge required to independently design a modern aero-engine.

India’s longer-term strategy is therefore moving beyond simply manufacturing established engines.

The Aravalli programme is the next step

HAL’s second Shakti line is also arriving as the company and Safran expand their partnership into a new generation of helicopter engines.

In August 2026, HAL and Safran Helicopter Engines signed a final contract through their joint venture, SAFHAL Helicopter Engines, for the development and production of the Aravalli engine.

Business Standard reported that the Aravalli is planned as a 3,500–4,000 shaft-horsepower turboshaft engine.

This is strategically different from simply increasing Shakti production.

The Shakti programme provides India with experience in manufacturing and supporting a proven helicopter engine.

The Aravalli programme aims to move the partnership further toward joint development of a new-generation engine.

Safran has described its Indian partnership with HAL as part of a broader effort to enhance India’s capability in helicopter-engine technology. The companies established SAFHAL Helicopter Engines as a joint venture for the design, development, production, sales and support of new-generation helicopter engines in India.

The two programmes therefore represent different stages of India’s propulsion strategy.

Shakti: scale an established engine

The immediate priority is to produce more engines for helicopters already entering India’s military fleet.

Aravalli: develop the next generation

The longer-term objective is to build deeper design and development capability through a new joint engine programme.

That distinction is central to understanding India’s aero-engine strategy.

HAL Koraput’s role is expanding beyond helicopters

The Shakti line is only one part of the growing importance of HAL Koraput.

The division was established in 1964 and initially manufactured Soviet-origin engines under licence. Over the decades, it expanded into production and overhaul of engines used on several Indian military aircraft.

The facility has also become important for the Su-30MKI programme.

In September 2024, the Ministry of Defence signed a contract worth more than ₹26,000 crore with HAL for 240 AL-31FP engines for the Indian Air Force’s Su-30MKI fleet.

The engines are being manufactured at Koraput, with deliveries scheduled at 30 engines per year over eight years. The government said the programme would have more than 54% indigenous content on average, rising to 63% by the end of the delivery programme.

That means Koraput is becoming a much larger propulsion-manufacturing node rather than serving a single engine programme.

Business Standard reported that HAL Koraput has manufactured 2,000 engines and overhauled more than 7,700 aero-engines over roughly five decades.

The 2,000-engine milestone on October 6 therefore represents more than a ceremonial number.

It demonstrates the accumulation of manufacturing, overhaul, testing and maintenance experience at a facility that has been involved in India’s military aviation supply chain for decades.

A ₹218 crore investment against a much larger defence pipeline

The ₹218 crore Shakti expansion is relatively small compared with India’s broader defence-production pipeline.

Its importance lies in the role the facility plays inside that pipeline.

A helicopter programme has multiple production dependencies: airframes, transmissions, avionics, weapons, rotor systems, materials and engines.

If engine production cannot keep pace, the availability of other components does not automatically translate into completed helicopters.

This is why propulsion capacity can have an outsized effect on aircraft production schedules.

The second Shakti line gives HAL another manufacturing channel at the same Koraput complex.

It also creates additional room to support multiple helicopter programmes simultaneously rather than relying on a single production stream.

Key figures

IndicatorFigure
Investment in second Shakti line₹218 crore
HAL Koraput aero-engine milestone2,000 engines
Reported Prachand contract₹62,700 crore
Prachand helicopters ordered156
Prachand for IAF66
Prachand for Army90
Shakti engines per LCH2
Potential Shakti engines for 156 LCHs312
AL-31FP engines contracted in 2024240
AL-31FP delivery rate30 per year

Sources: Ministry of Defence/PIB, Business Standard and HAL. The 312-engine figure is calculated from 156 LCHs × two Shakti engines per helicopter and is not an independently announced procurement quantity.

Why this matters for India’s defence self-reliance

India’s defence-indigenisation programme has often focused on visible platforms such as fighter aircraft, helicopters, missiles and warships.

Engines are less visible but arguably more difficult to replace.

A propulsion system sits at the heart of an aircraft’s performance and reliability. It also involves specialised manufacturing processes that can be difficult to replicate quickly if a country depends heavily on foreign suppliers.

The Ministry of Defence has explicitly identified indigenous aero-engine capability as a critical part of India’s transformation from a defence buyer to a designer, developer and manufacturer.

The second Shakti line therefore contributes to a broader industrial objective.

It does not solve India’s entire aero-engine technology gap.

But it increases domestic production capacity for an engine already integrated into important Indian helicopter platforms.

At the same time, the Aravalli programme addresses a different part of the problem by creating a pathway toward new-generation engine development.

Together, these efforts can help India move along a progression from licensed manufacturing → local production → technology absorption → joint development → deeper indigenous design capability.

That progression is more meaningful than simply measuring the number of engines manufactured.

The industrial ecosystem could benefit too

Increasing engine production can also create opportunities beyond HAL itself.

Aero-engine manufacturing involves precision components, machining, metallurgy, electronics, testing equipment and specialised maintenance.

The Prachand programme already involves a large domestic supplier ecosystem.

Business Standard reported that more than 250 domestic companies, predominantly MSMEs, are involved in the programme, while the government has targeted more than 65% indigenous content during execution of the 156-helicopter contract.

Higher helicopter production can therefore support a wider manufacturing ecosystem.

The effect will depend on how much of the supply chain is localised and how much remains dependent on imported materials, components or technologies.

This is another reason why the Shakti programme should be viewed as part of a larger industrial strategy rather than simply as an additional HAL production line.

What remains uncertain

The biggest unanswered question is the exact production capacity of the new Shakti line.

The Ministry of Defence has confirmed the ₹218 crore investment and the purpose of the additional capacity, but the announcement reviewed for this article does not specify a precise annual engine-output target for the second line.

That means it would be incorrect to claim that the new facility will produce a particular number of engines each year without additional evidence.

The timeline for the line reaching full production is also not yet established in the available official announcement.

Another uncertainty is how much of future helicopter-engine demand will be met through the Shakti production line versus other arrangements involving HAL and Safran.

Finally, increased manufacturing capacity does not automatically translate into complete propulsion independence.

India will still need to deepen capabilities in advanced materials, hot-section technology, precision manufacturing, testing and engine design.

What happens next?

The immediate milestone is the October 6 event at HAL Koraput, where Rajnath Singh is scheduled to mark the delivery of the 2,000th aero-engine and highlight the establishment of the second Shakti production line.

The next stage will be construction, equipment installation, qualification and eventual production ramp-up.

For HAL, the challenge will be synchronising engine output with the production schedules of Dhruv and Prachand helicopters.

The company is simultaneously expanding its broader aerospace manufacturing capacity. In its May 2026 management discussion, HAL said its order book stood at around ₹2.84 lakh crore across major programmes, including ALH, LCH, HTT-40, Su-30-related engines and other platforms.

That backlog provides context for why additional production capacity is being built.

The question is increasingly less about whether India has demand for military aerospace equipment and more about whether its industrial system can produce enough of the critical components needed to fulfil that demand on schedule.

The Bigger Picture

HAL’s second Shakti engine line is significant because it addresses one of the less visible constraints in India’s helicopter-production push: propulsion capacity. The ₹218 crore investment at Koraput is being made as India expands its indigenous helicopter fleet, including a reported ₹62,700 crore order for 156 Prachand helicopters.

The move also illustrates the different layers of India’s aerospace-indigenisation strategy. Shakti represents established HAL-Safran co-development and domestic production, while the newer Aravalli programme is intended to move the partnership further toward next-generation engine development.

India is therefore building capability at several levels simultaneously. More production capacity can support near-term helicopter deliveries, while deeper joint development could gradually strengthen the country’s ability to design and manufacture advanced propulsion systems.

Looking Ahead

The second Shakti line should be watched primarily as a capacity-building project rather than as a standalone defence order. Its success will depend on how quickly the new facility becomes operational, how many engines it can ultimately produce and how effectively HAL aligns output with Dhruv and Prachand production schedules.

The longer-term test is technological. India can increase its strategic autonomy substantially by manufacturing more engines domestically, but true propulsion independence will require deeper expertise in engine design, high-temperature materials, turbine technology, testing and certification. The Shakti expansion solves part of the production challenge; the Aravalli programme could determine how far India moves toward the design challenge.

FAQs

What is the Shakti engine?

The Shakti is the Indian production designation for the Safran Ardiden 1H1 turboshaft engine, which was co-developed by Safran Helicopter Engines and HAL. It powers HAL’s Dhruv and LCH Prachand helicopters. Safran lists the engine’s power range at 1,400–2,000 shaft horsepower.

How much is HAL investing in the second Shakti engine line?

HAL’s new Shakti production line at Koraput involves an investment of ₹218 crore, according to the Ministry of Defence.

Why does HAL need another Shakti production line?

The additional capacity is intended to meet growing requirements from indigenous helicopter programmes, particularly the Dhruv and Prachand. The requirement is rising as India expands its military helicopter fleet.

Is the Shakti engine completely indigenous?

No. Shakti is based on the Safran Ardiden 1H1 and was co-developed with HAL. It is manufactured in India under the Shakti designation. The programme has built significant domestic manufacturing capability, but it should not be confused with a fully indigenous clean-sheet engine design.

What is the Aravalli engine?

Aravalli is a newer HAL-Safran turboshaft engine programme being developed through SAFHAL Helicopter Engines. Business Standard reported the planned engine at 3,500–4,000 shaft horsepower, representing a move toward more advanced joint engine development.

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