On February 5, 2021, in Bengaluru, India, a landmark agreement was signed that could reshape the trajectory of India’s aerospace industry.
Hindustan Aeronautics Limited (HAL), India’s premier state-owned aerospace company, and Safran Aircraft Engines, a global leader in engine design and manufacturing, inked a Memorandum of Understanding (MoU) to collaborate on military engine technology.
This partnership is not just a technical collaboration—it’s a historic milestone in India’s journey toward self-reliance in defense manufacturing, a cornerstone of the “Make in India” initiative.
Now that the Indian government has approved the Advanced Medium Combat Aircraft (AMCA) Programme Execution Model, the Aeronautical Development Agency (ADA) is set to execute the program through Industry partnership. The Execution Model approach provides equal opportunities to both the private and public sectors, and this is where the HAL-Safran Memorandum of Understanding (MoU) comes into play.
But to fully grasp its significance, we must look beyond the press release and examine the broader context: the evolving role of private partnerships in fighter aircraft production, the persistent delays in the delivery of the Tejas Light Combat Aircraft (LCA), and the ambitious roadmap for sixth-generation fighter jets.
Safran-HAL MoU: A Game-Changer For Military Engine Technology
The MoU between Safran and HAL focuses on exploring opportunities to assemble the Safran M88 engine—used in the Rafale fighter jet—and manufacture its components in India, with HAL taking a lead role in integrating these engines into Rafale aircraft fitted with the M88.
Additionally, the agreement paves the way for collaboration on the design, development, and production of high-thrust engines (110 kN and above) for future aircraft programs.
This is a significant step, as military engine technology has long been a bottleneck for India, which has historically relied on foreign suppliers, such as General Electric (for the Tejas) and Klimov (for the MiG series), to power its fighter jets.
Jean-Paul Alary, CEO of Safran Aircraft Engines, emphasized the strategic importance of this collaboration, stating, “We are looking forward to expanding our collaboration with HAL, by exploring opportunities in strategic areas. Broadly, we remain committed to supporting the ‘Make in India’ policy through major investments, synergy, and high-skilled job creation.” On the Indian side, R. Madhavan, Chairman and Managing Director of HAL, highlighted the mutual benefits: “HAL and Safran are keen to take this partnership to the next level by exploring new avenues… consistent with the goals of the Government of India’s Make in India initiative.”
What Makes This Collaboration Historic?
For starters, it marks a shift from mere procurement to co-development and technology transfer—a critical step toward reducing India’s dependence on imported defense technology.
The M88 engine, a cutting-edge powerplant with a thrust of 75 kN (with afterburner), is a proven system, and its assembly in India could serve as a stepping stone for HAL to master the complexities of modern aero-engine manufacturing.
Moreover, the focus on high-thrust engines (110 kN) aligns with India’s long-term goals, particularly the development of the Advanced Medium Combat Aircraft (AMCA), a fifth-generation stealth fighter that will require engines far more powerful than those currently in India’s inventory.
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But the significance of this MoU extends beyond technical collaboration. It reflects a growing trust between India and France, two nations with a long history of defense cooperation.
France has been a reliable partner, supplying India with Mirage 2000 fighters in the 1980s and, more recently, 36 Rafale jets under a €7.8 billion deal signed in 2016.
The Safran-HAL partnership builds on this foundation, signaling a deeper commitment to India’s self-reliance goals while ensuring that French companies, such as Safran, have a stake in India’s burgeoning defense market.
Private Partnerships In Fighter Aircraft Production: A Paradigm Shift
The Safran-HAL MoU must be viewed in the context of another transformative trend in India’s aerospace sector: the increasing involvement of private players in fighter aircraft production.
Historically, India’s defense manufacturing has been dominated by public sector undertakings (PSUs), such as HAL and the Defence Research and Development Organisation (DRDO).
While these organizations have made significant contributions—HAL, for instance, has produced over 4,000 aircraft and 4,500 engines since its inception in 1940—they have also been criticized for inefficiencies, delays, and a lack of innovation.
Enter the private sector. In recent years, the Indian government has actively encouraged private companies to participate in defense production, aligning with the “Make in India” and “Atmanirbhar Bharat” (self-reliant India) initiatives.
A notable example is the partnership between HAL and private companies, such as Tata Advanced Systems Limited (TASL) and Adani Defence and Aerospace, for the production of fighter aircraft and helicopters.
In 2022, TASL inaugurated a facility in Vadodara, Gujarat, to manufacture Airbus C295 transport aircraft under a $2.5 billion deal, with 40 of the 56 aircraft to be assembled in India. Similarly, Adani Defence has collaborated with DRDO to develop components for the Tejas and other platforms.
The most significant private sector involvement in fighter aircraft production came in 2023, when the Indian government approved a joint venture between HAL and a consortium of private companies, including TASL and Bharat Electronics Limited (BEL), to ramp up production of the Tejas Mark 1A.
This move was prompted by the urgent need to replace India’s aging fleet of MiG-21s, which have been plagued by safety issues and are being phased out by 2025.
The Tejas Mark 1A, an upgraded version of the LCA, features improved avionics, an active electronically scanned array (AESA) radar, and enhanced electronic warfare capabilities. However, HAL’s production rate—averaging just eight aircraft per year against a target of 16—has been a major bottleneck.
The involvement of private players is expected to address this issue by leveraging their agility, modern manufacturing techniques, and access to capital. For instance, TASL’s expertise in aerospace manufacturing, demonstrated through its work on the Sikorsky S-92 helicopter and Airbus components, makes it a valuable partner for HAL. By outsourcing sub-assemblies and components to private companies, HAL can focus on final integration and testing, potentially doubling its production capacity by 2026.
This shift toward public-private partnerships (PPPs) is historic because it breaks the monopoly of Public Sector Undertakings (PSUs) in defense manufacturing, fostering competition and innovation.
It also aligns with global trends—countries like the United States and France have long relied on private companies like Lockheed Martin and Dassault Aviation to drive their aerospace industries. For India, this is a crucial step toward building a robust defense industrial base, capable of supporting not just domestic needs but also export ambitions.
Addressing Delays in Tejas Delivery
While the Safran-HAL MoU and private partnerships signal a bright future, they also highlight a persistent challenge in India’s aerospace sector: delays in the delivery of the Tejas LCA.
The Tejas program, initiated in the 1980s by the DRDO’s Aeronautical Development Agency (ADA), was meant to deliver a lightweight, indigenous fighter to replace the MiG-21. However, the program has been plagued by setbacks, from design challenges to supply chain issues and HAL’s limited production capacity.
The Indian Air Force (IAF) placed an order for 40 Tejas Mark 1 aircraft in 2015, followed by a ₹48,000 crore order for 83 Tejas Mark 1A jets in 2021. As of May 2025, HAL has delivered only 36 of the Mark 1 aircraft, and the Mark 1A deliveries, which were scheduled to begin in 2024, have been delayed due to issues with the supply of General Electric F404 engines and the certification of new systems, such as the AESA radar.
The IAF, which requires at least 200 Tejas jets to fill its squadron gaps, has expressed frustration over these delays, with the Air Chief stating that “timely delivery of the Tejas is critical to maintaining our operational readiness.”
The Safran-HAL partnership could indirectly help address these delays. While the MoU focuses on the M88 and future high-thrust engines, it also strengthens HAL’s overall capabilities in engine manufacturing and integration.
If HAL can leverage Safran’s expertise to streamline its production processes, it could improve its efficiency across all programs, including the Tejas.
Moreover, the involvement of private players is already helping HAL scale up production. For instance, TASL has begun supplying composite structures for the Tejas Mark 1A, reducing HAL’s workload and enabling faster assembly.
However, the Tejas delays underscore a broader challenge: India’s aerospace ecosystem lacks the maturity and scale of global leaders like the U.S. or France.
Engine development, in particular, remains a weak link. The Tejas currently relies on the GE F404 engine, and while the DRDO’s Gas Turbine Research Establishment (GTRE) has been working on the indigenous Kaveri engine since the 1980s, the program has yet to deliver a viable powerplant for the Tejas.
In 2023, GTRE partnered with Safran to revive the Kaveri program, aiming to develop a derivative engine with 90 kN thrust for the Tejas Mark 2 and AMCA. The Safran-HAL MoU could further support this effort by facilitating technology transfer and joint development, potentially reducing India’s long-term reliance on foreign engines.
Looking Ahead: Road To Sixth-Gen Fighters
Perhaps the most exciting implication of the Safran-HAL partnership is its potential impact on India’s ambitions for sixth-generation fighter jets.
Sixth-generation fighters, which are still in the conceptual stage globally, are expected to feature advanced stealth, artificial intelligence (AI)-driven systems, directed-energy weapons, and optionally manned capabilities.
Countries like the U.S. (with the Next Generation Air Dominance program), France, Germany, and Spain (Future Combat Air System), as well as the UK, Italy, and Japan (Global Combat Air Program), are already investing heavily in these technologies.
India’s own next-generation fighter program is the Advanced Medium Combat Aircraft (AMCA), a stealth aircraft being developed by the Aeronautical Development Agency (ADA) with Hindustan Aeronautics Limited (HAL) as the lead manufacturer.
The AMCA, currently in the design phase, is expected to enter production by 2035, with the first prototype scheduled to fly by 2028.
However, the AMCA faces significant challenges, particularly in the engine domain. The aircraft requires an engine with a thrust of 110-120 kN to achieve supercruise (sustained supersonic flight without afterburners) and the performance needed to compete with future threats like China’s J-20 and J-35 stealth fighters.
This is where the Safran-HAL MoU becomes a game-changer. By focusing on the development of high-thrust engines (with a thrust of 110 kN and above), the partnership directly supports the AMCA program.
Safran’s expertise in advanced engine technologies, such as variable-cycle engines and thermal management systems, could help India leapfrog to sixth-generation capabilities. For instance, Safran’s work on the M88 includes technologies like single-crystal turbine blades and advanced cooling systems, which are critical for high-performance engines.
If these technologies are transferred to India, HAL could gain the know-how to design and produce engines not just for the AMCA but also for future unmanned combat aerial vehicles (UCAVs) and hypersonic platforms.
Moreover, the collaboration aligns with India’s broader vision for sixth-generation fighters.
In 2024, the IAF outlined its requirements for a sixth-generation jet, emphasizing the integration of AI, network-centric warfare capabilities, and the ability to operate in contested environments.
The AMCA is being designed with these features in mind, including a modular avionics architecture and the ability to integrate directed-energy weapons in later variants.
However, without a reliable indigenous engine, the AMCA risks becoming another Tejas—a promising platform hampered by external dependencies. The Safran-HAL partnership offers a pathway to overcome this hurdle, ensuring that India’s sixth-generation ambitions are not grounded by engine woes.
A Confluence Of Strategic Goals
The Safran-HAL Memorandum of Understanding (MoU) is historic for several reasons.
First, it marks a significant step toward self-reliance in military engine technology, a domain where India has lagged despite decades of effort. By collaborating with a global leader like Safran, HAL gains access to cutting-edge technologies and expertise, which could accelerate India’s indigenous engine programs, such as the Kaveri and future AMCA powerplants.
Second, the partnership reflects a broader shift in India’s defense manufacturing ecosystem. The involvement of private players, the focus on technology transfer, and the push for export-oriented production all align with the “Make in India” initiative, which aims to position India as a global manufacturing hub. The Safran-HAL collaboration, combined with public-private partnerships, could create a virtuous cycle of innovation, investment, and growth, transforming India’s aerospace industry.
Third, the MoU has geopolitical implications. India’s growing partnership with France strengthens its strategic position in the Indo-Pacific, where it faces challenges from an assertive China. By deepening defense ties with France, India diversifies its partnerships beyond traditional allies like Russia and the U.S., ensuring greater strategic autonomy.
Finally, the collaboration sets the stage for India’s sixth-generation fighter ambitions. The AMCA, if successful, could make India one of the few nations capable of designing and producing a stealth fighter, joining an elite club that includes the U.S., China, and Russia.
The Safran-HAL partnership, by addressing the critical engine gap, brings this vision closer to reality.
Challenges & Road Ahead
Despite the promise of the Safran-HAL partnership, challenges remain.
Technology transfer agreements often come with strings attached—Safran may limit the extent of sensitive technologies shared to protect its intellectual property. HAL, for its part, must overcome its own inefficiencies and build the absorptive capacity to integrate and innovate upon the transferred technologies. The Tejas delays serve as a cautionary tale: even with foreign collaboration (e.g., GE engines), execution remains a hurdle.
Moreover, India must invest in its broader aerospace ecosystem, including supply chains, skilled manpower, and R&D infrastructure.
The success of the AMCA and future sixth-generation fighters will depend not just on engines but on a holistic approach that includes advanced materials, sensors, and AI systems.
The government’s decision to increase defense R&D spending to ₹20,000 crore in the 2025 budget is a step in the right direction, but sustained investment and policy support will be key.
Conclusion: A Defining Moment For Indian Aerospace
The Safran-HAL MoU of February 2021 is more than a technical agreement—it’s a defining moment in India’s aerospace journey.
By combining technology transfer with public-private partnerships, addressing delays in programs like the Tejas, and laying the groundwork for sixth-generation fighters, this collaboration encapsulates India’s ambitions to become a self-reliant defense powerhouse.
While challenges remain, the partnership with Safran offers a glimpse of what’s possible: a future where India not only builds its own fighter jets but also exports them to the world, powered by engines designed and manufactured on Indian soil.
As the nation looks to the skies, this historic agreement could well be the jet fuel that propels it toward new heights.
- Group Captain MJ Augustine Vinod (Retd), VSM, is a former Mirage 2000 fighter pilot, air accident investigator, and co-founder of AMOS Aerospace. He writes on emerging defense technologies, AI in warfare, and India’s aviation future.
- This is an Opinion Article. Views Personal Of The Author
- He tweets at @mjavinod
