₹62,000 Crore LCH Deal Approved: India Strengthens Military
- India South Asia
Shreya Naskar- 0
- 5 minutes read
On March 28, 2025, the Cabinet Committee on Security (CCS), chaired by Prime Minister Narendra Modi, approved India’s largest-ever defence procurement deal worth ₹62,000 crore. This landmark contract involves acquiring 156 Light Combat Helicopters (LCH), named “Prachand,” developed by Hindustan Aeronautics Limited (HAL), under the “Make-in-India” initiative. The move signifies a major step towards self-reliance in defence and enhances India’s military capabilities in high-altitude and complex warfare environments. Breakdown of the Helicopter Distribution
- Indian Army: 90 helicopters
- Indian Air Force (IAF): 66 helicopters
Deliveries are scheduled to begin three years after signing the contract, with 30 helicopters being produced annually over five years. The LCH Prachand has been designed specifically for Indian battlefield conditions, demonstrating superior performance in super high-altitude areas such as Ladakh during extensive trials. It stands out as the only attack helicopter in the world capable of takeoff and landing at an altitude of 5,000 meters while carrying a significant payload of weapons and fuel. This capability meets the Indian Armed Forces’ exacting requirements for modern warfare.
The idea for an indigenous lightweight assault helicopter emerged during the 1999 Kargil War, highlighting the need for a helicopter capable of executing precision strikes in diverse battle scenarios. The requirements included operability in extreme weather conditions, ranging from hot deserts to icy high-altitude zones, as well as counter-insurgency and full-scale combat capabilities. Until now, India has relied on the French-origin Chetak and Cheetah helicopters, which, although assembled by HAL, were primarily single-engine utility helicopters. Additionally, the IAF operates Russian-origin Mi-17 variants, set for phased retirement starting in 2028. This created an urgent demand for a modern, multi-role attack helicopter. The Indian government sanctioned the LCH project in October 2006, tasking HAL with its development. Over the years, extensive flight testing and technological advancements led to the final version of the helicopter. The four Technology Demonstrators (TDs) underwent rigorous tests, including:
- 2010: First Technology Demonstrator (TD-1) completed and took its maiden flight on March 29.
- 2012: TD-2 successfully passed cold weather trials at high altitudes.
- 2014-2015: TD-3 and TD-4 validated additional performance requirements, including integration of mission sensors, weapon systems, and avionics.
- 2017-2019: Initial operational clearance was granted for the IAF and Army variants, respectively.
- 2020: The LCH was added to the defence import embargo list.
- 2021: Prime Minister Narendra Modi symbolically handed over the LCH to the IAF.
- 2022: CCS approved procurement of 15 Limited Series Production (LSP) helicopters (10 for IAF, 5 for the Army).
Manufacturing and Industrial Impact: Manufacturer– Hindustan Aeronautics Limited (HAL). Production Facilities– Bengaluru and Tumkur (Karnataka). Indigenization Level- Over 65% indigenous content. Supply Chain Involvement– 250+ Indian companies, including MSMEs. Employment Impact-Over 8,500 direct and indirect job opportunities. This deal strengthens India’s defence manufacturing ecosystem, fostering innovation, technology transfer, and economic growth.
Strategic and Tactical Advantages: The LCH’s versatility enables rapid deployment in various terrains, including mountains, deserts, and dense forests. Reduces dependency on foreign attack helicopters such as the Apache AH-64s, which are costly and controlled by external suppliers. Designed for both conventional combat and urban counter-terror operations.
Geopolitical and Diplomatic Significance: Following tensions in Doklam (2017) and Galwan (2020), the deal strengthens India’s ability to secure its borders. With an export-ready, battle-tested platform, India can leverage the LCH for military partnerships and diplomacy.
The ₹62,000 crore deal for LCH Prachand is a transformative step in India’s defence modernization. It strengthens national security, boosts indigenous industry, and solidifies India’s standing as a technologically advanced military power. This deal serves as a blueprint for future acquisitions, focusing on indigenization, scalability, and export potential, positioning India as a self-reliant defence powerhouse.
