Hindustan Aeronautics Limited (HAL) has attained the prestigious Maharatna status, becoming the 14th Central Public Sector Enterprises (CPSE) in India to receive this recognition.
- HAL which is a prominent player in the Indian aerospace and defence sector.
- The upgradation is approved by the Finance Minister, following recommendations from both the Inter-Ministerial Committee (IMC), led by the Finance Secretary, and the Apex Committee, headed by the Cabinet Secretary.
About Maharatna status
- The Government introduced the ‘Navratna’ scheme in 1997 to identify and support CPSEs with competitive advantages in their journey to becoming global leaders.
- Under this scheme, ‘Navratna’ CPSEs were granted powers in capital expenditure, joint ventures, and human resources management.
- The Maharatna status is granted to CPSEs in India, allowing them greater operational and financial autonomy.
To qualify for this status, companies must meet specific criteria, which include:
- Navratna Status: The company must have previously been conferred Navratna status.
- Stock Market Listing: The company must be listed on the Indian stock exchange, complying with the Securities and Exchange Board of India (SEBI) regulations regarding public shareholding.
- Financial Performance:
- An average annual turnover of over ₹25,000 crore in the last three years.
- An average annual net worth exceeding ₹15,000 crore during the same period.
- An average annual net profit after tax greater than ₹5,000 crore over the last three years.
- Global Presence: The company should have significant international operations or a global presence.
About Hindustan Aeronautics Limited (HAL)
- HAL’s journey began more than 80 years ago, evolving alongside the Indian aeronautical industry. Established on December 23, 1940, as Hindustan Aircraft Limited in Bangalore by visionary Walchand Hirachand, the company aimed to manufacture aircraft domestically.
- The Government of India became a shareholder in 1941, assuming full management control in 1942.
- HAL plays a crucial role in India’s defence capabilities, focusing on self-reliance in military aviation. The company’s developments, like the Light Combat Aircraft (LCA) namely Tejas and the Light Utility Helicopter (LUH), are central to modernizing the Indian Armed Forces.
- HAL’s commitment to innovation and quality has positioned it as a significant player in the global aerospace industry.
