Hi Sriram,
Have you looked into the article Module 8: Speed Control - NXP Community check Fig. 31: Rotor Position Conditioning?
It is normal for the motor to draw a large current during the alignment phase, as this will block the motor shaft with that high current, making a standstill of the rotor.
Then the motor control code will start open loop phase, and have a start-up ramp, increasing the speed until it reaches 400 RPM and then it will go to closed loop, using the Hall sensors to read the motor speed and correct the speed loop.
This should help a bit more,
Look in PMSM_ClosedLoop_s32k144/S32K144 EVB/SlowLoopControl/Alignment_vs_NormalOp_Sequence
There are 2 constant blocks: Torque Reference for Alignment (iQ-ref) and Flux Reference for rotor alignment (iD-ref). They will impose the values for currents during the alignment phase.
You can modify these values a bit but be careful and do not increase too much these values.
Hope this helps you