Yet to zero in on MRO location in Nagpur: Boeing

The row over Boeing demanding 80 acres of land for its $100 million maintenance, repair and overhaul base (MRO) in the proposed special economic zone (SEZ) here and the Maharashtra Airport Development Company (MADC) questioning the requirement, has ended with Boeing saying that it has not yet made any specific request to the MADC.

Vice-president of Boeing Commercial Airplanes, Dinesh Keskar, denied any controversy and said Boeing was yet to decide on where to locate the project at Nagpur.

Vice-chairman and managing director of MADC, R C Sinha had, during an interaction with the media here recently, expressed surprise over Boeing wanting 80 acres of land when similar facilities elsewhere in the world were being operated on 35 to 40 acres.

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Raytheon to set up repair & maintenance unit with FBO

India’s growing demand for corporate jets has prompted US-based Raytheon Aircraft company to set up a company-owned aircraft maintenance and repairs facility in association with a fixed base operator (FBO) in the country in 2007.

Internationally FBOs typically offer a host of services to private jet users including re-fuelling, flight plan scheduling, getting clearances, quick security and custom clearances, car rentals, food and beverages, lounges, apart from maintenance and repair facilities. Though new for India, around 5,000 such FBOs are in operation in the United States alone.

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Lufthansa Technik scouting for partners in India

Lufthansa Technik is scouting for partners in India to set up an MRO facility here. The company is in talks with several domestic airlines and airport operators including, greenfield airports.

The deal is expected to be announced in the first half of this year. Meanwhile, One Stop Airline MRO Support — the Indian subsidiary of Lufthansa Technik — is also planning to set up a regional components pool in India, which is expected to be ready in two-three months.

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Aircraft maintenance steals the thunder

Riding on the civil aviation boom in India, more international and domestic majors are planning to set up maintenance, repair and overhaul (MRO) facilities.

While French regional airplane maker ATR, airlines such as Air Sahara, Jet Airways are planning to set up their own maintenance facilities. The US-based aircraft manufacturer Boeing is planning to rope in an international partner for the $100 million MRO project coming up in Nagpur.

Besides Boeing, European aircraft manufacturer Airbus Industrie had announced setting up a $100 million MRO facility in Nasik.

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Taneja Aerospace JV with Belgian Co likely

CNBC-TV18 has learnt that Taneja Aerospace is likely to form a joint venture with Belgian company Sabina.

Sources say the deal is likely to be announced in a fortnight.

Taneja Aerospace is likely to form a JV with Belgium-based Sabina to set up an MRO facility in India. The facility is likely to be for the maintenance of small aircrafts and is likely to be in Nagpur.

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LCCs in talks to set up facilities for aircraft upkeep

Low-cost carriers (LCCs), including Air Deccan, Kingfisher and GoAir are in the process of forming joint ventures with foreign firms to set up maintenance, repair and overhaul (MRO) facilities in India. Currently, these carriers have to either fly their aircraft to places like Abu Dhabi, Singapore or Belgium for secondary services. With many of them planning fleet expansion, the need to reduce operating costs has become imperative.

Air Deccan officials confirmed that they have been in talks with global firms like Germany’s Lufthansa Technik and Singapore-based SIA Engineering, for the past one year for an MRO. “We are in the advanced stages of finalising the venture,” Mohan Kumar, director (finance) Air Deccan, said.

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Boeing MRO hits roadblock

Maharashtra Airport Development Company Ltd asks firm to reduce demand for land.

Boeing’s decision to set up a Rs 450 crore ($100 million) maintenance, repair and overhaul (MRO) facility here has apparently run into rough weather with the Maharashtra Airport Development Company Limited (MADC) asking the aircraft manufacturer to reduce its demand for land by half.

Vice Chairman and Managing Director of MADC R C Sinha believes the demand for 80 acres from Boeing was not practical. “Across the world several major MROs are built on land much less than what Boeing is demanding,” said Sinha listing similar facilities at Singapore (35 acres) and Frankfurt (30 acres) as examples.

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GE Aviation scouts for MRO ally in India

GE Aviation, one of the world’s leading manufacturers of jet engines for civil and military aircraft, plans strategic tieups with suppliers from India for sourcing of materials.

The firm is also looking at establishing relationships with Air-India and Indian Airlines for local engine maintenance, repair, and overhaul (MRO) facilities.

GE had early committed $20 million investment in an engine shop as part of a $8.1 billion deal by Air-India to acquire 68 airplanes from Boeing.

GE will be supplying engines to Air-India for this mega deal.

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Cochin airport plans MRO, training unit

India’s private airport venture Cochin International Airport (CIAL) is planning to set up an international maintenance, repair and overhaul (MRO) facility and an aviation training academy.

CIAL has already floated wholly owned subsidiary company Cochin International Aviation Services (CIASL) to set up MRO and training academy. Cochin airport would be the first airport to set up a MRO and training academy.

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AAI plans arms for various ops

Airports Authority of India (AAI) may soon take a new avatar to face the private sector competition. It plans to have independent subsidiaries for various operations such as ground handling, maintenance, repair & overhaul (MRO), cargo operations and designing & development of airport.

These subsidiaries will be run by professional managers, roped in from schools like the IIMs, as independent profit-centres. Each subsidiary will have a separate profit & loss account and a CEO. Interestingly, the government has proposed a similar decentralised business model for the merged entity of Air India and Indian.

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