India Set to Save Billions by Becoming Global Aircraft MRO Hub

India could potentially save up to USD 15 billion in foreign exchange by developing its MRO sector. Civil Aviation Minister K Rammohan Naidu emphasized India's growing role in aircraft maintenance. The Safran MRO facility, opening in 2026, will support India's MRO market, projected to reach USD 4 billion by 2031.

India is on a path to economic efficiency in its aviation sector, with prospects of saving up to USD 15 billion. Civil Aviation Minister K Rammohan Naidu announced plans to develop the country into a global hub for aircraft MRO (Maintenance, Repair, and Overhaul) activities.

The announcement was made during the inauguration ceremony of French company Safran's new MRO facility, which will become operational by 2026. The venture is significant for India as it will strengthen the nation's indigenous capabilities in the fast-paced aviation sector. Currently, most maintenance for Indian airlines is conducted abroad.

Minister Naidu highlighted the domestic aviation sector's burgeoning growth, supported by recent aircraft orders by India's airlines. The country's MRO market is expected to reach USD 4 billion with an 8.9% growth rate by 2031. The government is initiating plans to bolster the MRO ecosystem in India, a move that may see reduced costs passed down to passengers.

(With inputs from agencies.)