One of the largest global aircraft maintenance, repair, and overhaul (MRO) companies is exploring the possibility of establishing a presence in India through a joint venture (JV) with a local firm. StandardAero, a US-based company with 55 MRO facilities across 13 countries, is considering this move contingent upon assessing the engine workload at Safran's proposed facility in Hyderabad. Safran, a French engine manufacturer, plans to establish its largest MRO facility for commercial aircraft engines in Hyderabad by 2025.

Tayeb Bouhassis, the regional sales director (airlines & fleets) at StandardAero, discussed the company's interest in the Indian market at the 'Aero MRO 2023' industry event. Despite India being the third-largest global aircraft buyer, a significant 92% of the country's engine MRO business is currently outsourced to other nations. Bouhassis mentioned that while a potential MRO JV in India is not an immediate consideration, it is on the radar for the mid- to long-term.

StandardAero, with a turnover exceeding $4 billion in 2022, is keen on understanding the volume Safran's proposed facility will handle before committing to a joint venture. The decision will be based on whether a partnership in India aligns with StandardAero's strategic objectives and allows them to secure a share of the anticipated volume.

India's prominence in aircraft procurement, exemplified by major domestic airlines like Air India and IndiGo placing substantial orders with Airbus and Boeing, positions the country as a significant player in the aviation industry. The Indian MRO industry is projected to experience substantial growth, increasing from approximately $1.7 billion in 2021 to an estimated $4 billion by 2031.

Source: Business Standard