India’s aviation industry has been rapidly growing in recent years, with the country becoming one of the fastest-growing aviation markets in the world. In line with this growth, Prime Minister Narendra Modi has announced India’s goal to establish a $4 billion Maintenance, Repair, and Overhaul (MRO) hub by 2030. This ambitious plan was outlined by PM Modi during the Global Aviation Summit held in Mumbai on January 15, 2019.
The MRO sector plays a crucial role in the aviation industry, as it involves the maintenance and repair of aircraft, engines, and components. With the increasing number of aircraft in India’s skies, the demand for MRO services is also on the rise. Currently, India’s MRO market is estimated to be around $800 million, with most of the work being outsourced to other countries. PM Modi’s vision to establish a $4 billion MRO hub in India by 2030 is a significant step towards making India self-sufficient in this sector and boosting the country’s economy.
During his speech at the Global Aviation Summit, PM Modi highlighted the potential of India’s aviation industry and the government’s efforts to make it a global hub. He stated that the aviation sector in India is expected to become the third-largest in the world by 2024, with the number of passengers reaching 1 billion. This growth will be driven by the increasing demand for air travel, the government’s regional connectivity scheme, and the development of new airports and infrastructure.
PM Modi also emphasized the need for India to become a global MRO hub, as it will not only save costs for Indian carriers but also attract foreign airlines to avail these services in India. This will lead to job creation and skill development, which are essential for the country’s economic growth. The establishment of a $4 billion MRO hub will also reduce the outflow of foreign exchange, as currently, Indian carriers have to spend a significant amount of money on MRO services abroad.
The government has already taken several steps to promote the growth of the MRO sector in India. In 2016, the Ministry of Civil Aviation released the National Civil Aviation Policy, which included provisions for the development of MRO facilities in India. The policy also allows 100% foreign direct investment in the MRO sector, making it an attractive destination for foreign investors.
The government has also set up a task force to develop a roadmap for the establishment of the MRO hub. The task force, headed by the Secretary of the Ministry of Civil Aviation, has been working closely with all stakeholders to identify the challenges and opportunities in this sector. The aim is to create a conducive environment for the growth of MRO services in India.
The establishment of a $4 billion MRO hub in India will not only boost the country’s economy but also create job opportunities for skilled professionals. It is estimated that the MRO industry will create around 36,000 direct and 96,000 indirect jobs in the next five years. This will not only benefit the aviation industry but also have a positive impact on the overall economy.
The MRO hub will also help in reducing the cost of maintenance and repair for Indian carriers, making air travel more affordable for the common man. Currently, Indian carriers have to send their aircraft to other countries for maintenance, which incurs high costs. With the establishment of the MRO hub, these services will be available in India at a lower cost, leading to significant savings for the airlines.
PM Modi’s vision to establish a $4 billion MRO hub in India by 2030 is a testament to the government’s commitment to make India a global aviation hub. It will not only boost the country’s economy but also make air travel more affordable and convenient for the common man. The government’s efforts to promote the growth of the MRO sector in India are commendable and will surely lead to the realization of this ambitious goal.
In conclusion, PM Modi’s announcement of India’s goal to establish a $4 billion MRO hub by 2030 is a significant step towards making the country self-sufficient in this sector. It will not only boost the aviation industry but also have a positive impact on the overall economy. With the government’s support and the efforts of all stakeholders, India is well on its way to becoming a global MRO hub.
