Published On:August 12 2024
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"Uttar Pradesh in Talks with Global Firms to Establish Repair Hub at Noida Airport"

Noida International Airport Ltd (NIAL) is preparing to issue an expression of interest (EOI) next month for the establishment of a maintenance, repair, and overhaul (MRO) hub adjacent to the forthcoming Noida International Airport in Jewar. This hub will be a key component of the airport’s second phase and will involve the acquisition of 1,365 hectares of land designated for this sector and an aviation hub.

The land acquisition process is currently in progress. NIAL officials are in discussions with several leading global aircraft manufacturers to explore potential collaborations for this initiative.

To attract investment, the government has introduced a new MRO policy that offers capital investment subsidies ranging from 5% to 12% for companies that submit applications by December 31, 2024.

Arun Vir Singh, CEO of NIAL, stated, “We are in talks with four major companies and encouraging them to invest in Jewar. The government is committed to developing the state as an MRO hub and has introduced a specialized policy to support this goal. The demand for MRO services in India is expected to grow faster than the global average due to increasing fleet sizes and passenger traffic.”

Currently, India has 713 civilian aircraft, with plans to add over 1,500 more to the fleet within the next seven years. Singh highlighted that major airports in India have limited or no space for MRO hangars, making the Noida International Airport's dual facility—a smaller MRO within the airport and a larger-scale hub adjacent to it—a significant development.

The concessionaire for Noida International Airport has also issued a global tender for developing an MRO facility on a 40-acre site within the airport’s 1,334-hectare premises. Singh noted that the concessionaire must commence commercial operations of the MRO facility by 2030.

TOI





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