Prime minister Narendra Modi on Wednesday inaugurated the world’s largest Maintenance Repair and Overhaul (MRO) facility for CFM LEAP engines of Safran SA that will be operational early next year.
He also participated in the ground-breaking ceremony for a separate MRO, the first outside France, for the Safran-made M88 engines that power Rafale jets.
“The Indian aviation sector is going to take a new flight from now. Safran’s new facility will help India as a global MRO hub. This MRO facility will also create new opportunities for young people in the world of high-tech aerospace,” Modi said while inaugurating the facility virtually.
“India is one of the fastest growing domestic aviation markets in the world. Our domestic market is the third-largest in the world. Today, the aspirations of the people of India are of a new sky. Similarly, the demand for air travel is increasing in India and that is why our airlines are continuously increasing their active fleet. Indian airline companies have ordered more than 1,500 new aircraft. In addition, due to the rapid expansion in the Indian aviation sector, MRO facilities are also increasing,” he said.
Modi said 85% of India’s MRO work is done outside the country, due to which not only does the cost increase but it takes more time, a situation that is not good for a large aviation market. He said that for the first time, a global OEM is establishing deep-level servicing facilities in the country.
The CFM LEAP engine MRO involves an investment of around ₹2,000 crore, and the M88 one, around ₹400 crore. The former will have the capacity to service around 300 engines a year, and the latter, around 600 engine modules.
The PM also pushed Safran to work in the area of propulsion systems (a key priority for India), and to also design in India. He said India’s vast MSME network and its young talent pool could provide significant support in this endeavour.
“Safran Aerospace works on a large scale on the propulsion system. I would like you to design propulsion and use India’s talent and opportunities for verification. Today, India is not just dreaming big. India is taking big decisions and is also achieving greater success than that. We are dreaming big, doing bigger and delivering best. India is very big on the ease of doing business,” Modi said.
To attract global investment and global industries, we have made some of the biggest reforms in independent India, Modi said. In addition, he said, today, 100% FDI automatic routes are possible in agricultural areas. He said in the defence sector, where there was no place for the private sector, the government has opened 74% FDI through the automatic route. He said the space sector too has seen good growth.
“These steps have given a clear message to the world that India welcomes investment. India welcomes innovation,” he said.
The Production Link Incentive (PLI) Schemes have attracted global manufacturers to make in India, Modi said.
“That is why India is proving why betting on India is the smartest business decision of this decade,” he said.
Civil aviation minister Ram Mohan Naidu, chief minister of Telangana A Revanth Reddy, civil aviation secretary Samir Kumar Sinha, Safran CEO and director Olivier Andriès were also present.
Reddy said, “This new facility marked an important milestone for Telangana and its growth in aerospace and defence. Today, we also laid the foundation for the Safran M88 military engine MRO. This MRO will support the Indian Air Force and Indian Navy. Hyderabad is a major aerospace and defence hub for India. We have more than 25 major global companies and over 1500 MSMEs… Hyderabad is one of the leading MROs and engine Hubs in India…Skilling is a very important criteria to attract aerospace investments. Telangana has upgraded 100 industries in private institutes into advanced technology centres in partnership with Tata technologies, making young people job ready for advanced manufacturing. Our young India University, focuses and specialised in training for aircraft maintenance. We invite you to become a partner in aerospace and MRO skilling efforts. Telangana will continue to support partners like Safran, provide world class infrastructure, and encourage the aerospace and defence sector…we wish to become a 1 trillion strategy by 2034..I also appeal to Honorable prime minister Narendra Modi to declare Bangalore and Hyderabad as defence and aerospace corridors that will contribute to Viksit Bharat.”
India’s aircraft MRO market is projected to be worth $4 billion by 2031, providing unprecedented opportunities, Naidu said at the inauguration.
“Today marks another milestone in the joint story we share with India and reflects the importance of your country far our group. India has become one of the fastest growing markets in the world for Civil aviation where passenger traffic is expected to more than double over the next 20 years. Safran is proud to support the growth of India’s aviation sector. Through CFM International Safran has been working with Indian Airlines for over 30 years, and more than 500 aircraft are currently equipped with CFM engines. The inauguration of Safran’s largest maintenance repair and overall facility, worldwide here, in Hyderabad is strategic in many aspects. This new site will have the capacity to maintain 300 LEAP engines per year and it will feature the next generation test bench, also developed by Safran. This new site will support the rapid expansion of the fleet powered by the leap engine, which equips the majority of the new generation singular aircraft, including the A320Neo and the Boeing 737 MAX. Over 400 leap power aircraft are in operation with five Indian airlines today, and there are an additional 2000 LEAP engines currently on order, and this is the beginning,” Olivier Andriès, chief executive officer and director of Safran, said.
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