PM Narendra Modi opens the Hyderabad facility of Safran Aircraft Engine Services India (SAESI)

An important turning point in India’s aviation development strategy has been reached with the opening of Safran’s new Maintenance, Repair and Overhaul (MRO) facility in Hyderabad.

The Safran Aircraft Engine Services India (SAESI) facility at the GMR aircraft and Industrial Park at the Rajiv Gandhi International Airport was virtually launched by Prime Minister Narendra Modi and represents a significant investment in India’s capacity for aircraft maintenance.

This inauguration highlights India’s quick rise to prominence as a reliable location for high-value aerospace engineering and services in addition to reflecting the growing Indo-French technology relationship.

The LEAP (Leading Edge Aviation Propulsion) engines that power the Boeing 737 MAX and Airbus A320neo aircraft families are serviced at the SAESI plant. Modern commercial aviation fleets rely heavily on these new-generation engines because of their low emissions and fuel economy.

India is now among the world’s aviation service hubs, along with Singapore and Dubai, thanks to Safran’s decision to construct this significant MRO centre there. Additionally, it is the first time a major international engine manufacturer has opened a full-fledged engine maintenance and repair facility in India, demonstrating confidence in the country’s industrial ecosystem and labour force.

The facility requires an initial expenditure of roughly ₹1,300 crore and is about 45,000 square meters in size.

SAESI will be able to maintain and repair up to 300 LEAP engines a year until it reaches full operating capability by 2035. The Hyderabad plant would rank among the biggest engine service facilities in the world due to its size.

More than 1,000 highly qualified technical and engineering positions would be created for Indian experts as a result of the project, creating a strong foundation of indigenous knowledge in intricate aero engine technology. Indian specialists will be able to manage high-precision processes to international quality standards thanks to the availability of sophisticated testing, inspection, and repair equipment.

The Hyderabad MRO facility is strategically in line with the Government of India’s Aatmanirbhar Bharat vision. The amount of foreign currency that was previously spent on overseas maintenance contracts will be greatly reduced by building up domestic capability to service cutting-edge aircraft engines. Additionally, it will make India more resilient in maintaining its domestic civil aviation operations and encourage the development of a larger aerospace supply chain based on local capacity.

Additionally, the action supports India’s long-term objective of developing into a hub for aviation services that can support regional carriers operating in Asia and the Middle East in addition to domestic airlines.

The creation of this MRO facility also aligns with a larger policy initiative to change India’s aviation industry. To promote investment in MRO infrastructure, the government has implemented a number of industry-friendly measures in recent years.

While changes to the GST framework in 2024 lessened the tax burden on service providers, the MRO Guidelines 2021 improved regulatory processes. Additionally, the National Civil Aviation Policy of 2016 established the framework for rationalising airport space distribution, lease conditions, and royalties for MRO operators. All of these actions have increased the MRO industry’s competitiveness and viability in India.

The Safran plant is anticipated to produce long-term technological benefits in addition to its immediate economic benefits. Local innovation in materials, repair methods, and precision manufacturing will be boosted by knowledge sharing, skill development, and supply chain integration with Indian partners.

Safran’s partnership with Indian technical and educational institutions is expected to support training initiatives that will equip the next generation of aviation engineers with practical knowledge of turbine engine systems.

All things considered, Safran’s establishment of the SAESI plant is a significant step towards establishing India as a major player in aviation engineering and maintenance. It improves self-reliance in a crucial technical area, boosts employment development, and fortifies the nation’s aerospace infrastructure.

India is well-positioned to become a significant hub for aircraft engine maintenance, providing top-notch service to airlines throughout the region, thanks to its strong policy environment, highly qualified workforce, and rising demand for air travel.

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