Airlines spend some 13–15 percent of their revenues towards Maintenance, Repair and Overhaul (MRO) and presently this revenue goes to countries outside India. What are roadblocks to a vibrant MRO industry in India? Discuss in the light of Draft National Civil Aviation Policy 2015.

February 20, 2022 February 21, 2024

Roadblocks to a vibrant MRO industry

International airports lack hanger space, which is needed for temporary protective storage of the aircrafts.
Setting up MRO is highly capital intensive with high initial as well as recurring investments
Operating a credible MRO is highly dependent on trained technical manpower, tooling, and world-class maintenance services.
Non-availability of spare parts

National Civil Aviation Policy 2015 provides for

Services under MRO to be zero rated
Zero custom duty over tools and toolkits for MRO
Foreign aircraft brought to India for MRO will be allowed to stay for longer duration
Prompt visa to Foreign MRO experts
Temporary Landing Permits for foreign pilots

Topics: GS-III: Infrastructure Ports Roads Airports Railways

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