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Home arrow News arrow New Project news arrow Lufthansa Technik to set up Hyderabad MRO facility
Lufthansa Technik to set up Hyderabad MRO facility Print E-mail
Written by Ganesh   
Wednesday, 04 June 2008
Base maintenance services for Airbus A320 & Boeing 737

Lufthansa Technik, the world’s leading provider for maintenance, repair and overhaul (MRO) of airplanes, components and engines, has decided to set up a new facility in India to support the growing aviation sector. The new facility will be located at Shamshabad, Andhra Pradesh, the site of the upcoming Rajiv Gandhi Hyderabad International Airport.

As the first international MRO provider to set up an Indian base, Lufthansa Technik has chosen to team up with the GMR Group, one of India’s leading infrastructure developers and the concessionaire of the airports at Hyderabad and Delhi. Lufthansa Technik will be the majority stakeholder in the company holding more than 75% of its equity share capital.

The facility will provide base maintenance services (including C- and D-checks) for Airbus A320 family and Boeing 737 aircraft - including 737 Classic and 737 NG (Next Generation). The facility is expected to commence operations at the end of 2008 with two parallel lines to serve the maintenance requirements of the rapidly growing narrowbody fleet of Indian carriers. Investment in the two-bay hangar and its state-of-the-art workshops will exceed Rs 100 crore (20 million USD) in the initial phase – the construction of the 20,000 square meters facility shall begin in summer 2007.

”We see this venture as the foundation for a long lasting partnership, and the basis for a state-of-the-art technical cooperation for the benefit of our existing and future airline partners in India,” said August W. Henningsen, Chairman of the Executive Board, Lufthansa Technik AG, during a joint press conference in Hyderabad. “With more than 400 airplanes on order, the Indian aviation market is one of the fastest growing in the world. The new facility will complement the existing MRO support being provided to new as well as existing fleets in India and ensures an optimal MRO support within the country.”

“The setup of a MRO facility by Lufthansa Technik is an important step to establish a full-service world-class airport to match Hyderabad’s status as the economic powerhouse of the region,” said T Srinagesh, Chief Operating Officer of GMR Hyderabad International Airport Ltd. “Hyderabad's geographic location makes it a strategic hub for domestic and international air traffic – a vantage point for the first dedicated third-party MRO facility in India.”

Effective immediately, the company will commence training to develop highly qualified technicians and aircraft engineers. This will be achieved in cooperation with Lufthansa Technical Training through a specially designed training program, tailored to the requirements of the facility. A dialogue with technical institutes in the State of Andhra Pradesh has already been initiated.

“We are looking at total employment of more than 400 highly qualified personnel once we are fully operational and plan to concentrate recruitment within the State of Andhra Pradesh,” explained Dominik Wiener-Silva, designated Managing Director of the new company. “We also expect Hyderabad to emerge as a new aviation cluster with some of the countries best qualified engineers and technicians.”

Lufthansa Technik’s modular approach will ensure flexibility to expand its services to customers outside of India and to augment its product portfolio with additional services. As a member of Lufthansa Technik’s existing worldwide MRO network of 28 companies, the new venture will be the backbone for MRO services for shortand medium-haul aircraft in India.

Lufthansa, as an aviation group, has an active engagement in India. The Group has been involved across several businesses in the aviation sector in India and has contributed to the growth in each of these fields. The group comprises five major business segments: Passenger Airline, Logistics, MRO, Catering and IT Services. Each business unit is a leader in its own sector in the service chain of air transportation. Lufthansa will continue to enhance its investments in the market working closely with its partners. Engagements in India include: Lufthansa Cargo, LSG Sky Chefs, Lufthansa Systems Group and now Lufthansa Technik.

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