Boeing and AIESL to Implement MRO of Critical Equipment on Major Boeing Defense Platforms in India

Critical equipment, including the P-8I operated by the Indian Navy and the 777 VIP aircraft operated by the Indian Air Force, are among Boeing’s key platforms that can now be serviced, repaired and overhauled in India. . On Tuesday, Boeing announced plans to collaborate with AI Engineering Services Ltd. (AIESL) which is an MRO approved by the Directorate General of Civil Aviation (DGCA), for the implementation of maintenance, repair and overhaul (MRO) of critical equipment on the main platforms of defense of Boeing in India.

This venture was announced under the US Boeing India Repair Development and Sustainment (BIRDS) initiative. Under this initiative, the plan is to make India the regional MRO hub to provide MRO facilities to the various Boeing platforms used in India, as well as explore collaboration in the repair and overhaul of the aircraft. 737NG common commercial equipment that is installed on the P-8I fleet. as well as the landing gear.

Attended by officials from the Indian Navy, AIESL and other key supplier partners, the collaboration between Boeing and AIESL was announced at an Aatmanirbhar in Defense conference.

Learn more about MRO

This will contribute to faster lead time, exceptional and operational capability and mission readiness of the Indian Armed Forces. It is also in line with the Indian government’s Aatmanirbhar Bharat vision to make the country a regional center for MRO, a senior Boeing official said when announcing the collaboration.

Expressing his commitment to provide critical support to the Indian Armed Forces, under the BIRDS hub initiative, Sharad Agrawal, CEO of AI Engineering Services Ltd., said, “Such collaborations would advance our vision of building MRO capabilities in India, for India.

This MRO will help provide an in-country supplier alliance to be led by Boeing India and create a competitive MRO ecosystem for defense aircraft repair, maintenance, qualification, engineering and sustainment services. and commercial.

And, according to an official statement released at the end of the announcement, the hub has expanded its capabilities in India in the areas of heavy maintenance, component repairs, MRO maintainer skills and training.

As noted earlier, the important aspect of BIRDS is the training programs that help increase the skilled workforce. This is done by developing sub-level suppliers and Medium, Small and Micro Enterprises (MSMEs) with the aim of creating high quality MRO capabilities in the country.

Boeing Chairman and CEO Visits India

To explore deeper participation in India’s self-reliance and Make in India efforts, particularly in the defense sector, Boeing Chairman and CEO Dave Calhoun was last week. in India and called Prime Minister Narendra Modi.

According to reports, senior Boeing officials accompanied by Sir Michael Arthur, chairman of Boeing International, and its Indian chief Salil Gupte had met with other senior officials.

The agenda was far more serious than scaling up the MRO facilities of various Boeing platforms, leasing aircraft, the six P-8i aircraft that were put into cold storage, and competing for 114 aircraft for Indian Air Force (IAF).

Reports in the public domain indicate that the CEO of Boeing was here due to the show cause notice received from the Ministry of Defense against the company’s failure to implement the compensation agreement in accordance with the contract of a previous agreement. The offset agreement stipulates that 30% of the value of the order placed with the US aerospace giant is to be re-injected into India in various sectors identified under the Department of Defense’s defense procurement procedure.

What did Boeing expect to deliver?

As part of the P-8I offset obligation (India received 12 of these aircraft and the plan to obtain six more was temporarily suspended by the Ministry of Defence). And based on information available in the public domain in accordance with government compensation requirements, approximately $730 million had to be repaid – directly or indirectly.

Background

In 2019, on September 23, the Comptroller and Auditor General (CAG) tabled a report in Parliament in which he noted that suppliers had made compensation commitments to obtain contracts “but later they were not. , they are not serious about honoring these commitments and have raised new issues that have delayed the implementation of compensation.

The CAG report mentions cases of 36 Rafale fighter jets from French Dassault Aviation, a contract with the American giant Boeing for the purchase of 10 C-17 III military transport planes and 80 helicopters from Russian Rosoboronexport ( ROE).

What are lags?

These are benefits that a buyer gets from a seller. This is the technology/capability that Indian industry is expected to obtain from a foreign supplier who sells equipment to India.


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