The first phase of airframe and components MRO( maintenance,repair and overhaul) which is developed by Cochin International Airport Limited(CIAL) is reaching the final make ups and is expected to be operational in this year itself. As per the current scheduling the 100 crore project is expected to be completed within a couple of weeks . After completion the only hurdle that the project have in front before becoming operational is the clearance from the Directorate General of Civil Aviation.
Conceived as a joint venture, the company proposes to offer 49 percent equity to the partner and has been in consultations with a couple of carriers, including Jet Airways and the U.S.-based Delta Airlines. The partnership allows the partner to start functioning their own air crafts and the CIAL will provide them with a team of support technicians apart from the infrastructure. CIAL is also trying to mobilise funds from the market for its future expansion.
CIAL has so far spent around Rs.35 crore for infrastructure and proposes to attract large-scale investments from the leading OEMs (Original Equipment Manufacturers), other industry partners and private investors, is targeting to reach out to business jets in the growing markets of India, the Gulf and South East Asia. The project is expected to break even with in three years to its operation. So what do you guys have to say about this new venture of CIAL? Please give away your views through your comments.