Air India and Tata Advanced Systems Ltd (TASL) have signed a memorandum of understanding (MoU) with the Karnataka government, committing to a substantial investment of Rs 2,300 crore.
This strategic collaboration is poised to revolutionize the aerospace ecosystem in Karnataka, promising to generate over 1,600 direct jobs and an impressive 25,000 indirect employment opportunities.
The MoU signing ceremony, graced by Karnataka Chief Minister Siddaramaiah and Large and Medium Industries Minister MB Patil.,
According to Minister MB Patil, Air India, in collaboration with Tata Advanced Systems Limited, is set to establish a pioneering airframe Maintenance, Repair, and Overhaul (MRO) facility at Bengaluru International Airport.
This initiative comes with an investment plan of Rs 1,300 Crore and is expected to employ 1,200 individuals. The MRO facility, a first-of-its-kind in India, is poised to open avenues for a comprehensive MRO service.
“This investment propels Karnataka’s aerospace industry to new heights and augments employment opportunities, thereby contributing to the state’s economic growth,” said Chief Minister Siddaramaiah.
The expansion of Air India’s presence in Bengaluru aligns with its broader strategy to enhance connectivity in the city. This move is expected to scale up direct connections to global destinations and consolidate traffic from Southern India.
TASL’s investment, on the other hand, encompasses diverse projects, including the establishment of an aircraft modification, conversion, completion, and MRO facility for defense purposes. Additionally, an indigenous gun manufacturing unit, complete with a barrel manufacturing facility, and a dedicated R&D unit in the aerospace and defense sector are in the pipeline.
TASL aims to source more than 50% of its 13,000 parts for the gun manufacturing facility from Karnataka, fostering collaboration with 300-350 small and medium enterprises. This ambitious initiative is estimated to provide employment to 2,000-3,000 people, injecting vitality into the local economy.
All these pioneering projects, slated to be located at Bengaluru International Airport and Kolar, are the first of their kind in India.
The substantial investment by Air India and TASL is a testament to Karnataka’s commitment to fostering technological advancements and creating an environment for industrial growth.