Uttar Pradesh soars with 'Make in UP' Aviation Hub Initiative

07 Nov 2023 CW Team

Several prominent Indian and international companies, including those from the US, have expressed keen interest in establishing their manufacturing and assembly facilities in UP. The state plans to develop an expansive aviation hub spanning over 1,000 acres in Noida. This hub will focus on the production and assembly of aircraft, as well as providing comprehensive maintenance, repair, and overhaul (MRO) services for both domestic and international planes.

Arunvir Singh, the Chief Executive Officer of Yamuna Expressway Industrial Development Authority (YEIDA), revealed that consultancy firm PwC has been assigned the task of designing the layout for the hub. Numerous discussions and meetings with potential investors, facilitated through the US embassy, have already taken place.

The aviation sector is swiftly recovering from the pandemic, with the domestic air traffic in the current fiscal year 2023-24 projected to reach 150-155 million passengers, surpassing pre-pandemic levels. Factors such as a growing fleet of airliners, expanding airport networks, decreasing airfares, and an increasing number of young travellers are driving the sector's growth. This growth presents opportunities for aircraft and spare part manufacturers, as well as MRO service providers.

The strategically located aviation hub will overlook the upcoming Jewar International Airport in Noida, anticipated to be Asia's largest airport. This hub will not only handle repairs for domestic aircraft but also offer MRO services to planes from other countries, eliminating the need for Indian airliners to send their aircraft abroad for repairs.

The process of acquiring 1,365 hectares of land for the proposed MRO and aviation hub, in the second phase of Noida International Airport Limited (NIAL), is currently underway. Once PwC completes the layout, decisions regarding the implementation of the state aviation hub scheme will be made by the NIAL Board. This initiative aims to generate employment opportunities and realise the vision of aviation manufacturing and MRO services.

Additionally, the state plans to introduce an aviation manufacturing scheme to encourage companies involved in airplane assembling, engine manufacturing, nozzle manufacturing, and other aircraft equipment manufacturing to establish their units in Uttar Pradesh. Furthermore, the state has recently announced its foreign direct investment (FDI) policy, offering incentives to global companies interested in investing in UP. The government is optimistic about leveraging the FDI policy to attract investments into the aviation hub, further boosting the state's aviation industry.

The Uttar Pradesh government, led by Yogi Adityanath, is promoting the 'Make in UP' initiative within the thriving aviation sector, foreseeing India's potential to surpass the US and China, becoming the world's leading market by the end of the decade. Several prominent Indian and international companies, including those from the US, have expressed keen interest in establishing their manufacturing and assembly facilities in UP. The state plans to develop an expansive aviation hub spanning over 1,000 acres in Noida. This hub will focus on the production and assembly of aircraft, as well as providing comprehensive maintenance, repair, and overhaul (MRO) services for both domestic and international planes. Arunvir Singh, the Chief Executive Officer of Yamuna Expressway Industrial Development Authority (YEIDA), revealed that consultancy firm PwC has been assigned the task of designing the layout for the hub. Numerous discussions and meetings with potential investors, facilitated through the US embassy, have already taken place. The aviation sector is swiftly recovering from the pandemic, with the domestic air traffic in the current fiscal year 2023-24 projected to reach 150-155 million passengers, surpassing pre-pandemic levels. Factors such as a growing fleet of airliners, expanding airport networks, decreasing airfares, and an increasing number of young travellers are driving the sector's growth. This growth presents opportunities for aircraft and spare part manufacturers, as well as MRO service providers. The strategically located aviation hub will overlook the upcoming Jewar International Airport in Noida, anticipated to be Asia's largest airport. This hub will not only handle repairs for domestic aircraft but also offer MRO services to planes from other countries, eliminating the need for Indian airliners to send their aircraft abroad for repairs. The process of acquiring 1,365 hectares of land for the proposed MRO and aviation hub, in the second phase of Noida International Airport Limited (NIAL), is currently underway. Once PwC completes the layout, decisions regarding the implementation of the state aviation hub scheme will be made by the NIAL Board. This initiative aims to generate employment opportunities and realise the vision of aviation manufacturing and MRO services. Additionally, the state plans to introduce an aviation manufacturing scheme to encourage companies involved in airplane assembling, engine manufacturing, nozzle manufacturing, and other aircraft equipment manufacturing to establish their units in Uttar Pradesh. Furthermore, the state has recently announced its foreign direct investment (FDI) policy, offering incentives to global companies interested in investing in UP. The government is optimistic about leveraging the FDI policy to attract investments into the aviation hub, further boosting the state's aviation industry.

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