By Chaitali Bag
The Maintenance, Repair, and Overhaul (MRO) sector is a powerhouse for the global aerospace and defence industry, ensuring our aircraft are safe and ready to soar! Excitingly, India is emerging as a major player, currently the seventh-largest civil aviation market and on track to become the third-largest by 2026! With a booming demand for MRO services, there’s immense potential for growth in India’s indigenous sector, which is still in its early stages. The fact that 90 percent of MRO needs are met through imports highlights a fantastic opportunity for local facilities to flourish. Indian Aerospace & Defence is pleased to present insights from Anshul Bhargava, Chairman and Managing Director of HaveUs Aerotech India, regarding the current landscape of Maintenance, Repair, and Overhaul (MRO) services in India. Bhargava’s expertise sheds light on the evolving MRO sector, emphasizing its critical role in enhancing operational efficiency and safety within the aerospace industry.
Q. As we stand on the threshold of 2024, it is opportune to reflect on the journey of Have Us Aerotech, which commenced on Christmas Eve in 2014. Over the past decade, the company has established itself as a pivotal player in the Maintenance, Repair, and Overhaul (MRO) sector of India, navigating through both challenges and triumphs. We would appreciate your insights on the challenges and milestones you have encountered along the way.
Ans. Founded in 2014, HaveUs Aerotech India emerged in response to the pressing need for Maintenance, Repair, and Overhaul (MRO) services within the Indian aviation industry. At the inception of the company, the founders recognized a significant gap in local MRO capabilities, as many aircraft components and services were being outsourced abroad. This realization sparked the desire to establish a robust MRO framework before embarking on the ambitious project of developing the Pushpak Vimana.
The initial focus was to create a component shop dedicated to servicing the local airlines, thereby reducing dependency on foreign MRO providers. In 2015, HaveUs Aerotech strategically aligned with Alitalia Maintenance Systems and signed a Memorandum of Understanding (MoU) with Air India Engineering. These partnerships were instrumental in enhancing the technical capabilities of the company, allowing it to build a solid foundation in the MRO sector.
By 2016, HaveUs Aerotech identified a critical market gap in the maintenance of wheels and brakes. In response, the company established a specialized shop capable of servicing all types of wheels and brakes in India. This initiative not only filled a void in the market but also positioned HaveUs Aerotech as a key player in the domestic aviation maintenance landscape.
As the company evolved, it remained attuned to the industry’s pain points, which led to the development of a life-saving oxygen shop. This initiative was a direct response to the urgent needs of airlines during a crisis, showcasing HaveUs Aerotech’s commitment to innovation and responsiveness. The establishment of the oxygen shop garnered recognition from Safran, further solidifying the company’s reputation as an authorized repair shop.
The COVID-19 pandemic, which emerged as a global crisis, significantly strained healthcare systems worldwide, necessitating urgent and effective responses from various sectors. Among the many entities that stepped up during this challenging period, HaveUs Aerotech distinguished itself by providing essential support to the Indian Air Force (IAF) and the civilian population through the supply of oxygen cylinders. This initiative not only underscored the company’s commitment to humanitarian efforts but also highlighted the critical importance of collaboration between private enterprises and national defence sectors in times of emergency.
As the pandemic progressed, the demand for medical oxygen surged, leading to severe shortages across hospitals and communities, particularly during critical phases of the outbreak. In response to this dire situation, HaveUs Aerotech made a significant contribution by supplying oxygen cylinders to the Indian Air Force, an institution responsible for safeguarding the nation’s skies. Remarkably, these supplies were provided free of charge, demonstrating a commendable sense of corporate social responsibility. This initiative not only facilitated the IAF in its operational readiness but also ensured that healthcare facilities could adequately care for patients suffering from COVID-19-related complications.
Equally important was the provision of oxygen cylinders to civilians. The company’s efforts in distributing these life-saving resources to the broader community reflected a holistic approach to crisis management. By prioritizing both military and civilian needs, HaveUs Aerotech fostered a spirit of solidarity during a time marked by fear and uncertainty. This dual approach not only alleviated the immediate burden on healthcare systems but also served to bolster public morale.
HaveUs Aerotech India has successfully navigated the complexities of the aviation MRO sector since its inception. By identifying market needs and establishing strategic partnerships, the company has positioned itself as a vital contributor to the growth of India’s aviation industry, ultimately paving the way for future advancements, including the anticipated Pushpak Vimana.
Q. What recognition did the company receive from Safran and how did it impact your operations?
Ans. The company received significant recognition from Safran, which designated it as an authorized repair shop and business partner in India. This recognition was a pivotal moment for the company, as it validated our efforts in developing capabilities in life-saving equipment and avionics, which were identified as pain points by airlines. The partnership with Safran not only boosted the company’s credibility but also led to increased business opportunities from various airlines, as they began to acknowledge the quality and turnaround time of the services provided.
The impact of this recognition on their operations was substantial. It enabled the company to expand its services and gain approvals from international regulatory bodies like EASA (European Union Aviation Safety Agency) and the U.S. Department of Transportation. This expansion allowed them to operate as an international shop, further enhancing their business prospects. Additionally, during the COVID-19 pandemic, the company played a crucial role by providing oxygen supplies to airlines and the Indian Air Force, which solidified our reputation and community support.
Q. Regarding your observation on the challenges faced by Indian MROs due to the dominance of airline subsidiaries overseas, Specifically, we would like to understand how far we have progressed in addressing the underdevelopment of MRO capabilities in India and any steps taken towards achieving excellence in this sector.
Ans. The Maintenance, Repair, and Overhaul (MRO) sector is an indispensable component of the aviation industry, directly contributing to the safety, efficiency, and reliability of air travel. In India, this sector has witnessed considerable attention, yet it faces myriad challenges, particularly for small and medium enterprises (MSMEs). As the aviation market continues to develop, Indian MRO companies must navigate obstacles that impede their competitiveness against foreign subsidiaries with substantial backing and resources.
One of the most pressing issues confronting Indian MSME MROs is the overwhelming presence of airline subsidiaries operating overseas. These subsidiaries benefit from established frameworks, substantial investments, and comprehensive support systems that allow them to excel and often undercut local providers on pricing and service efficiency. In contrast, small domestic MROs frequently grapple with limited financial resources, inadequate infrastructure, and a lack of recognition from Original Equipment Manufacturers (OEMs). The intricacies of maintaining competitive pricing while ensuring quality are further exacerbated by these constraints.
To bolster the capabilities of local MROs, government support emerges as a pivotal factor. Financial backing is essential not only to enhance operational capacity but also to facilitate the development of strategic partnerships with OEMs. Such collaborations can yield significant benefits, including access to advanced technologies, better training programs, and up-to-date information on industry standards and practices. The government must prioritize the establishment of frameworks that encourage investment in the local MRO sector, thereby reinforcing its position within the broader aviation ecosystem.
In addition to financial support, the necessity for robust local training initiatives cannot be overstated. Developing a skilled workforce is crucial for elevating service offerings and ensuring adherence to international safety standards. Collaborative partnerships between MSME MROs and academic institutions can pave the way for specialized training programs tailored to the aviation sector. By equipping employees with the requisite skills and knowledge, MSMEs can enhance their service quality and workforce productivity, positioning themselves as credible competitors in the market.
Furthermore, policy changes are imperative to encourage financial institutions to perceive MROs as viable customers. Currently, many banks remain hesitant to extend loans or credit facilities to MSMEs in the MRO sector due to perceived risks associated with their operational models. By fostering an environment that recognizes the potential of MROs and the role they play in employment and revenue generation, the government can help alleviate financial constraints. Implementing targeted financial schemes or incentives could encourage banks to provide the necessary funding, fostering an ecosystem conducive to growth.
Additionally, as Indian MROs aspire to expand their service offerings beyond small component maintenance to larger-scale projects, including military aircraft, strategic planning and resource allocation become critical. This shift requires an investment in advanced technologies and specialized expertise, presenting further challenges for MSMEs constrained by limited financial and infrastructural resources.
The role of MSMEs within the Indian MRO sector is integral to the vision of “Make and Maintain in India.” By supporting these enterprises through financial backing, recognition from OEMs, and enhanced training initiatives, the government can significantly enhance its competitiveness against larger overseas subsidiaries. Collaborative efforts and policy changes are essential to ensure that MSMEs can thrive in an increasingly globalized aviation market, facilitating both employment opportunities and revenue generation. Moving forward, a strategic approach that prioritizes the strengths of local MROs could contribute to a more robust and self-sufficient aviation sector in India.
Q. HAL has been at the forefront of both civil and military aviation MRO. Your collaboration last year marked a significant step in exploring business opportunities in civil aviation domestically and internationally. We look forward to updates on how this partnership has evolved and eagerly anticipate hearing about Have Us Aerotech’s plans for entering the military aviation MRO sector.
Ans. The collaboration between HaveUs Aerotech and Hindustan Aeronautics Limited (HAL) marks a significant milestone in the evolution of the Indian aviation sector, particularly in the realm of civil aviation. Traditionally recognized for its military support role, HAL is now poised to broaden its horizons by venturing into civil components, thereby enhancing its operational portfolio. This partnership not only aims to facilitate HAL’s transition into the civil aviation domain but also seeks to establish a robust presence in major metropolitan areas across India.
The signing of a Memorandum of Understanding (MoU) between HaveUs Aerotech and HAL underscores the commitment of both entities to collaborate in setting up a Maintenance, Repair, and Overhaul (MRO) facility specifically designed for military aircraft and helicopters. This initiative is particularly noteworthy, as it aligns with the growing demand for efficient maintenance services within the aviation industry. By leveraging each other’s strengths, HaveUs Aerotech and HAL can ensure that military aircraft are serviced with the utmost precision and care, thereby enhancing operational readiness and safety.
One of the primary objectives of this collaboration is to strategically position MRO facilities in major metropolitan areas. This approach not only facilitates easier access to maintenance services for military aircraft but also fosters a closer integration of civil aviation operations. As urban centers continue to expand, the need for efficient aviation services becomes increasingly critical. By establishing MRO facilities in these key locations, the partnership aims to cater to both military and civilian needs, thereby creating a comprehensive aviation ecosystem.
Furthermore, HaveUs Aerotech is poised to take on responsibilities related to the Defence Forces, encompassing both rotary-wing and fixed-wing segments. This diversification of operations is contingent upon receiving the necessary approvals from the Centre for Military Airworthiness and Certification (CEMILAC) and the Directorate General of Quality Assurance (DGQA). Such approvals will not only validate the technical capabilities of HaveUs Aerotech but also reinforce the trust placed in them by HAL and the Defence Forces.
The collaborative approach adopted by HaveUs Aerotech and HAL signifies a paradigm shift in the aviation sector, where military and civil operations can coexist and complement each other. This partnership is not merely about establishing MRO facilities; it is about fostering innovation, enhancing service quality, and ultimately contributing to the growth of the Indian aviation industry. By inviting HAL to be a partner in this venture, HaveUs Aerotech is paving the way for a future where military and civil aviation can thrive in tandem, ensuring that both sectors benefit from shared expertise and resources.
The partnership between HaveUs Aerotech and HAL represents a forward-thinking initiative aimed at expanding HAL’s involvement in the civil aviation sector. By establishing MRO facilities in major metropolitan areas and embracing a collaborative approach, this alliance is set to redefine the landscape of aviation in India. As the industry evolves, the successful integration of military and civil components will not only enhance operational efficiencies but also contribute to the broader objective of making India a global hub for aviation excellence.
Q. As the Indian MRO industry advances towards the Hon’ble Prime Minister’s vision of a self-reliant India, it generates significant employment opportunities and fosters skilled manpower development. Your insights on the company’s contributions and initiatives in this regard would be greatly appreciated.
Ans. In an era where skill development is paramount for economic growth and sustainability, HaveUs Aerotech stands at the forefront of this movement, deeply inspired by the vision of our honorable Prime Minister, Narendra Modi. The launch of HaveUs Gurukul is a significant step towards training skilled manpower across India, aligning with the Prime Minister’s commitment to empower local communities and foster a culture of self-reliance. This initiative not only aims to equip individuals with essential skills but also seeks to create a robust ecosystem that supports the burgeoning demand for skilled labor in the aviation sector and beyond.
At the heart of the HaveUs Gurukul initiative is the recognition of the importance of modern tools in enhancing training methodologies. By integrating advanced technologies such as artificial intelligence and virtual reality into the training programs, HaveUs Aerotech is revolutionizing the way skills are imparted. These tools not only facilitate a more engaging learning experience but also ensure that trainees are well-prepared to meet the challenges of a rapidly evolving industry. The program is designed to cater to a diverse range of individuals, from the unskilled to the semi-skilled and even those seeking to refine their existing expertise. This inclusivity is crucial as it allows for a broader demographic to participate in the upskilling process, thereby contributing to a more competent workforce.
Moreover, HaveUs Gurukul is not merely focused on absorbing trainees within the company. It aims to empower individuals to work with various Maintenance, Repair, and Overhaul (MRO) organizations, both domestically and internationally. This approach not only enhances the employability of the trainees but also positions them as valuable contributors to the nation’s economy. By fostering an environment where skilled manpower can thrive, HaveUs Aerotech is actively participating in exporting skilled labor, which is becoming increasingly vital in today’s globalized economy.
The initiative also seeks to establish affiliations with European and American air safety standards, ensuring that the training provided is of international caliber. This commitment to excellence is reflected in the company’s growing workforce, which has expanded to over 150 employees. Furthermore, the initiative is projected to generate at least three times that number in support industries, thereby creating a ripple effect of employment opportunities. The establishment of a comprehensive CAR 147 training facility will further accelerate the skilling of technicians and engineers, solidifying HaveUs Aerotech’s role as a leader in the aviation training sector.
The HaveUs Gurukul initiative embodies a forward-thinking approach to skill development that is deeply rooted in our Prime Minister’s aspirations to uplift local communities. By leveraging modern technology and fostering international standards, HaveUs Aerotech is not only enhancing the skill set of individuals but also contributing significantly to the nation’s economic growth. As the initiative continues to evolve, it promises to play a pivotal role in shaping a skilled workforce that is prepared to meet the demands of the future, ultimately benefiting both the nation and the global economy.
Q. We would like to congratulate HaveUs Aerotech on the successful launch of India’s first ULD containers assembly and MRO support center in Gurugram in 2022. It is an impressive milestone for the company. Could you please share insights on any additional innovative initiatives or projects that are planned for the near future?
Ans. The decision by Haveus to venture into ULD container repair is a strategic response to the demonstrated demand for such services, as indicated by our market study. With the propensity for these large containers to sustain damage and the logistical challenges associated with their transport, establishing a repair facility aligns with our objective of expanding Maintenance, Repair, and Overhaul (MRO) operations across India. This initiative not only addresses a critical industry need but also enhances our service offerings in a competitive market.
The Indian aviation sector is on the cusp of significant transformation, propelled by innovative initiatives that promise to enhance both the technological capabilities and educational frameworks of the industry. At the forefront of this evolution is HaveUs Aerotech, which is dedicated to the development of wide-body aircraft components and the establishment of a specialized composite shop. This strategic focus reflects a broader commitment to not only advance engineering practices but also to cultivate a skilled workforce that can sustain these advancements.
A key element of HaveUs Aerotech’s vision is the creation of a dual-purpose training institute, dubbed HaveUs Gurukul, which aims to equip both engineers and pilots with the necessary skills to excel in the aviation landscape. Specifically tailored for the burgeoning fields of seaplanes and helicopters, the institute seeks to address the critical demand for trained professionals who possess a deep understanding of these complex aircraft. The integration of cutting-edge technology into the curriculum is particularly noteworthy; the emphasis on artificial intelligence will facilitate interactive learning experiences that can transform traditional educational methodologies.
Through the use of advanced simulators, HaveUs Gurukul will enhance the practical understanding of aircraft mechanics for both pilots and engineers. Simulators offer a risk-free environment for trainees to engage with the intricacies of aviation without the inherent dangers associated with live training scenarios. This approach not only accelerates the learning process but also fosters safety consciousness, a vital component in the operation of seaplanes and helicopters.
Moreover, HaveUs Aerotech envisions the development of innovative seaplanes capable of landing on rough seas, a significant advancement that would greatly expand the operational capabilities of such aircraft. This initiative represents a convergence of engineering ingenuity and practical application, addressing the unique challenges posed by maritime operations under adverse conditions. The emphasis on research and development will play a pivotal role in actualizing this ambition. Engineers will collaborate closely with pilots, ensuring that design and operational methodologies are well-integrated.
The dual approach to pilot and engineer training underscored by HaveUs Aerotech reflects an understanding of the symbiotic relationship between design and operation in aviation. The targeted training for seaplanes and helicopters will produce professionals who are not only adept in their respective fields but are also capable of collaborating effectively across disciplines. This holistic training model is poised to elevate standards within the industry, as it prepares graduates to meet the challenges of an increasingly complex aviation environment.
HaveUs Aerotech and HaveUs Gurukul represent a forward-thinking vision for the Indian aviation sector. Their emphasis on the development of specialized aircraft components, coupled with an innovative training approach integrating artificial intelligence, underscores a commitment to quality education and technological advancement. As the aviation sector continues to evolve, initiatives such as these will be crucial in cultivating a skilled workforce and fostering innovations that will define the future of aviation in India. By strategically investing in both technology and education, HaveUs Aerotech is making significant strides toward establishing India as a key player in the global aviation arena.
Q. We have noted that HaveUs Aerotech has generated significant interest with its recent announcement of a robust expansion following record-breaking profits for FY24. We would appreciate any details you can share regarding these expansion plans.
Ans. The civil aviation industry is poised for transformative growth, guided by a well-structured expansion plan that encompasses three primary categories: the development of components, the introduction of high-ticket size components, and the provision of maintenance, repair, and overhaul (MRO) services for both narrow and wide-body aircraft. This strategic initiative begins with a focused emphasis on components, gradually progressing toward comprehensive aircraft maintenance solutions. This essay delves into the rationale behind this phased approach, particularly highlighting the significance of wheels and brakes MRO, and the necessary investments to ensure the plan’s successful execution.
To commence, the first phase of the expansion plan centers on the development of components that serve as the backbone of the MRO sector. In the competitive landscape of civil aviation, efficiency and reliability are paramount. By focusing on component production initially, our organization aims to establish a solid foundation, enhancing operational efficiency and fortifying our market position. The wheels and brakes MRO segment, characterized by its high volume yet slim profit margins, exemplifies our success in optimizing efficiency. Through innovative strategies, such as our door-to-door service model, we have effectively catered to airline customers, ensuring prompt and reliable service that addresses their operational needs.
Transitioning into the second category, the introduction of high-ticket-size components represents a critical opportunity for profitability. High-ticket items are essential to modern aircraft systems, and their market demand continues to grow. By leveraging our expertise in component design and production, we can offer advanced solutions that meet the evolving requirements of the aviation industry. This shift not only enhances revenue potential but also positions our organization as a leader in the supply of specialized aviation components, thereby increasing our visibility and credibility within the sector.
The final category of our expansion plan involves the provision of maintenance services for both narrow and wide-body aircraft. This phase underscores the importance of entering a realm that requires highly skilled engineers and sophisticated technological equipment. The transition to an MRO service model necessitates a commitment to workforce development and the acquisition of advanced tools and facilities. By investing considerable resources in training personnel and upgrading equipment, we aim to provide unparalleled maintenance services that comply with stringent safety standards and regulations.
The expansion plan for civil aviation, with its focused approach to component development, high-ticket items, and maintenance services, represents a strategic avenue for growth and innovation. By initiating our efforts with components and gradually evolving into comprehensive MRO solutions, we are well-positioned to capitalize on emerging opportunities in the aerospace industry. As we forge ahead, it is imperative that we allocate the necessary resources to build a proficient workforce and acquire cutting-edge technology. This commitment will not only enhance our competitiveness but also ensure that we make a lasting impact on the civil aviation sector.
