Sky’s the limit for Indian industry

The acquisition of Aerostaff Australia and Gippsland Aeronautics by Mahindra Aerospace marks a small step for the company and a bold leap for India Inc into qualitatively new territory. This transaction is not very large ($37.5 million), but it symbolises Indian industry’s ability to make strategic shift to new levels.
Liberalisation of the Indian economy has brought to the common man many goods and services that could only be aspired for in the past. For instance, flying is not any more a privilege of the rich. At the same time, this economic expansion has ensured that Indian companies gained size and sophistication.
And, more importantly, the confidence to move forward to acquire foreign businesses and replace incumbent managements with managers of Indian origin and experience. Aerospace is a fledgling industry in India, and the government’s efforts to develop the country as a hub for maintenance, repair and overhaul (MRO) may not materialise in the near term.
But the long-term potential for the aviation and aerospace sector in India is immense. Particularly as defence production is now open to private sector, including foreign, participation, with riders. Civil aviation too is bound to grow with further expansion of the economy. Taneja Aerospace and Aviation is perhaps the only company in the country manufacturing light transport and trainer aircraft.
17/12/09 Economic Times

To Read the News in full at Source, Click the Headline

Categories: Indian Aviation- In General Dec 2009, New Dec 2009