A leading global aerospace company stated that it would establish a factory in India to convert 737 passenger planes into specific freighters to meet local and international demand for the service.
The conversion facility will be established in Hyderabad with an Indian provider of maintenance, repair, and overhaul.
The proposed facility comes amid efforts by the leading aerospace business in the world to expand in India, including a $24 million investment to establish an airplane part logistics centre.
The agreement would also help India achieve its goal of becoming a global cargo hub. With a record number of aircraft ordered by an Indian carrier, it furthers the manufacturer’s expansion into India.
Despite a slowdown in the world economy that has hurt the air freight market, the investment is still being made.
According to the leading global aerospace company, during the next 20 years, there will be a need for more than 1,700 passenger planes to be converted into freighters, with roughly 600 of those coming from Asia.
India’s expanding electronics industry and e-commerce demand is strengthening freighter prospects. Hence, it is only appropriate that we have the capability to establish a line to manufacture those freighters here in India, not only for India but for the region and the world, added the leading global aerospace company.
The pandemic’s reduction in travel led to a record-breaking rush to convert outdated passenger planes into freighters. But experts claim that when cargo prices fall, aircraft lessors may be compelled to terminate conversions or get stuck with additional freighters.