| Indian aviation MRO sector set to soar on slashed duties plan |
| Last Updated(Beijing Time):2012-04-09 15:38 |
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India's aviation maintenance, repair and overhaul (MRO) business is set to rise as a result of the government's plan to slash high custom duties on aircraft parts, tyres and other equipment, reported a local daily Monday here.
Finance Minister Pranab Mukherjee in the Finance Bill 2012-13 has proposed to provide full custom duty exemption to new, retreaded tyres as well as testing equipment for aircraft which will be imported by third-party MRO units, according to the report.
Aircraft parts and tyres currently attract around 30 percent basic and additional customs duty on import. Due to this, the domestic MRO sector has been uncompetitive.
According to a civil aviation ministry report, the Indian MRO industry is expected to triple in size from 22.50 billion rupees ( 440 million U.S. dollars) in 2010 to 70 billion rupees (1.369 billion U.S. dollars) by 2020. |
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