Mahindra Aero bets on components

Mahindra Aerospace, part of the Mahindra Group, expects its component segment to bring in revenues worth $100-150 million annually in approximately five years. Further, it is bullish to manufacture around 20-40 aircraft per annum once its facility is fully developed.

Mahindra Aerospace is the aircraft and aero-structure manufacturing division of Mahindra Systech. Hemant Luthra, president, Systech sector, Mahindra & Mahindra, said, “We expect to generate revenues close to $100 to $150 million per annum in the next five years time from the component segment alone.”

Luthra is confident that the defense offset segment in India and the company’s position as a tier-II supplier to other companies would mean good business in the component segment.

The company has set huge targets on the aircraft manufacturing side as well. “We plan to manufacture around 20 to 40 planes per annum by the end of 2013-14, once the Bangalore facility is fully completed,” said Luthra. These aircraft are expected to come with very competitive pricing. “This would prove to be the ‘Scorpio’ in the aviation space,” said Luthra.

While Mahindra is an early player in the domestic market for private aircraft, it plans to cater to a much larger audience. The company would be targeting buyers not only in India, but also from other countries. “We have seen inquiries from countries like China and Sri Lanka,” said Luthra.

Luthra points out that the Air Force’s aircraft requirement for training purposes could also be tapped as a potential market.