![]() Financial Daily from THE HINDU group of publications Monday, Feb 14, 2005 |
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Airlines Aero show concludes; generates Rs 20-cr revenue Our Bureau
Bangalore , Feb. 13 AFTER five days of heart-stopping shows in air and a matching sales pitch, it was time for the flying machines, the magnificent men in them and their makers to go home. On Sunday, the curtains came down on India's aviation spectacle, billed to be among Asia's top three. Some 2.5 lakh business, official and public visitors were drawn to Aero India 2005 that started colourfully at the Air Force Station Yelahanka (AFSY) near here on Wednesday. The biggest domestic defence and civil aviation expo generated revenue of Rs 20 crore, said Squadron Leader R.K. Dhingra, Joint Director, Defence Exhibition Organisation under the Ministry of Defence. Promoting the aviation industry was the motive rather than making business of it, he added. Compared to the decades-old marquee air shows of Farnborough or Le Bourget, Bangalore, which had 80 aircraft in flying or still display, may still be a baby but it turned out to be easily in the Asian league of Singapore or Dubai. "After all, this is only our fifth air show. Yet, the response to it was phenomenal and the feedback from the participants is that we met their expectations in the organisation of the show," Sqn Leader Dhingra told Business Line. The aviation industry is still led by the public sector and, "We will have to wait for the industry to grow," he said. The planning process has already started for the February 2007 Aero India, which would be even better and bigger. According to Sqn Leader Dhingra, infrastructure outside the exhibition space would be addressed as a priority. He hoped that by the sixth edition, the national highway stretch would be completed to give better access from the city to AFSY, some 25 km away. More hotel rooms at affordable prices would definitely be needed; accommodation was in short supply for the aviation expo, with increased participation and star hotels and resorts getting fully booked but making a killing from an ending season. AFSY also plans to extend the runway to 9,000 ft to take in larger aircraft and is surveying the extent of land it would need. A handful of multi-million-dollar deals were announced ranging from aircraft purchases by domestic budget carriers to joint manufacture of missiles and engine parts. It was also a show of matching wits between competing aircraft majors Airbus and Boeing; between military fighter plane makers who are bidding for IAF's plan to buy 126 fighters; while their attendant sector, the engine makers who provide the aircraft's soul and account for 30 per cent of its cost added the colour. Among the major ones, budget carrier Air Deccan placed a $528-million order with Franco-Italian aircraft maker ATR for 30 ATR 72-500 planes at what is said to be $17.6 million apiece. Boeing clinched a $630-million deal with the newest domestic airline SpiceJet for 10 of its 737-800 aircraft. US-based engines leader GE will be a big beneficiary in the Rs 4,000-crore order that IAF said it would place with HAL for 40 light combat aircraft: its GE404 engine powers the LCAs. Defence PSU Bharat Electronics will supply to the Suriname Government defence communication equipment and night vision devices worth $1.6 million. Defence R&D Organisation signed a MoU with Brazil's Embraer for development support to the IAF's new airborne early warning and control system. It may result in an initial contract for three EMB 145 AEW&C aircraft.
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