Boeing, GMR Aero Technic to set up India's first freighter conversion line

Boeing has selected GMR Aero Technic to carry out conversion of Boeing 737 passenger aircraft into freighters, giving a major fillip to the fledgling maintenance repair and overhaul industry in the country.

GMR group’s facility in Hyderabad will become the fourth Boeing-approved facility globally after China, Costa Rica, and the United Kingdom. MRO facilities in Israel and the United States also carry out similar works but Boeing has a far higher market share in the passenger to freighter conversion business.

In a press release, the GMR group said it bagged the contract through a global competitive bidding process. “With the rise in the Indian aviation industry, MRO services in India have become one of the fastest growing market globally. The partnership with Boeing reaffirms our capability to provide world class MRO services and further contribute to the Make in India initiative,” said Ashok Gopinath, CEO of GMR Aero Technic. 

According to a source, the actual work of converting a Boeing 737-800 passenger aircraft into a freighter could start in 12-18 months after transfer of technology, procurement of tools and upskilling at staff in GMR facility. The conversion work involves structural modification of an aircraft, including strengthening of its floors, cutting of the fuselage for building larger doors that can take in pallets. Boeing and GMR did not share data on the number of converted aircraft or the deal size. GMR will act as a sub-contractor for Boeing to carry out the conversion work. 

In an interview to a television channel, Boeing India President Salil Gupte said globally, over 1,700 aircraft will be converted (into freighters) over the next twenty years. About 1,200 of them will be standard body freighter conversions like the 737 aircraft.

According to Boeing’s commercial market outlook, India’s air cargo growth is expected to average 6.3 per cent annually, driven by the country’s manufacturing and e-commerce sectors. Boeing forecasts demand for more than 75 freighters, including production and converted freighters.

TAKING OFF

• Boeing and GMR did not share data on the number of converted aircraft or the deal size
• Converting a Boeing 737-800 passenger aircraft into a freighter could start in 12-18 months
• Conversion work involves structural modification of an aircraft including strengthening of its floors, cutting of the fuselage for building larger doors that can take in pallets
• GMR will act as a sub-contractor for Boeing to carry out the conversion work
• Boeing India president Salil Gupte said globally over 1,700 aircraft will be converted (into freighters) over the next 20 years