Did the Odisha Cabinet Approve a World-Class MRO Facility in Bhubaneswar?
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Synopsis
The Odisha Cabinet's recent decision to establish a world-class MRO facility at BPIA signifies a transformative leap for the region's aviation sector. This initiative not only enhances Odisha's infrastructure but also lays the groundwork for future growth in the MRO industry, positioning the state as a key player in the aviation landscape.
Key Takeaways
- Establishment of a world-class MRO facility in Bhubaneswar.
- First major MRO facility in eastern India.
- Attraction of private investments through special incentive packages.
- Development of Model Mandis to improve agri-marketing infrastructure.
- Projected growth of the MRO industry in India to $4 billion by 2031.
Bhubaneswar, Aug 13 (NationPress) The Odisha Cabinet convened on Wednesday to endorse the creation of a world-class Maintenance, Repair, and Overhaul (MRO) facility at the Biju Patnaik International Airport (BPIA) in Bhubaneswar. This strategic move aims to establish Odisha as a vital hub for aviation services in the region.
The decision was made during a Cabinet meeting led by Chief Minister Mohan Charan Majhi.
An official statement from the Odisha government highlighted, "This initiative will mark the first significant MRO facility in eastern India and represents a crucial milestone in the Odisha government's plan to enhance civil aviation infrastructure through the B-MAAN (Building Management of Aviation Assets and Network) scheme."
Additionally, the Odisha Cabinet approved a special incentive package that exceeds the provisions outlined in the Industrial Policy Resolution (IPR), 2022, in order to draw private sector investment into the capital-intensive MRO industry.
After a thorough evaluation process, M/s Air Works India (Engineering) Private Limited, recognized as India's oldest and largest third-party MRO provider, has been chosen as the anchor investor for the facility's establishment and operation. The implementation will be overseen by the Commerce and Transport Department, while the High-Power Committee on Aviation will ensure project rollout and monitoring," the government reported.
Emphasizing the promising future of the MRO sector, the state government pointed out that the rapid growth of the aviation industry underscores the need for developing the MRO sector.
The NITI Aayog report indicates that the MRO sector in India is projected to reach $4 billion by 2031, with an impressive compound annual growth rate of 8.9 percent.
In another notable decision, the Cabinet approved a proposal from the Odisha Cooperation department aimed at establishing "Model Mandis" throughout the state.
These Model Mandis will serve as integrated and efficient platforms for farmers, traders, and stakeholders, amalgamating all essential marketing activities under one roof, complete with upgraded infrastructure and digital systems.
The primary goal of this initiative is to cultivate a streamlined agri-marketing ecosystem by offering modern infrastructure, fostering transparency in agricultural transactions, enabling direct market linkages, and leveraging updated technologies, thereby allowing farmers to obtain better prices for their produce," stated government sources.
The Model Mandis will feature modern storage solutions, raised concrete drying platforms, covered sheds, quality testing kiosks, cooling chambers, farmers' rest areas, clean restrooms, dedicated facilities for women farmers, eateries, vending zones, banking services, proper vehicle parking, electronic weigh bridges, and retail outlets serving the farming community, among other amenities.
The first phase will identify 38 existing mandis across all 30 districts for this initiative.
This includes 14 large, 17 medium, and 7 small mandis.
Moreover, an additional 62 mandis are set to be developed as model mandis, with identification processes already underway.
“The Odisha Bridge and Construction Corporation Ltd. (OBCC) will develop these model mandis, while the Odisha State Agricultural Marketing Board (OSAM Board) will monitor progress through a Project Monitoring Cell and may engage professional agencies as needed," government sources added.
The state Cabinet also sanctioned funding for the implementation of an LED public street lighting project across 110 Urban Local Bodies in Odisha, totaling Rs 350 crore from the Odisha Urban Infrastructure Development Fund.
Several other significant proposals were also approved during the Cabinet meeting on Wednesday.
Point of View
Odisha is positioning itself not just as a regional player but as a significant contributor to the national aviation landscape. This initiative is expected to bring substantial economic benefits and job opportunities to the local population, which aligns with the broader goals of national growth in the aviation sector.
NationPress
05/10/2025
Frequently Asked Questions
What is the purpose of the new MRO facility in Bhubaneswar?
The new MRO facility aims to provide world-class maintenance, repair, and overhaul services, positioning Odisha as a key hub for aviation services in eastern India.
Who will operate the MRO facility?
M/s Air Works India (Engineering) Private Limited, India's oldest and largest third-party MRO provider, has been selected as the anchor investor to establish and operate the facility.
What incentives are being offered to attract investment in the MRO sector?
The Odisha Cabinet approved a special package of incentives exceeding the provisions of the Industrial Policy Resolution (IPR), 2022, to attract private sector participation in the MRO sector.
What are Model Mandis?
Model Mandis are integrated platforms designed to streamline agri-marketing, enhancing transparency and providing modern infrastructure for farmers and traders.
How many Model Mandis are planned for development?
In the first phase, 38 existing mandis have been identified for transformation into Model Mandis, with plans for an additional 62 mandis to be developed.
