Airlines competing in aircraft repairing business

January 20, 2017, 05.05 PM  | Reporter: Wahyu Satriani
Airlines competing in aircraft repairing business


JAKARTA. Some airlines will develop maintenance overhaul and repair (MRO) business in optimizing flight business.

One of the airlines, Sriwijaya Air is processing administrative requirements to develop maintenance and repairing, namely Sriwijaya Maintenance Facility (SMF).

Senior Manager Corporate Communications of Sriwijaya Air Agus Soedjono said that the company is still developing the business plan, including instrument, equipment, to human resources. “We are still arranging the infrastructure and the land (for the work shop),” he told KONTAN, Thursday (19/1).

Agus did not specify the area of land, as well as investment required for the project.

Sri Wijaya Air has been granted certificate of Approved Maintenance Organization (AMO) from Ministry of Transportation. In other words, SMF has meet the minimum requirements as an aircraft work shop, including limited airframe, limited accessories, limited emergency equipment, limited non-destructive inspection, testing and processing.

GMF builds partnership

Meanwhile, PT Garuda Maintenance Facility Aero Asia (GMF) builds direct cooperation with PT Avia Technics Dirgantara (FL Technics Indonesia) to develop MRO (19/1). FL Technics Indonesia is MRO company, which is affiliated with FL Technic that is based in Vilnius, Lithuania.

The cooperation includes comprehensive maintenance, reparation, and other supporting services. President Director of GMF Aero Asia Juliandra Nurtjahjo said that the cooperation is part of the business expansion of Garuda Indonesia’s subsidiary in 2017. “We are optimistic that this cooperation will give value added for GMF Aero Asia,” he said.

Through this cooperation, GMF Aero Asia expects to increase its capacity on aircraft maintenance. In this case, the increasing number of aircrafts becomes promising market for this business.

GMF is also exploring business expansion in aircraft reparation in other regions, such as Batam. To date, GMF is exploring to construct hangar for aircraft work shop in Batam.

GMF opens investment opportunities for local and foreign business partners to build cooperation with GMF through the investment plan. Understandably, Batam is strategic to attract clients from foreign airlines, thanks to its strategic location that is close to Singapore.

However, Juliandra did not reveal the business target of this company. According to KONTAN’s note, this company targets to reap as much as US$ 400 million and US$ 75 million revenues and profits, respectively in 2016. In 2015, this company obtained as much as US$ 304 million and US$ 36 million revenues and profits, respectively. (Muhammad Farid/Translator)

Editor: Sanny Cicilia

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