French aircraft maker Avions plans 40% higher sales in India

Regional aircraft manufacturer Avions de Transport Regional (ATR) has increased its sales target for India by around 30-40 per cent.

"We hope to sell 50 aircraft in addition to the orders we already have, in the next two or three years," Jean Luc, director sales, Indian subcontinent of the Toulouse-based company, jointly promoted by the Europe-based Alenia Aeronautica and Airbus promoter EADS, told Business Standard. "This is a 30-40 per cent increase from the targets which we had set last year."

ATR estimates sales of 200 aircraft to India in the next ten years. According to industry figures, close to 35 per cent of ATR's worldwide deliveries of aircraft last year were to India.

Out of 44 aircraft supplied worldwide, two each were delivered to Jet Airways and Deccan and 11 were delivered to Kingfisher, which was the largest delivery made to a single airline last year.

"We started from nothing in 2003 and have gradually gone up to 55 aircraft, which is the number of ATRs flying in the Indian skies right now. This is because the regional market is all set for a huge boom," said Luc.

ATR has an order book above 25 aircraft till 2012. Air Deccan will get deliveries of four ATRs by the end of this year itself. Also, full service carrier Jet Airways plans to double its ATR capacity from 7 to 14 by the end of this year for expanding operations to the regional sectors.

ATR has also got aircraft orders from the upcoming regional players such as Star Aviation, which recently got a licence for regional operations in India.

The company has plans to set up a maintenance repair and overhaul (MRO) unit for servicing turboprop aircraft in the country.

"ATR does not have an MRO anywhere in the world yet. But we are definitely looking at India as a potential market to set up one. We expect that a decision on our MRO venture will be taken soon," said Luc.

There have been reports that ATR was planning to set up the maintenance facility through a subsidiary in Bangalore.

However, industry sources said that ATR may also look at providing aircraft maintenance services from the MRO project jointly put up by national carrier Air India and EADS in the country.