Air India And Airbus Join Forces To Build Largest Pilot Training Centre In South Asia With Rs 3,500 Crore

In a significant development, Tata-owned Air India is nearing the completion of negotiations with European aerospace giant, Airbus. They are working together to create a joint venture, a partnership, to build the biggest pilot training centre in South Asia.

The joint venture will involve a substantial investment, totalling around Rs 3,500 crore.

Both Air India and Airbus are set to hold equal 50 per cent stake in the newly-formed company.

Initially equipped with six simulators catering to Airbus A320 family and A350 aircraft types, the facility boasts the potential to expand to accommodate up to 20 simulators, positioning itself as one of the largest training centres in the region.

While the primary focus will be to meet the pilot training needs of Air India, the facility will also be accessible to other Airbus customers, providing a valuable resource for aviation training in the South Asian market.

This initiative places Air India in direct competition with CAE Simulation Training Pvt. Ltd. (CSTPL), a joint venture between InterGlobe, the parent company of IndiGo, and CAE Inc. CSTPL currently holds the majority share in India's flight simulation business and is poised for further expansion, with plans to add five more simulators in the next two years.

Highlighting the broader vision, an official from Air India emphasised, "We understand the importance of developing self-reliance of human resources and have invested to build a pilot training facility as the airline caters for a huge need due to expansion of fleet and network. But consequently, this will also be open to other airlines and become a centre of excellence in the region."

The pilot training facility is strategically positioned to meet diverse training requirements, offering ab initio, type-rated, and recurrent training. Ab initio training is essential for obtaining a pilot's license, while type-rated training ensures proficiency in operating specific aircraft types.

Recurrent training, conducted annually, guarantees that pilots maintain the necessary license endorsements, as per the Economic Times report.

Acknowledging the potential for additional revenue streams, another official commented, "Business from other airlines will also be a source of revenue. There is little difference in cost between training pilots in their home country or abroad on one of the routes on which the airline flies, as long as the accommodation cost suits them."

With the surge in aircraft orders by Indian airlines, the demand for flight simulation centres is anticipated to escalate, underlining the strategic significance of Air India's ventures in the field of pilot training.