New Delhi: Reliance Infrastructure is looking to turbocharge its defence vertical with a focus on aircraft upgrade programmes, eyeing an opportunity of Rs 5,000 crore over the next 7-10 years, sources said.
This strategic foray positions Infrastructure as India’s first private sector company to independently execute a comprehensive aircraft upgrade programme without being the original manufacturer.
According to a company source, the company has already marked a significant milestone by successfully upgrading 55 Dornier-228 aircraft under a contract with Hindustan Aeronautics Ltd (HAL), in collaboration with US-based avionics firm Genesys. Initially awarded a contract for 37 aircraft, Reliance secured a repeat order for an additional 18 units following the successful execution of an earlier contract.
The total value of the Dornier upgrade contract was Rs 350 crore, sources said. The upgraded Dornier fleet is operational with the Indian Air Force, Indian Navy, and Indian Coast Guard.
With military aircraft and helicopters having a service life of 30-40 years, regular upgrades — particularly of avionics, mission systems, and safety equipment — are vital. Industry experts estimate that lifecycle investments in upgrades and MRO can reach up to 200-300 per cent of the original acquisition cost of a platform.