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Jakarta Post

Neighbors control half of RI’s aircraft maintenance market

  • Riza Roidila Mufti

    The Jakarta Post

Jakarta   /   Mon, November 18 2019   /  02:01 am

More than half of the demand for aircraft maintenance, repair and overhaul (MRO) services for the Indonesian market is met outside the country, an industry group says, pointing to resource constraints from human capital to available land.Indonesia’s Aircraft Maintenance Services Association (IAMSA) estimated the country’s MRO market at around US$1 billion. However, only 45 percent of this demand is handled by local players. The rest of the business goes to neighbors Singapore, Malaysia, Thailand and Taiwan.Domestic players for MRO services, or the workshops to ensure aircraft’s airworthiness for passenger and cargo transportation, include state-owned flag carrier Garuda Indonesia’s GMF Aero Asia and Lion Air Group’s Batam Aero Technic. There is also the only foreign investor in the MRO business in the country, FL Technics Indonesia from Lithuania.“Based on the history of the ...