Airline MRO makes representation on 18% GST

Aviation MRO companies are at disadvantage after GST which increases the cost of spares and labour. The industry has made a representation to the aviation ministry seeking an exemption from GST, arguing that it makes servicing aircraft in India costlier than abroad. Currently, around USD 950 million was spent on MRO activities of which only 10% is being carried out in India. Rest of the airlines fly to Dubai, Singapore , China, HongKong etc., due to difference in costs.

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