29 Aug 2025
#5 August 2025: India Aviation Newsletter
Air India and IndianOil Sign MoU for Sustainable Aviation Fuel Supply
Air India and Indian Oil Corporation Limited (IOCL) have signed a Memorandum of Understanding (MoU) to facilitate the supply of Sustainable Aviation Fuel (SAF), marking a pivotal step toward decarbonising India’s aviation sector.
The MoU outlines a shared commitment to promoting low-carbon fuels, supporting global climate targets, and furthering the sustainable transformation of air transport operations.
Campbell Wilson, CEO & Managing Director of Air India, said:
“Through this MoU with IndianOil, Air India is committed to supporting the Government of India’s initiatives for sustainable development in aviation and furthering our own goals to meet IATA’s Net Zero by 2050 target.”
BLR Airport Ships Record 31.5 Lakh Mangoes to 51 Global Destinations
Kempegowda International Airport, Bengaluru (BLR Airport), has completed its most successful mango export season to date—shipping 921 metric tonnes (equivalent to 31.5 lakh mangoes) in FY 2025, a 12% year-on-year increase.
Sourced primarily from Karnataka and neighbouring mango-growing regions, the shipments reached 51 global destinations—up from 42 last year—with 19 new markets added. BLR Airport partnered with 24 airlines to facilitate exports, with the top destinations being Dulles (IAD), Dallas–Fort Worth (DFW), San Francisco (SFO), Chicago (ORD), and Seattle (SEA).
Satyaki Raghunath, Chief Operating Officer of Bangalore International Airport Ltd., stated:
“At BLR Airport, we take great pride in being a trusted link between our farmers and global consumers. This season’s success reflects the collaborative effort of regulatory bodies, airline partners, cargo handlers, trade councils, and farming communities.”
IndiGo Begins Construction of Major MRO Facility at Bengaluru Airport
IndiGo has commenced construction of a state-of-the-art Maintenance, Repair, and Overhaul (MRO) facility at Kempegowda International Airport, Bengaluru. This follows the May 2025 MoU signed with Bangalore International Airport Ltd. (BIAL) for a 31-acre land allocation.
The facility will be one of India’s largest, with capacity for up to 12 bays and capabilities to service both narrow-body and wide-body aircraft. It will be nearly three times the combined size of IndiGo’s current MROs in Delhi and Bengaluru.
IndiGo CEO Pieter Elbers said:
“We are very excited to commence this project in Bengaluru—one of our largest operational bases. This grand MRO facility strengthens our operational presence and contributes to building a holistic aviation ecosystem in India. It will also boost cost-efficiency, aircraft availability, and turnaround time.”
Acumen’s Take
On Air India–IndianOil SAF MoU
This agreement between a national carrier and a state-owned oil major marks a turning point for India’s SAF ecosystem. It aligns with global decarbonisation goals and reflects growing momentum for sustainable fuel sourcing in Asia-Pacific. As regulatory and financial frameworks evolve, Acumen anticipates rising demand for SAF-linked partnerships, which may influence fleet planning, fuel contracting, and ESG investment strategies in India.
On BLR Airport’s Record Mango Exports
BLR Airport's record-setting mango exports underscore the growing importance of perishables in India’s air cargo strategy. With expanded global reach and increased airline participation, Bengaluru is fast becoming a regional leader in agri-logistics. The development has implications for cold-chain infrastructure investment and offers a blueprint for leveraging air cargo as a rural economic driver.
On IndiGo’s MRO Expansion at Bengaluru
IndiGo’s decision to establish a mega-MRO facility signals a strategic shift toward greater operational self-reliance. The move enhances maintenance efficiency, reduces turnaround times, and positions Bengaluru as a future aerospace hub. This development also reflects the broader trend of Indian carriers investing in support infrastructure, which could attract OEM partnerships and strengthen the regional MRO supply chain.
Acumen Aviation © 29 August 2025 All Rights Reserved.
