Andalucía TRADE, through Extenda, organizes a commercial agenda of more than fifty interviews between Andalusian firms and buyers and institutions from the Asian country
The Junta de Andalucía has organized, from May 8 to 11, more than fifty business meetings between 8 Andalusian companies from the aeronautical industry and 15 large manufacturers and entities of the sector in India, which is currently the third world market for the commercial aviation industry and that it will be the third worldwide in general passenger aviation in 2026, according to the International Air Transport Association. The meeting covers various parts of the country and is held in the cities of Delhi, Bangalore and Hyderabad.
Andalucía TRADE, through Extenda, has specially designed this action to favor the diversification of Andalusian aeronautics by the large manufacturers of the European Union. The objective is to promote international business in this sector, considered strategic by the Andalusian Government due to its importance as one of the main players in the new production model in the region, based on innovation and knowledge. For this, the Junta de Andalucía has launched the “Andalusian Aerospace Strategy 2021-2027”.
Likewise, in the past year 2022, Andalusian aeronautical exports rose by 39%, reaching the figure of 2,134 million euros, thus positioning the community as the one that contributes the most to the growth of sales of the Spanish industry with more than the half of the growth (15 points above the national growth located at 29.2%).
This mission opens up new business opportunities as the Indian aviation market is expanding. India is currently the fifth largest economy in the world, according to the World Bank, surpassing the United Kingdom. In addition, its aviation sector has experienced significant growth due to the increasing demand for air travel and its solid engineering and technology base.
According to Extenda data, India currently has a total of 130 operational airports. In addition, the Government of India has implemented the ‘Make in India’ initiative with the aim of fostering the growth of the industrial sector, including the aviation sector. As part of this initiative, there are 100 new airports in the pipeline. In addition, the aircraft fleet in India is expected to quadruple to approximately 2,500 aircraft by 2038. The government has recently procured 56 Airbus Defense and Space C295 model aircraft for the Indian Air Force, of which 16 will be manufactured. in Spain.
Andalusian delegation in India
A total of 8 Andalusian companies participate in the extensive agenda of activities organized by Extenda, with the collaboration of its Business Antenna in India. Five of them are from Seville, and the rest from Cádiz and Málaga: Alestis Aerospace, Lamaignere, Indaero, Grupo Gazc and Gaptek, from Seville; Intec Air and Titania from Cádiz; and Aertec Solutions from Malaga. During three days they will get to know the local market and the main aeronautical companies of India in three different cities: Delhi, Bangalore and Hyderabad.
The organization of this action by Extenda will be co-financed with funds from the European Union through P.O. FEDER de Andalucía 2014-2020, endowed with a community contribution of 80%, or any other European Program likely to co-finance this action.
Delhi, Bangalore and Hyderabad
The mission’s agenda began on Monday, May 8 in Delhi with a day of an institutional nature in which meetings took place at the ICEX Commercial Office in the city; at Invest India and at the Indian Ministry of Defense and at the Society Of Indian Defense Manufacturers-SIDM. The Andalusian delegation also visited the Airbus delegation in the country and held a meeting with the European Business And Technology Center (EBTC) institution.
Likewise, on Tuesday May 9, the commercial agenda continued in the city of Bangalore, where the Indian company Mahindra Aerostructures, specialized in the production of sheet metal parts and assemblies for the world’s leading aerospace and defense companies, was visited.
On May 10, the Andalusian companies traveled to the city of Hyderabad, where they visited the firm Tata Advance System, a company that works actively in the government’s ‘Make in India’ program and is dedicated to offering innovative solutions in the aeronautical sector related to hardware, software, technologygy and digital solutions, all integrated into platforms needed to secure India’s land, sea and air. In this same venue, Andalusian companies were able to present their offer, as well as hold individual interviews with the company.
Finally, the Andalusian firms returned to Bangalore on May 11 to see first-hand Hindustan Aeronautics Limited, an Indian public sector defense and aerospace industry and one of the oldest and largest aerospace and defense manufacturers in the world. Likewise, they had the opportunity to hold a business meeting with the Indian company Dynamatic Technologies Limited, in charge of designing and building highly-engineered equipment and products for aeronautical applications. At its headquarters, Andalusian companies participated in a networking event to establish synergies and develop business opportunities.
Finally, the Andalusian delegation traveled again to Hyderabad and completed its agenda at Safran, an international high-tech group that operates in the aviation, defense and space markets and whose main purpose is to contribute to a safer world. and sustainable, where air transport is more respectful of the environment.
Andalusia, the one that contributes the most to national growth
Andalusia is one of the main hubs of Europe and, together with Toulouse and Hamburg, the only one that has a final assembly line (FAL) for a large aircraft, the Airbus A400M. This exerts a notable boost to this industry and is greatly reflected in its international activity, which has shown a notable recovery in 2022, after two years mediated by the restrictions on the movement of passengers imposed by the pandemic.
The Andalusian aeronautical industry experienced a strong increase in its exports of 39% in 2022 compared to the previous year, up to a turnover of 2,134 million euros, which shows the complete recovery of the sector after the paralysis it experienced due to the pandemic. This is a figure that places Andalusia as the community that contributes the most to the growth in sales of the Spanish industry, with more than half of the increase (15 points over the 29.2% increase in national sales).
It also remains the second exporting community in Spain, with 4 out of every 10 euros that Spain sells (42% of 5,141 million), only behind the Community of Madrid (2,174 million). Likewise, the sector maintains a positive trade balance with the exterior, with a surplus of 1,160 million and a coverage rate of 219%, which is 104 points higher than the Spanish rate (115%).
Within the Andalusian aeronautical industry, the first chapter in sales is that of other aircraft (helicopters, planes, etc.); space vehicles (satellites) and their launch vehicles and suborbital vehicles, with 1,682 million, 79% of the total and a growth of 54%; followed by parts of the devices, with 447 million, with 21% of the total; parachute, with 2.2 million; and devices for launching aircraft, landing on aircraft carriers and the like, and ground flight training devices, with 2.1 million.
Seville, epicenter of the industry
Seville remains the epicenter of Andalusian aeronautics, to which provinces such as Cádiz and Málaga also contribute, while others are being incorporated with great growth. Seville concentrates 99% of sales with 2,113 million and an increase of 39%; while Cádiz is second, with 8.3 million; followed by Malaga, which had a turnover of 7.5 million, growing by 75%.
In addition, sales are growing in seven of its top ten markets, all at double digits or more, with which it reaches four continents. Its first markets are European, in this order, Germany, with 583 million exported, 27.3% and a growth of 76%; France, with 513 million, 24%, which with an increase of 65%; Belgium, with 350 million, 16.4% and a drop of 13.1%; and the United Kingdom with 178 million, 8.3%, which triples its data, with an increase of 210%. The fifth market is Turkey, with 131 million, 6.1%, which multiplies its data by 10, with an increase of 990%, and is the third market that rises the most in the Top 10.
