Defence Industry

“...committed to supporting the government’s vision of positioning India as a global manufacturing hub...”
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Issue Vol. 30.1 Jan-Mar 2015 | Date : 20 Feb , 2015

How have the eight decades of Rolls Royce in India been?

Rolls-Royce 80 year’s association with India is marked with significant achievements. We started our association with the Indian aerospace sector in 1932 with our Gypsy engines on the first Tata Aviation aircraft. Then in 1933, Indian Air Force took to the skies powered by Rolls-Royce Bristol Jupiter engines. Over the years, we have played a vital role in the development and transformation of India’s indigenous aerospace industry.

…interesting in exploring  India as a hub for Rolls-Royce defence engineering, manufacturing and export, which will not only create jobs but also supports India to achieve strategic self-reliance.

In 2013, International Aerospace Manufacturing Private Limited (IAMPL), a 50:50 JV with HAL, became operational in Bengaluru. IAMPL manufactures engine parts (compressor shrouds and cones) for Rolls-Royce gas turbines both for new production and the aftermarket. The IAMPL facility is now at full production employing over 140 people and will produce 25,000 aerospace parts for Rolls-Royce in 2015 across a wide range of engine programs including for the Trent XWB.This new facility represents another commitment to the long-standing partnership with HAL and the future of Indian aerospace industry.

Today, we have over 500 employees in India and 1000 engineers in the country who work through outsourced agreements with QuEST and TCS in Bengaluru. We see India as a key market for Rolls-Royce as the country focuses on upgrading its defence and civil aerospace capabilities. As India gets ready to move on its growth path, we will continue to support the country with our powerful portfolio of products and services and the right combination of experience and advanced technologies.

Would Rolls-Royce Engines set-up an arm in India under ‘Make in India’? Do you see the proposal as commercially tempting?

Rolls-Royce supports the Make in India initiative as it will not only help Indian industries become globally competitive but will also allow companies like us to further support the country’s modernisation needs.

We are committed to supporting the government’s vision of positioning India as a global manufacturing hub. We already have 1,000 local engineers working in India through outsourced agreements and have world-class manufacturing facilities here, exporting components around the world. We now need to extend this experience into defence, beyond today’s licensed production. Going forward, we are interesting in exploring  India as a hub for Rolls-Royce defence engineering, manufacturing and export, which will not only create jobs but also supports India to achieve strategic self-reliance.

Steven Gillard, Vice President, Customer Business – Defence, Rolls-Royce

Our manufacturing facility, the International Aerospace Manufacturing Pvt Ltd (IAMPL) in Bangalore wasn’t required by an offset commitment but was the result of recognition of the value that both parties could add to each other. Today, the IAMPL production facility represents another commitment to the long-standing partnership with HAL and the future of Indian aerospace industry.

What is the road map for the growing partnership with Indiaincluding the company’s medium and long term business strategy?

India & South Asia as a region offers immense growth potential.Growth in India’s defence industry continues to be robust. The government has a clear vision for an indigenous defence industry that could support both domestic and export demand. As the new government sets itself to boost the infrastructure as well as modernisation and expansion of Indian armed forces, we, at Rolls-Royce, remain committed to realising the country’s growth vision and efforts to indigenisation and reaching self-reliance.We look forward to continued commitment towards the India region and work more closely with our stakeholders across businesses to enable them to benefit from our innovative products and technologies.

…believe that Aero India is a perfect platform for us to showcase our commitment and capabilities…

Please comment on raise in the FDI cap in defence sector?

Defence technology comes with huge investments in research and development (R&D). With increased FDI limit India can now focus on increasing its share of defence budget to R&D which is only 6% compared to 15% in France and 12% in the US. At Rolls-Royce, we believe that it will help catalyse rapid indigenisation and substantially increase the attractiveness of the sector as a place to transfer technology and set-up a manufacturing hub. We are already working with many partners in India which we are very proud of – TCS/ Quest, HAL, etc. With a higher FDI limit, there will be opportunities to further contribute in the development and upgrading of India’s defence sector by offering world-class innovative products and services.

Could you tell us what you will be showcasing at Aero India 2015 and why?

This year at Aero India 2015, we will highlight our ‘Partnership with India – Past, Present and Future’ by showcasing our technologically advanced and innovative products. At the booth we will feature our three innovative engines – the Adour, Trent 700 and AE2100 engine. We believe that Aero India is a perfect platform for us to showcase our commitment and capabilities and also network with our customers, partners etc. We look forward to bolstering our business opportunities in international aviation and defence sector this year at the show.

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The views expressed are of the author and do not necessarily represent the opinions or policies of the Indian Defence Review.

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