Lok Sabha Question No. 4597 (UNSTARRED), answered on 2026-03-19
Subject: Strengthening of Aviation Safety Ecosystem
Ministry: CIVIL AVIATION
Asked by: Shri Rajpalsinh Mahendrasinh Jadav

## GOVERNMENT OF INDIA MINISTRY OF CIVIL AVIATION

## LOK SABHA

## UNSTARRED QUESTION NO. : 4597

( TO BE ANSWERED ON THE  19th March 2026 )

## STRENGTHENING OF AVIATION SAFETY ECOSYSTEM

4597.    SHRI RAJPALSINH MAHENDRASINH JADAV Will the Minister of CIVIL AVIATION

be pleased to state:-

(a)  the  steps  taken  to  strengthen  aviation  safety  ecosystem  of  the  country through  initiatives  such  as  indigenous  accident  investigation  infrastructure, safety audits and international collaboration platforms;

(b)  whether  the  Government  has  undertaken  any  assessment  of  pilot  training capacity,  medical  examination infrastructure  and  Flight  Training  Organisation (FTO)  quality  benchmarks  in  view  of  rising  aviation  demand  and  if  so,  the details thereof; and

(c)  whether  any  long-term  strategy  has  been  prepared  to  position  India  as  a global  hub  for  aviation  services  including  leasing,  financing,  Maintenance, Repair  and  Overhaul  (MRO)  and  component  manufacturing  and  if  so,  the details thereof?

## ANSWER

Minister  of  State  in  the  Ministry  of  CIVIL  AVIATION            (Shri  Murlidhar Mohol)

(a): Government has set up Aircraft Accident Investigation Bureau (AAIB) as an  independent  investigation  body  in  accordance  with  International  Civil Aviation  Organisation  (ICAO)  Annex  13.  DGCA  has  a  systematic  safety oversight  process  which  includes  regulatory  audits,  night  surveillance,  ramp inspections, spot checks and special audits. This is followed-up with action on safety findings and accident investigation recommendations.

(b):  In  order  to  augment  pilot  training  capacity,  DGCA  has  approved  02  new Fling Training Organisations (FTOs) during the calendar year 2025. At present, 40 DGCA-approved Flying Training Organisations (FTOs) operate at 62 bases across  the  country  for  pilot  training.  DGCA  has  also  introduced  a  ranking framework for FTOs (w.e.f. 1 October 2025) to improve training quality  and transparency. Further, the medical examination infrastructure has been strengthened  by  empanelling  additional  Aeromedical  Evaluation  Centres  and Medical Examiners across the country.

(c): To promote India as a hub for aviation services including leasing, financing, MRO and component manufacturing, Government has taken various measures like announcement of new MRO guidelines in 2021, reduction of GST on MRO services from 18% to 5% with full input tax credit, reduction of taxes on import of aircraft components and engine parts to 5%, Transactions sub-contracted by foreign  OEMs/MRO to domestic MRO are treated as exports with zero-rated GST, and others.

Recently as part of Union Budget Announcements for 2026-27, basic customs duty has been exempted on components and parts required for the manufacture of  civilian,  training  and  other  aircraft.  Further,  Customs  Duty  Exemption  on parts, testing equipment, tools and tool kits for MRO of aircraft, components or parts of aircraft has been extended up to 31.03.2028.

To  promote  leasing  and  financing,  Government  has  set  up  an  International Financial  Services  Centre  (IFSC)  at  GIFT  City,  Gandhinagar.  In  the  latest budget  announcement,  the  tax  deduction  period  for  units  operating  in  GIFT IFSC has been extended to 20 years out of a block of 25 years under Section 147 and to 20 consecutive years for Offshore Banking Units (OBUs). Further, upon  expiry  of  the  tax  holiday  period,  the  business  income  of  such  units  in GIFT IFSC shall be subject to a concessional tax rate of 15%.

<!-- image -->