New Delhi, July 23 -- The government on Thursday said India is on the way to becoming a global hub for aircraft Maintenance, Repair and Overhaul (MRO), highlighting a series of policy, taxation and infrastructure reforms aimed at creating a competitive domestic MRO ecosystem and reducing foreign exchange outflow.

In a written reply in the Lok Sabha, Civil Aviation Minister Kinjarapu Rammohan Naidu said, "The Government has taken various measures to create a conducive environment for the development of aircraft Maintenance, Repair and Overhaul (MRO) sector in the country and to reduce the foreign exchange outflow."

The minister said the government introduced new MRO Guidelines on September 1, 2021, abolishing royalties and bringing trans...