Madhya Pradesh sees significant investment boost with new aviation policy, BA

Madhya Pradesh govt’s new Civil Aviation Policy 2025, which offers incentives to investors, has attracted at least five companies to commence new flights, establish skill development academies, and MRO (maintenance, repair, and overhaul) facilities in the state.

Air India Express announced its plan to initiate two international flights on the Indore-Bangkok and Indore-Abu Dhabi routes, along with three domestic sector flights from Indore — to Patna, Cochin and Varanasi. An MoU was executed between A-I Express and Directorate of Aviation, Madhya Pradesh, during the two-day Global Investors Summit in Bhopal in Feb this year.

A new MP-based airline, ‘Ujjain Air’, may also take wing. Aviation infrastructure, particularly airport development, garnered substantial interest from investors in MP following the rollout of the aviation policy. InAvia Aviation Consultants GmbH, a German firm, announced its intention to establish an MRO facility in Bhopal.

The new flights will stimulate business and tourism travel, fostering the expansion of economic activities in the state. The proposed MRO project is anticipated to generate approximately 500-1,000 jobs and will position the state as a crucial player in MRO services, reducing dependence on facilities outside India and realizing the vision of AtmaNirbhar Bharat,” said state commissioner-aviation Chandramauli Shukla. Five MoUs were signed with aviation sector players during GIS, he added.Frankfinn Aviation has proposed to establish five training academies in MP, aiming to train approximately 6,000-7,000 candidates in aviation, hospitality, travel, and customer service over the next decade. Industry stakeholders indicated that the availability of a skilled workforce will not only support the aviation sector but also enhance other complementary sectors and generate substantial employment opportunities for youths.

With an initial investment of INR 750 crore, Fly Bharati expressed its intention to develop an airport, preferably at Ujjain, along with establishing a Flight Training Organization (FTO) in the region. The project will be executed in phases. Another aviation sector participant, Pradhaan Air, signed agreements with the MP aviation department to launch a new ‘MP-based airline, Ujjain Air’, to enhance air connectivity.

“They plan to establish Ujjain Air, an intra-state small airline based in MP. Additionally, they are willing to transfer their current operations base to Bhopal. The proposed investment is INR 150 crore,” said an official.