Air India to stop outsourcing aircraft repair after deadly Ahmedabad crash

Dubai: In the wake of the fatal crash of Flight AI171 in June, Air India is preparing to take aircraft maintenance into its own hands — a significant move away from years of outsourcing to state-owned Air India Engineering Services Ltd. (AIESL).

The decision, reported by Bloomberg, citing people familiar with the matter, signals a strategic pivot by the Tata-owned carrier as it works to rebuild trust, improve safety, and modernize operations.

The report cited the airline will begin phasing in pre-flight checks, daily inspections, and minor troubleshooting work internally, with support from Singapore Airlines (SIA), its 25.1% shareholder. While the cause of the crash is still under investigation, the event prompted a sector-wide safety audit, emergency inspections, and a temporary reduction in long-haul services.

Though bringing maintenance in-house was part of Air India’s broader transformation plan since its 2022 privatisation, the move had been delayed to prioritize aircraft availability and onboard service improvements. That calculus has changed.

In an emailed statement, an Air India spokesperson acknowledged that India’s current Maintenance, Repair, and Overhaul (MRO) capacity "is not equipped to support the scale of our growing fleet," which now includes over 300 aircraft across its full-service and low-cost arms. "To ensure world-class reliability and safety, we must invest in building robust MRO capabilities and capacity within the country," the spokesperson added.

The shift is also reflective of longstanding concerns. Internally, Air India had previously raised issues with AIESL’s service standards — including complaints about aircraft hygiene and turnaround quality.

Singapore Airlines, which had once received technical help from Air India in the 1970s, is now assisting its Indian partner with the transition. “As a significant minority shareholder, we are providing expertise and support to Air India where necessary,” an SIA spokesperson confirmed to Bloomberg.

The pressure for reform intensified after India’s Directorate General of Civil Aviation (DGCA) flagged Air India Group with 93 safety findings — more than any other Indian airline — as part of its annual oversight, most of which were detected even before the crash. By comparison, IndiGo had 23, and SpiceJet reported 14.

Adding to scrutiny, both Air India and Air India Express have faced a spate of technical snags, return-to-origin incidents, and emergency landings after more than 80 Air India flights were cancelled in the week following the crash. While not all were linked to mechanical faults, the disruptions — paired with limited passenger communication and delays — have dented confidence.

The crash has effectively pushed Air India into a reset. With India’s aviation sector growing rapidly, yet its regulatory and maintenance infrastructure lagging behind, the national carrier is being forced to act. The decision to bring maintenance closer to home may prove crucial in restoring reliability — and trust — at a time when the margin for error has never been slimmer.