Firms get limited relief to push MRO services

Union Finance Minister Nirmala Sitharaman on Tuesday announced a slew of measures to give some relief to domestic companies involved in maintenance, repair and overhaul (MRO) of aircraft, boats and ships.

- DEEPAK PATEL

"To promote domestic aviation and boat and ship MRO, I propose to extend the period for export of goods imported for repairs from six months to one year. In the same vein, I propose to extend the time-limit for re-import of goods for repairs under warranty from three to five years," Sitharaman said in her Budget speech.

Mansi Singh, Partner, BTG Advaya, explained that the government provides certain custom duty exemptions when the aircraft components, etc. are imported for repair or maintenance work. These goods earlier had to be exported within six months but now that period is extended to a year.