Top officials during the signing ceremony at the event.
Gulf Today, Staff Reporter
Sanad, a global industrial services leader has signed a landmark Memorandum of Understanding (MoU) with Indonesia’s GMF, the country’s largest aircraft maintenance company.
The deal was inked at the UAE Business Forum on the sideline of this week’s B20 Summit 2022 in Bali – the pinnacle of the G20 Summit.
This is the latest milestone in Sanad’s ongoing global expansion strategy to create an international network of aeroengine MRO centers. The MoU will see Sanad and GMF jointly establish a new state of the art MRO centre of excellence for aircraft engines.
Harnessing Indonesia’s strategic geographic location in the heart of the Asia-Pacific region, one of the world’s fastest growing aviation markets, the new center of excellence will leverage the region’s growing demand for aircraft engine MRO services that are being driven by resilient and strong air traffic and cargo volumes.
The centre of excellence will contribute to the new UAE-Indonesia Comprehensive Economic Partnership Agreement, which aims to expand the nations’ annual bilateral trade from approximately $3 billion in 2021 to $10 billion by 2026.
Ahead of the establishment of the new centre, the two entities will collaborate to build MRO capabilities dedicated to CFM engines at GMF’s existing facility in Jakarta. CFM engines are one of the world’s most widely used aircraft engines, including the LEAP engine that powers next generation aircrafts such as Airbus A320neo, the Boeing 737 MAX and the COMAC C919 aircraft families.
The alliance will also benefit from advanced repair capabilities that shall be provided by Sanad from its state-of-the-art facility in Abu Dhabi.
“This milestone partnership accelerates our geographic expansion and our strategy to facilitate premium engine maintenance services in major growth markets through a robust global network of world-class engine MRO centers,” said Mansoor Janahi, CEO of Sanad Group.
“As a UAE-based industrial services champion and partner of choice to major engine OEMs and airlines, Sanad is well-known for its excellence and focus on unlocking future growth opportunities,” added Janahi. “Abu Dhabi is an integral player in the global aerospace supply chain, and Sanad is proud to be part of this success.”
Andi Fahrurrozi, CEO of GMF, commented: “This landmark partnership significantly enhances cooperation between two of the largest engine MRO companies in the Middle East and Indonesia. Representing a unique global cooperation model, the partnership is based on several key principles, including the exchange of knowledge and expertise, training, improving the quality of customer solutions and services, driving growth, and enhancing our offering for industrial players across Asia Pacific region.”
The UAE Business Forum was held today in Bali, Indonesia, on the sidelines of the annual G20 meeting. The forum, which brought together business leaders from both countries, was launched to explore emerging opportunities for cooperation between the business communities, and resulted in the signing of 16 MOUs. The Forum was one of the first major investment conferences to take place since the signing of the UAE-Indonesia Comprehensive Partnership Agreement in July, and which is likely to be ratified in the coming weeks.
Among the 16 MOUs was a deal between G42 and its subsidiaries Presight.ai and G42 Healthcare with Indonesian healthcare AI firm Asaren, while Burjeel Holding Group signed an MOU to develop a healthcare facility through a strategic partnership with the Indonesian Mitra Jaya Group. Etihad Airways, GAL/AMMROC and Sanad signed in MOUs in aircraft maintenance, with MOUs on electric mobility and defence agreements signed by BarQ EV and Lahab respectively. A further seven MOUs were signed around cooperation on the organization of the 2023 Annual Investment Meeting in Indonesia in 2023.
H.E. Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, H.E. Ahmed Ali Al Sayegh, Minister of State, and H.E. Luhut Binsar Pandjaitan, Indonesian Coordinating Minister for Maritime Affairs and Investment, as well as a group of senior officials, business leaders, heads of companies and representatives of business community organizations from the UAE and Indonesia participated in the forum.
The UAE Business Forum in Indonesia aims to be a platform for networking and exchange of experiences between the business communities in the UAE and Indonesia. It also seeks to explore trade and investment opportunities in light of the upcoming implementation of the Comprehensive Economic Partnership Agreement.. At the end of the forum, a number of cooperation agreements were signed between companies from both sides.
H.E. Dr. Thani Al Zeyoudi said: “UAE-Indonesia relations have always been strong since their inception, but they have enjoyed additional momentum in recent years, with the establishment of constructive partnerships in vital sectors. Today’s MOUs go to show how our Comprehensive Economic Partnership Agreement has injected even more dynamism into our business relationships.”