Boeing to set up P2F facility in India to meet growing demand

After announcing plans to open logistics center in India, Boeing Co. is also planning to set up a facility to convert passenger aircraft into freight planes in India to capitalise on growing global demand for cargo, executives from the U.S. aviation firm said in various media reports. The facility will add to Boeing’s $1 billion supply chain sourcing from India and will help support India’s ambitions to become a global cargo hub, reports added. The planned facility comes amid a push by Boeing to expand in India. In February, the company said it plans to invest $24 billion to set up a logistics centre for airplane parts. Flag carrier Air India has also placed a record order for nearly 500 jets, worth more than $100 billion at list prices, with both Boeing and Airbus. Boeing Co said on Friday it would set up a facility in India to convert 737 passenger planes into dedicated freighters to tap into regional and global demand for the service. The investment, which adds to the U.S. manufacturer’s expansion into India on top of a record plane order by flag carrier Air India, comes despite a global economic slowdown that has weakened the global air cargo market.