In-flight caterer SATS eyes Rs 200 crore solo project – Times of India
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MUMBAI/NEW DELHI: In-flight meal caterer and ground handler SATS, owned by the Singapore government through Temasek, is lining up fresh investment in India, upping its play in this part of the world. Significantly, it is routing the investment through its 100% local arm SATS Food Solutions India and not through its existing joint venture, Taj SATS, in which it holds 49% stake. SATS will be investing Rs 200 crore to set up a kitchen in Bengaluru airport which, according to the company, is its “first major investment” in India.
Aside from Taj SATS, where Tata Group holds 51% in the in-flight meal caterer, the Singaporean company has equity interest in ground handler Air India SATS, where it hold equal stakes with the national carrier. The Bengaluru airport kitchen, which will dish out 1.7 lakh ready-to-eat meals a day, will be operational next year.
While this will add to its network of kitchens in India, it will also use this facility as an export hub “to take authentic Indian cuisine overseas”.
The in-flight meal catering business has been impacted by the public health crisis as many passengers, especially on short flights, still prefer to remain firmly masked up and opt not to eat onboard. But players have ventured into other areas like home delivery of meals. Through the new kitchen in Bengaluru airport, SATS will create 300 jobs. Earlier, the Bengaluru kitchen, which will cater to the non-airline segment, was to be set up by Taj SATS. The latest development indicates that SATS has decided to go solo for the facility.
“The pandemic and the new normal of working from home has heavily influenced consumer preference for innovative and hygienic food and SATS’s central kitchen (in Bengaluru airport) will cater to these evolving needs of the Indian consumers,” said SATS Food Solutions India CEO Sagar Dighe.
Aside from Taj SATS, where Tata Group holds 51% in the in-flight meal caterer, the Singaporean company has equity interest in ground handler Air India SATS, where it hold equal stakes with the national carrier. The Bengaluru airport kitchen, which will dish out 1.7 lakh ready-to-eat meals a day, will be operational next year.
While this will add to its network of kitchens in India, it will also use this facility as an export hub “to take authentic Indian cuisine overseas”.
The in-flight meal catering business has been impacted by the public health crisis as many passengers, especially on short flights, still prefer to remain firmly masked up and opt not to eat onboard. But players have ventured into other areas like home delivery of meals. Through the new kitchen in Bengaluru airport, SATS will create 300 jobs. Earlier, the Bengaluru kitchen, which will cater to the non-airline segment, was to be set up by Taj SATS. The latest development indicates that SATS has decided to go solo for the facility.
“The pandemic and the new normal of working from home has heavily influenced consumer preference for innovative and hygienic food and SATS’s central kitchen (in Bengaluru airport) will cater to these evolving needs of the Indian consumers,” said SATS Food Solutions India CEO Sagar Dighe.
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