Helicopter maker eyes domestic manufacturing facility

REPORT FROM BUSINESSWORLD BEELINE HELICOPTERS, Inc. is in talks with US-based Enstrom Helicopter Corp. for a co-production or licensing arrangement to produce Enstrom helicopters in the country. On the sidelines of the launching of the Enstrom helicopters on Wednesday night, Beeline Helicopters Chief Executive Officer Lovell B. Gopez told BusinessWorld the family-owned company would start the production in the next five years. "There is nowhere else to go for the Philippines but up especially in the aviation industry. There is so much potential for the Philippines, being an archipelago," he said. "We are in talks with Enstrom to manufacture some helicopters here for the region. It will all depend in the region if there is big demand. Hopefully, they will consider the Philipines as a venue for manufacturing," he added. Beeline Helicopters aims to be a "robust and dynamic player in the Philippine helicopter landscape not only in the flying department but also in the support role as service provider for parts, maintenance and technical support." Beeline introduced the US brand chopper on Monday. It aims to introduce and penetrate the market with Enstrom products, establish a service facility to cater to the requirements of Enstrom operators, set up a tours and charter operation. Ernstrom is a privately owned corporation dedicated to the design, production, and support of light piston-powered and turbine-powered helicopters. Its 280FX and F28F piston-powered helicopters are the only turbo-charged helicopters produced in the world today. "Since they are based in Michigan, it takes quite awhile. Labor cost is high in the US. Hopefully, we can do some kits here; they send us pre-assembled aircraft and we do the finishing touches," Mr. Gopez said. "We have sent people to be trained to the US. Ernstrom is amazed at the skills of the Filipino. It is something we can venture eventually," he added. Besides marketing the Enstrom helicopters, Beeline Helicopters will also provide after-market support to Enstrom operators. It will provide parts, service, maintenance and technical support, operate non-scheduled air services and train rotary pilots and mechanics. Enstrom helicopters are currently operating in over 45 countries worldwide. In a separate interview, Beeline Helicopters Chief Finance Officer Benigno M. Gopez said his company plans to manufacture the helicopters for Philippine conditions. "We plan to manufacture our own attack helicopter. Ang ginagamit ngayon Huey [what is being used is the Huey], which is very expensive to operate. We have an agrement as their distributor. We told them, in the future, we want to be a licensed manufacturer," he said. Ernstrom Regional Sales Head for Asia David P. Blake said it was possible to manufacture the helicopters in the Philippines. "The helicopters are built in Michigan. The capacity there can be expanded but the simplicity of making this helicopter can be exported aside from the technology if the business climate permits. In the Philippines, there is unlimited amount of skilled engineers to make it successful," he said. Mr. Blake is optimistic for Ernstrom’s launching in the Philippines. "The potential for the Philippines is great. Enstrom is a helicopter that is very sturdy, available and cost-effective in operations. It is the least expensive to operate in this category. It is available very quickly. You don’t have to wait for years to get one because the production of the components is done in-house in Michigan," he said. Mr. Blake believed Ernstrom helicopters are the most affordable and least expensive to operate. "We can provide a good asset to the commercial and corporate world in the Philippines. There have been more helicopters flying in the Philippines than fixed wing aircraft," he said. — RAMR/BUSINESSWORLD