Denel lands R260m Airbus military deal

Denel Aerostructures had been awarded a new multimillion-rand deal to make parts for an Airbus military transport plane, the state-owned company announced yesterday. “The contract is valued at more than R260 million… The company will manufacture a combination of aluminium rails and cross-tracks to be fitted into the cargo hold of each of the giant aircraft, which are to be delivered to international clients over the next six years,” the company said. The contract would benefit local businesses within the industry. “The contract will cascade down to other companies in the aerospace and hi-tech sectors with some of the manufacturing processes being sub-contracted to Denel Aerostructures’ local supplier base.” Denel Group chief executive Riaz Saloojee saw it as an endorsement of the country’s engineering and manufacturing industry. “It is a vote of confidence in the South African engineering and hi-tech manufacturing sectors. The tender was won through a bidding process against international competitors,” Saloojee said. – Sapa