In a move that will enable domestic aviation and aerospace companies to integrate further in global supply chain, Airbus has awarded a contract to Tata Advanced Systems Ltd.

The contract involves the manufacture of cargo and bulk cargo doors for the A320neo and its variants.

In a statement, Airbus announced that Tata Advanced Systems will use advanced robotics and automation technology to manufacture cargo doors at its new facility in Hyderabad; each shipset will consist of two cargo doors and one bulk cargo door.

Tata Advanced Systems' CEO, Sukaran Singh, believes the new contract win will strengthen the partnership with Airbus in aerospace manufacturing in India.

IndiGo, Go First and Air India Group are some of Airbus' clients in India for A320 aircraft family.

Earlier this year, Air India created history by placing an order for 470 planes in February, of which 210 aircraft will be from A320neo family.

Tata Sons owns both Air India and Tata Advanced Systems.

IndiGo had ordered 300 A320neo family aircraft from Airbus, that will be delivered soon.

Airbus currently sources over $735 million worth of components and services annually from 100-plus Indian suppliers, generating employment for almost 10,000 people in India. This figure is expected to reach up to 15,000 by 2025.

Airbus and Tata will also manufacture C-295 military planes in Gujarat with land already allocated by the government.

Tata Advanced Systems also collaborates with Airbus' rival comapny Boeing in India, producing components for Boeing 787, 737 MAX and Apache strike helicopters.