Hamilton plane business takes flight

Hamilton aircraft maker Alpha Aviation estimates it will soon be manufacturing up to 70 two-seater planes a year, mostly for export.

The company recently broke out the bubbly when it received a "Type Certificate" from the Civil Aviation Authority which means it can now sell its aircraft.

Alpha was founded by local industrialist Richard Izard in late 2004 to exploit a gap in the world market for two-seater "entry-level" planes for training pilots.

Last year it bought equipment and IP from French company Apex Industries, and for the last 12 months, it has been getting approvals and building prototypes.

It has 21 pre-orders, including a request for up to 26 planes from CTC Aviation, a British company which trains 120 pilots a year out of Hamilton airport.

Managing director Richard Sealy said Alpha would be ramping up its production line, and eventually increasing its staff from 35 to 60.

He said that since Piper and Cessna had stopped making their two-seater planes in the early 1980s, no one had stepped into the gap.

As a result, many aero clubs and flying schools around the world were using planes that were 30 or 40 years old.

"This aircraft is the only metal, two-seater general aviation training aircraft that has aerobatic capabilities in the world. That's it...this is the only one you can buy."

The craft cost between $199,000-$249,00 each.

Mr Sealy, a New Zealander who was headhunted from Australia, said growth figures and revenue figures were confidential.

However, the factory aims to raise its capacity to eight aircraft a month by May next year.

"It won't be that much, it'll be more like 70 aircraft a year, but that's pretty significant for New Zealand."

Alpha believes its Alpha 2000 series has big potential in the US, which represents 69 per cent of the aviation market.

A press release said that aside from revenue generated by the sale of its planes, the company would pump more than $75 million into the local economy over the next 10 years.

Mr Sealy said there were no difficulties at present getting skilled staff.

"There's quite a lot of aviation manufacturing in the Waikato area and quite a lot of certified aircraft engineers around."

Related companies in the region included Pacific Aerospace (PAC), which makes larger planes for parachuting and freight, and microlight maker Micro Aviation NZ.

PAC worked closely with Alpha and made some of its componentry.

Alpha's founder, Richard Izard, is a long-time pilot who ran a sawblade factory out of Wellsford, which at one stage was supplying 40 per cent of the global market, Mr Sealy said.

He also runs Izard Pacific Aviation, which b uys and sells used aircraft and runs the Izard's private Springhill Aerodrome.

It is a substantial shareholder in Alpha.

Backers have put about $9.5 million into the company and its expansion is expected to cost another $3 million.

- NZPA