The growth of Indian Aviation Sector
With middle-class people taking to the skies against the backdrop of economical air fares, the Indian aviation market has grown at an average rate of 16 percent over the last decade(with FY 2017 recording 22% growth). The international passenger traffic is also seen expanding and measured a growth of 7.72 percent in FY17.
Though the sector has seen tough times in the past and still has to cope with infrastructure and other challenges, a bright future seems right at the corner. Credit goes to positive moves from the government, new entrants in the sector and the outlook of a common man towards air travel.
Many new reforms and regulations have given the much required thrust to aviation sector in India. Few of them include:-
- Launch of UDAN (Ude Desh Ka Aam Nagrik) Policy which is aimed at improving rural air network through restoration of 31 underserved airports across different locations in the country. This move shall add 128 new routes for air travel. Proposals form Alliance Air, SpiceJet, TrueJet, Air Deccan and Air Odisha are currently being reviewed by the government for this purpose.
- Reduction in fuel cost which made low cost airlines model possible and sustainable, leading to a spike in air traffic.
- The National Aviation Civil Policy which was released in 2016 aims to correct former issues with regards to rural connectivity, safety, and bilateral traffic rights. It also promotes aeronautical Make in India.
- The erstwhile policy which required 5 years and 20 aircrafts for international operation has been relaxed to 0 year and 20 aircrafts/20% of the total capacity of the average seats of combined departure (whichever is higher). This shall attract more FDI’s and facilitate the much needed development in the sector.
The future of aviation in India
Based on Goldman Sachs economic projection for India, International Air Transport Association estimates that the country will experience 300 million passengers departure through a movement of 6 million aircraft by the calendar year 2030. The freight traffic by 2032 is expected to cross 11.4 million tonnes, making air cargo a significant contributor of the logistics industry. However, long before that, by 2020, India is predicted to achieve the position of third largest aviation market in the world.
The growth rate is indicative of a major expansion in its task force, thus suggesting that a career in Indian aviation shall bear fruits shortly. For more on careers in this industry, contact us at Mobile No.- +91 9717094061,9717094063