BOEING FORECASTS $770 BILLION CIVIL AVIATION MARKET IN INDIA OVER 20 YEARS
Indian demand for 2,380 new jet aircraft worth $330 Billion projected, but no plans to shift assembly lines out of US
OVER THE PAST DECADE, DOMESTIC AIR TRAFFIC IN THE INDIAN SKIES HAS TRIPLED, WHILE INTERNATIONAL AIR TRAFFIC HAS MORE THAN DOUBLED
INDIA WILL BE A $770 billion (`54,67,365 crore) market for civil aviation over the next 20 years, and drive a demand for 2,380 new jet aircraft, according to Boeing’s Commercial Market Outlook (CMO) which was released in New Delhi on November 6. Presenting a bullish forecast based on the current trend of India/South Asia being the fastest growing aviation market, Boeing’s Darren Hulst said the 2,380 new commercial aircraft, besides replacing the existing fleet, would quadruple India’s civil aviation fleet by the year 2038.
The projected demand for the new aircraft is valued at $330 billion (`23,43,319.9 crore) while another $440 billion (`31,24,679.8 crore) is expected to be spent on operating and maintaining this fleet.
Beyond India, the global commercial jet fleet is expected to double in size by 2038 as airlines will need 44,000 new airplanes valued at $6.8 trillion, and demand more than $9 trillion in aviation services, according to the Boeing forecast. All aircraft manufacturers globally produced 1,700 aircraft in 2018. The market outlook for 44,000 new airplanes over the next 20 years suggests an average demand for 2,200 annually, which will drive growth for the aircraft manufacturing Industry, Hulst, Boeing’s Senior Managing Director Market Analysis & Sales Support (Commercial Airplanes), said.
Since 2009, operations by low-cost carriers (LCC) have increased from 392 flights to 28 airports up to 2,380 flights to 54 airports. This reflects a six-fold increase in the number of flights by LCCs.
In the wide body, long-haul segment, there are now over 300 international city pairs from India, of which 30 new pairs have been added over the last one year.