Trade Analytics
Aviation
India’s aviation market is expected to be world’s third largest by 2024.

Indian Airports Analysis

Latest update: January, 2020

Growth

 

Last Updated: January, 2020

India is the world’s third largest domestic aviation market and third largest aviation market. By 2024, India’s overall aviation market is expected to become the third largest globally.

To cater to the rapidly growing demand, airline operators have been expanding their capacity. Capacity available in India’s domestic flights, as measured by Available Seat Kilometres, stood at 155,033.4 million kms while demand, as measured by Revenue Passenger Kilometres, stood at 136,631.4 million kms in FY19 (up to Feb 2019).

Capacity available in India’s international flights, as measured by Available Seat Kilometres, stood at 126,054.2 million kms while demand, as measured by Revenue Passenger Kilometres, stood at 111,620.4 million kms in FY19 (up to Feb 2019).

Domestic passenger traffic stood at 275.22 million and expanded at a Compound Annual Growth Rate (CAGR) of 13.65 per cent over FY06–19. International passenger traffic posted a CAGR of 9.11 per cent over FY06-19. Freight Traffic grew at a CAGR of 7.44 per cent over FY06-19. Freight Traffic is expected to grow at a CAGR of 7.27 per cent to reach 4.14 million tonnes in FY23.

During FY20 (April-December 2019), air passenger traffic stood at 262.67 million. Out of which domestic passenger traffic stood at 210.61 million while international traffic stood at 52.06 million. Total freight traffic handled in India stood at 2.57 million tonnes during the same time period. During April-December 2019, domestic freight traffic stood at 1.02 million tonnes while international freight stood at 1.54 million tonnes. The expenditure of Indian travellers is expected to grow up to Rs 9.5 lakh crore (US$ 136 billion) by 2021.

As of March 2019, there are 137 operational airports in India. As of November 2019, 680 airplanes were in-service in the fleet of scheduled Indian  operators. Due to rise in demand in air travel, India will need 2,380 new commercial airplanes by 2038. India is expected to have the largest number of aircraft flying by its scheduled airlines latest by December 2019. India plans to open 100 additional airports by 2024. As on October 2019, 55 AAI airports were declared as Single-Use Plastic Free Airport Terminals.

The Government of India has launched regional connectivity scheme named UDAN (Ude Desh ka Aam Nagrik) to make flying affordable for common man.

AAI is going to invest Rs 15,000 crore (US$ 2.32 billion) for expanding existing terminals and constructing 15 new ones. It has opened airport sector to private participation, six airports across major cities are being developed under the PPP model. The Airports Authority of India (AAI) aims to bring around 250 airports under operation across the country by 2020. Investments to the tune of Rs 42000-45000 crores (US$ 5.99-6.41 billion) are expected in India’s airport infrastructure between FY18-23. Under Union Budget 2020-21, government introduced Krishi Udan scheme on both domestic and international route to help farmers in transporting agricultural products and improve the product value .  

FDI inflows in India’s air transport sector (including air freight) reached US$ 1,948.06 million between April 2000-September 2019.

Indian Aviation Industry Report (January, 2020)
Download PDF Download PDF  (Size: 1006.4 KB )

Click to access the Aviation Industry Archived Report

Posters

Brand India Pharma

INDIAN AVIATION

+ More >

Brand India Pharma

IBEF Publications

IBEF Publication

Agri Export Policy - Towards smoother trade, wider global presence

English

+ More Publications >

IBEF Publication

IBEF Blog - INDIA ADDA – PERSPECTIVES ON INDIA More

author_logo-ibef1.jpg SUSTAINABLE AGRICULTURE - TURNING TO ORGANIC AND NATURAL FARMING
IBEF, Knowledge Centre

Agriculture and its allied sector are crucial for the development of a country, especially for India where it is the largest source of livelihood. The sector plays a majo...

author_logo-ibef1.jpg Digital India: Power To Empower
IBEF, Knowledge Centre

The global economy is presently going through the fourth Industrial Revolution, also known as the Digital Revolution. This revolution is changing not only the way we inte...

author_logo-ibef1.jpg India's leapfrog strategy from BS-IV to BS-VI
IBEF, Knowledge Centre

The Ministry of Road Transport and Highways (MoRTH) issued a draft notification of Bharat Stage (BS) VI emission standards in 2016 for all major on-road vehicle categorie...

author_logo-ibef1.jpg Television Industry in India
IBEF, Knowledge Centre

Television was first introduced in India on September 15, 1959 with the help of UNESCO. Since then the television industry has witnessed transformation with advancement i...

author_logo-ibef1.jpg Indian Tourism Industry: An Insight
IBEF, Knowledge Centre

During the celebration of 73rd Independence Day, Prime Minister Mr Narendra Modi addressed the nation from the Red Fort and underlined that India ‘has mu...

author_alok_kirloskar1.jpg From smart water pumps to drones: Technology is changing Indian farms!
Alok Kirloskar, Executive Director, Kirloskar Brothers Limited

Disruptive technologies and innovations in application engineering are fast changing farming practices in India. From preparing the land to sowing, to reaping and mentori...

ideas More

Ideas

Zomato: Top Of The Food Chain
Zomato, an Indian start-up is in the business of online food ordering. It initially launched Foodiebay.com in Gurugram in 2008, a website that scanned menus and provided ratings and recommendations on....

JOIN IBEF.org

Join IBEF.org now. Enjoy FREE subscriptions downloads, updates and more.

Error

Already a member?
Login / Retrieve Password