‘India will need aircraft worth $190 billion in next 20 years’

In its latest market forecast, Airbus on Thursday said Indian carriers will require 1,290 new passenger aircraft valued at $190 billion between now and 2032 to satisfy surging annual demand. Indian annual passenger traffic growth rates of 8.6 per cent are well above the regional Asia Pacific average growth rate of 6.1 per cent and the world average 4.7 per cent. Of the requirement for 1,290 new aircraft, some 73 per cent will be for growth and 27 per cent for replacement, Airbus said in a study released in New Delhi.
It said the new passenger aircraft include 913 single aisles like the A320 and A320neo Family, 322 twin aisles like the A350 XWB and A330, and 56 very large aircraft such as the A380. By 2032, today’s fleet of 343 aircraft will more than triple to some 1,233 aircraft. By 2032, Airbus forecasts that 36 per cent of India’s fleet will be wide-bodies, more than doubling today’s level. This is a result of increased capacity of international as well domestic routes with larger aircraft like the A330 and A350s.
In passenger traffic term, domestic India is the fastest growing flow increasing at almost 10 per cent per year to 2032. In 2032, India domestic traffic will be the world’s third largest domestic market. In addition, five of the world’s top 20 fastest growing flows, connect India. Today, one in 20 Indians travel by air and in 2032 this will increase five fold to a quarter of the population taking at least one flight. Along with China, more people will experience the benefits of aviation for the first time in India than anywhere else.
“By 2032, the number Indian cities with more than a million passengers every month will have grown to 13 from today’s two. This exponential growth will continue to drive the need for larger aircraft like the A-380 to operate in the country,” Airbus executive vice president (Strategy and Marketing), Kiran Rao said in the statement.
He said as the people of India fly more and the number of first time flyers increases, demand for the latest generations of aircraft will also increase making India on of the largest and most dynamic markets in the world. India produces parts for the full range of Airbus aircraft, and employs some 350 engineers in Bangalore. Airbus India directly and indirectly employs some 5,000 people in India contributing to all Airbus aircraft programmes, the statement added.