On the back of recovery in air travel, US-based aircraft manufacturer Boeing has raised its 20-year forecast for demand of aircraft in India by 15% at 1,150 commercial airplanes worth $130 billion (Rs 5,98,000 crore).

In 2009, the company had projected a demand for 1,000 aircraft worth $100 billion (Rs 4,60,000 crore) over two decades. Currently, there are 500 aircraft in the domestic skies and collectively airlines like Air India, Jet Airways and SpiceJet will collectively need 30% more aircraft within three years owing to a pick up in air travel demand, say analysts.

According to Dinesh Keskar, president of Boeing, India, ?There is strength and resilience in the Indian commercial sector. The potential for future growth of air travel, both domestically and internationally, is among the greatest in the world.?

Keskar further said India?s economy is slated to grow at 8.5% annually over the forecast period. The country?s economic growth remains among the strongest in the world, along with record growth in air travel due to liberalisation and favorable economic conditions.

Keskar said air travel in India, tied closely to the country?s economic growth, will largely recover by 2011. The operating environment for India?s carriers shows a positive turn. Passenger numbers, load factors and yields have an upward trend on domestic and international services.

?We went through the deepest recession in the history of aviation but now India?s recovery is one of the fastest. We believe there will be a record 50 million passengers this year from 44 million last year if the trend continues,? says Keskar adding that if one takes a broad look at the India market, what resonates is more positive than negative and the prospect for continued long-term growth remains high.

Keskar added that he saw the fastest recovery and growth in Indian market with the recent performance of Jet Airways which registered 35% in passenger growth, load factors and yields. Keskar also said its next generation airliner 787 Dreamliner would be delivered to Air India by the second quarter of 2011.