Says Justin Dubon, regional press manager for Airbus, India is a promising market for us. Our forecast takes into account the industrys near-term challenges, including surging fuel prices and slowing air traffic growth. Yet, we foresee a strong demand for aircraft because
India is the third largest in terms of purchasing power parity. It is also projected to be the seventh largest economy by 2017. It has predicted that the Indian market will need 1,100 passenger and freighter aircraft valued at $105 billion over the next 25 years. Since 2005, Airbus has bagged over 295 orders from Indian carriers valued roughly at $22 billion.
The aircraft manufacturer, popular for its A 300s family of aircraft, has many clients in India, including Kingfisher, which has placed an order for 64 aircraft, Air Deccan (72), Jet Airways (10), Indigo (100), Indian (43) and GoAir (10).
Boeing, on the other hand, has orders worth $25 billion from Indian carriers. That include 68 aircraft orders from national carrier Air India, 63 from Jet Airways, 30 from SpiceJet and three from the Indian Air Force.
Dinesh Keskar, senior vice-president, sales, Boeing, told FE , Amongst the Asian countries, India tops the chart in the requirement of commercial planes. India will need 1,001 new aircraft (passenger and freight) worth more than $105 billion at current list prices, over the next two decades, Keskar adds that the companys growth projection considers todays market environment. But he, however, sees a correction happening in the next 12-15 months in terms of a slow growth in the sector. Second, there will be more bilateral air agreements between India and other countries for international travel. The sector will see further liberalisation, he adds.