India will require 1,750 new passenger and cargo aircraft over the next 20 years to meet an exponential rise in both passenger and freight traffic, according to Airbus’ latest India Market Forecast.
The report finds that India will need 1,320 new single-aisle aircraft and 430 wide-body aircraft valued at $255 billion.
While much of the air traffic growth is expected to be driven by the fast-expanding economy, rising wealth and urbanisation, ambitious government-backed, regional connectivity programmes are also set to drive demand for air travel.
By 2036, Indians will each make four times as many flights as today. As a result, air traffic is predicted to grow 8.1% per year over the next 20 years, almost twice as fast as the world average of 4.4%.
Domestic Indian traffic is expected to grow five-and-half times over the next 20 years (2017-2036) reaching the same level as US domestic traffic today, making it one of the world’s fastest-growing markets, according to the report.
Make in India
India is set to become the world’s third largest aviation market by 2019/20. So far it has a backlog orders of over 530 aircraft.
Srinivasan Dwarakanath, President Airbus Commercial Aircraft in India , told reporters at an event, “”Airbus will be delivering one plane on an average per week to airlines in India over the next 10 years.”
He added in statement, “Make in India is at the heart of our strategy. Airbus has the largest footprint in India of any International aircraft manufacturer, nationwide across all aircraft programmes. Our sourcing volume has grown 16 times over the past ten years and it is currently at more than $550 million annually”.