Friday, March 9, 2018

Indian airlines to add new jets in booming aviation market





Jet Airways, SpiceJet and AirAsia India are planning to add new jets to their fleets to cater to the domestic air passenger traffic that grew by 17.9% in January

Ankit Ajmera
Hyderabad: Indian airlines Jet Airways (India) Ltd, SpiceJet Ltd and AirAsia India are planning to add new jets to their fleets as they look to expand in the world’s fastest-growing aviation market, the carriers said on Thursday. Domestic Indian passenger traffic increased by 17.9% in January from a year earlier, marking the 41st consecutive month of double-digit growth, the International Air Transport Association said in a monthly update released on Thursday.

Civil aviation secretary Rajiv Nayan Choubey said as long as oil prices remained below $80 per barrel, he expected the Indian aviation market to grow at a compound annual growth rate of 15% for the next 20 years or so.
“We are committed to ensure that new airports are built, better air space management services are provided, so that there is no congestion in the skies,” Choubey said at the Wings India airshow.
Indian airlines are scrambling to add more jets to meet demand for more domestic and international flights, making it one of the most targeted sales markets for jet manufacturers Airbus SE and Boeing Co.
“The growth of the domestic Indian (aviation) market is the highest in the world,” said Dinesh Keskar senior vice president of sales (Asia Pacific and India) at Boeing. “Every segment of traffic in and out of India is going to grow for the next 20 years.”
Boeing said in July it expected Indian airlines to order up to 2,100 new aircraft worth $290 billion over the next 20 years, calling it the highest-ever forecast for Asia’s third-largest economy.
Jet Airways hopes to close a deal to buy another 75 narrow-body jets by the end of March, its CEO Vinay Dube told reporters on the sidelines of the airshow. The airline last year finalized a deal to buy a separate 75 Boeing 737 MAX aircraft and said it was in “serious talks” for 75 more.
(Reuters)



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