India leads Asia’s aviation recovery, surpassing pre-pandemic levels: Boeing

Hyderabad: American airplane manufacturer, Boeing is looking keenly at the cargo division as an investment opportunity in India’s civil aviation market. The company expects the India cargo fleet to go up to 80 airplanes over the next 20 years as against the 15-freighter aircraft now. India now leads Asia’s post-pandemic recovery as it’s the only large market in Asia, which is above pre-pandemic levels, according to Darrel Hulst, Vice President, Commercial Marketing, Boeing.

“Indian low-cost carriers continue to stimulate demand and connect emerging regions with low fares, holding nearly a 90 per cent share of all domestic seats in the region. This reflects the rapid pace of the region’s recovery and economic activity, as traffic and capacity now exceeds pre-pandemic levels,” he added.

Boeing estimates that airlines based in South Asian countries including India will add more than 2,700 planes over 20 years — quadrupling the region’s current fleet. Of the 2,705 new deliveries, 72 per cent will support fleet growth while 28 per cent will replace older jets with more fuel-efficient models. Single-aisle airplanes will account for more than 85 per cent of new airplane deliveries, the company said, including 2,320 single-aisle planes, 380 widebody planes, and five freighters.

The company forecasts the South Asia region will become the fastest-growing commercial aviation market with more than eight per cent annual traffic growth over the next 20 years. Ashwin Naidu, Managing Director-Commercial Marketing (Indian Subcontinent), Boeing, said: “Growth market for India is dedicated freighter aircraft. India currently has 14 to 15 dedicated freighter aircraft which is understated relative to the potential. Compared to a GDP of $4 trillion today that number is small in India as against in markets like the US or China.”