The Hindu Business Line : Airbus sees Indian passenger fleet rising 5-fold in 20 years

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Bangalore Feb. 7 With the country's exports growing at a rate of 35 per cent, and one-third of the country's exports being moved out by air, the freighter market is a major attraction for aircraft manufacturers.

Aircraft manufacturer Airbus wants to garner a major share of this untapped potential, and has projected the demand for its freighter aircraft at 165 over the next 20 years.

Potential

Addressing presspersons here, Dr Kiran Rao, President - Airbus India and Executive Vice-President - Marketing and Contracts, Airbus, said India offered a huge potential for passenger and freighter aircraft in the years to come. India will be the fastest growing country for air travel in the next 10 years, and the passenger fleet in India would grow five-fold in the next 20 years, he said.

"From about 190 in 2005, the fleet size in India would grow to 631 in 2015 and 959 in 2025," he added.

Airbus' 2006 Global Market Forecast predicts that the country will average an annual passenger traffic growth of 7.7 per cent until 2025, and that there will be a demand for about 1,100 passenger aircraft from Indian carriers in the next 20 years.

Of the 1,111 aircraft sold globally in 2005, about 200 were to India, Dr Rao said. The backlog of deliveries for the company was about $258 billion as of December 2006, its highest ever.

A progressive market liberalisation policy, strong economic growth, growing demand from the middle-class, stimulation from low-cost carriers, emergence of the country as a tourist and business destination, and the emerging demand for domestic express freight and acceleration of international freight were some of the key factors driving this growth, he added.

He announced that the company would set up an aviation training centre at Devanahalli, close to the new Bangalore International Airport, along with CAE of Canada. The centre would be operational by the year-end, and would train up to 1,000 pilots per year.

Mr Rao also announced the setting up of a maintenance, repair and overhaul (MRO) centre in India, the location for which is yet to be finalised. Some of the short-listed locations include Bangalore, Hyderabad, Mumbai and Nagpur. Airbus is in talks with companies for partnering in this venture. Besides, it would also set up a spares centre in the country.