With 81 million trips, India’s domestic aviation market grew 20.3 per cent in calendar 2015, compared to the previous year, according to the FICCI-KPMG India Aviation Report.

The report, which was released by Civil Aviation Minister P Ashok Gajapathi Raju on the second day of the India Aviation Show 2016 here on Thursday, also predicted that India is on its way to become the third largest aviation market by 2020.

Among the growth drivers are increasing disposable incomes, fall in prices of aircraft turbine fuel, increase in tourism and visa reforms.

The passenger traffic on international routes increased 6.5 per cent during the period. In comparison, international passenger throughput at Indian airports grew 7.7 per cent.

There was 17.1 per cent growth in the total passenger throughput for FY2015-16 till January, at 184 million. Passenger throughput is expected to reach around 370 million by 2020, with domestic traffic constituting around 80% per cent. The National Civil Aviation Policy, which the Centre is likely to announce next month, is expected to provide “significant fillip to the industry”,' the report said.

Steps taken to revive about 160 domestic airports, if chosen carefully, will improve air connectivity to several regional and remote areas, it added.

“Public-private partnerships (PPPs) in the sector will get substantial support from the State in terms of financing, concessional land allotment, tax holidays and other incentives,”' the report further said.

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