- In its latest 20-year forecast for the aviation industry, the International Air Transport Association (IATA) has revealed that India will be the third largest aviation market globally in 6 years.
- 2. India is now expected to be among the top three countries by 2024 from its current seventh position, according to global aviation body IATA.
3. India will take third place after the US, surpassing the UK around 2024 to become one of the largest aviation market globally.
4. Trends in aviation market revealed by IATA:
- The air passenger numbers worldwide could double to 8.2 billion in 2037 by a5 per cent compound annual growth rate (CAGR).
- The biggest contribution in this growth will come from the Asia-Pacific region, which will account for half the total number of new passengers over the next 20 years.
- The Asia-Pacific region is expected to see the fastest growth at the rate of 4.8%, followed by Africa (4.6%) and west Asia (4.4%).
- China will displace the United States as the world’s largest aviation market (defined as traffic to, from and within the country) in the mid-2020s.
- Indonesia is forecast to be the best performer rising from the world’s tenth largest aviation market in 2017 to the fourth largest by 2030.
- Thailand is expected to enter the top 10 markets in 2030, replacing Italy which drops out of the ranking, it added.
- By 2037, India is expected to add 414 million passengers to its existing 572 million passengers, the report added.
5. The growth in Asia-Pacific region is being driven by a combination of continued robust economic growth, improvements in household incomes and favorable population and demographic profiles.
6. The association warned, however, that growth prospects for air transport and the economic benefits driven by aviation could be curtailed if protectionist measures are implemented by governments.