India to need 1,740 new aircraft
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Airlines in India will need to buy 1,740 new aircraft over the next 20 years, valued at US$240 billion, according to Boeing.
Releasing its annual ‘India Current Market Outlook’ report in Mumbai on Thursday, Boeing revealed that demand would be dominated by single-aisle aircraft (90-230 seats), such as the Boeing 737 or Airbus A320. These models will account for 1,460 of the new aircraft, or 84% of the total, with a value of US$160bn.
Twin-aisle aircraft of in the 200-300 seat range, such as the Boeing 777, 787, Airbus A330 or A350, will account for a further 260 aircraft, worth US$80bn.
“India’s economy and the country’s potential for air travel growth – both for leisure and business – continues to be strong and we remain confident in the Indian commercial aerospace market,” said Dinesh Keskar, Boeing’s senior vice president of Asia Pacific & India Sales.
“The Indian market is highly competitive and airlines are adapting with added capacity, moderate pricing discipline and new business models, such as the growing number of low-cost carriers.
“We continue to believe Boeing’s comprehensive airplane family meets our customers’ needs with superior economics and fuel efficiency, improved environmental performance and a great passenger experience,” Keskar added.
This rising demand for new aircraft is being driven by surging passenger traffic. The South Asia region is expected to experience average annual growth rates of 8.6% in the coming years – among the highest in the world.
India has traditionally been a strong market for Boeing, with Air India, Jet Airways and SpiceJet all operating Boeing jets. However, more recent entrants into the market, including AirAisa India and Vistara, along with India’s largest low-cost carrier IndiGo, have opted for Airbus aircraft.
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