India’s aviation sector witnessed unprecedented growth in 2024, with domestic air passenger traffic surpassing 5 lakh in a single day for the first time, marking a key milestone in connectivity and infrastructure.

Status of India’s Aviation Sector

• Rapid Growth in Passenger Traffic: Domestic air passengers reached 228 million in 2024, more than doubling from 2014 levels. International passengers grew by 11.4%, hitting 64.5 million.
• Global Ranking: India is now the third-largest aviation market globally, with total annual passengers exceeding 350 million.
• Expanding Infrastructure: 12 Greenfield airports have become operational since 2014, with major airports like Navi Mumbai and Noida expected to launch in FY 2025-26.
• Improve Air Cargo capacity It touched 8 million metric tonnes in FY24, growing at over 10% annually.

Government Initiatives to Promote Aviation Growth

Legislative Reforms

• Protection of Interest in Aircraft Objects Bill, 2025: Aligns with global standards to lower leasing costs, attract foreign investment, and boost domestic leasing hubs.
• Bharatiya Vayuyan Adhiniyam, 2024: Replaces the 1934 Aircraft Act, supports ‘Make in India’, and simplifies licensing and regulatory compliance.

Infrastructure Development

• Massive Capital Investment: Over ₹91,000 crore committed under the National Infrastructure Pipeline, with ₹82,600 crore already spent.
• Expansion of Airports: 50 new airports and 120 new destinations are targeted over the next decade to strengthen nationwide connectivity.

Inclusive Regional Connectivity

• RCS-UDAN Connecting India: The Regional Connectivity Scheme (RCS) – Ude Desh Ka Aam Nagrik (UDAN), has operationalised 619 routes and connected 88 airports across the country since its launch in 2016.
  • In 2024, 102 new RCS routes were launched, including 20 in the North Eastern States.
• Affordable Air Travel: UDAN has facilitated travel for 1.5 crore passengers and aims to reach 4 crore more in the next 10 years.
• UDAN Yatri Cafes: Low-cost food outlets at airports like Kolkata and Chennai, serving tea for ₹10 and samosas for ₹20.

Technology and Safety

• Digi Yatra Expansion: Rolled out to 24 airports, offering seamless, contactless travel with over 4 crore journeys completed.
• Safety Enhancements: A ₹9 crore Digital Flight Data Recorder (DFDR) and Cockpit Voice Recorder (CVR) laboratory was inaugurated in New Delhi to enhance accident investigation capabilities and strengthen aviation safety standards.

Sustainability and Human Resource Development

• Green Energy Transition: 80 airports operate on 100% green energy; over 100 are targeted for similar transformation.
• Pilot Training Expansion: Estimated need for 30,000–34,000 pilots; FTOs are being expanded, and pilot license issuances are being scaled up.
• Career Guidance Program: Launched to inspire school students to pursue aviation careers, fostering domestic talent.

Challenges in India’s Aviation Sector

• High Operational Costs: 
  • Aircraft leasing costs in India were 8–10% higher than global norms due to weak legal enforcement.
    • It has been addressed through the 2025 Aircraft Objects Bill.
  • Aviation turbine fuel (ATF) prices in India are among the highest globally, contributing nearly 40% to operational expenses, compared to the global average of 20–25%.
• Infrastructure Gaps: Of the 148 operational airports, several Tier-2 and Tier-3 facilities lack night-landing capabilities, instrument landing systems (ILS), and sufficient cargo handling infrastructure.
• Skilled Workforce Shortage: India needs 30,000–34,000 pilots over the next 10–15 years, but current annual pilot license issuance stands at around 1,200–1,500, causing a widening talent gap.
• Regulatory Bottlenecks: Complex land acquisition and delayed environmental clearances often stall airport projects, despite the simplification efforts under the Bharatiya Vayuyan Adhiniyam, 2024.

Way Forward

• Focus on Domestic Manufacturing: Encourage indigenous production of aircraft parts and components under ‘Atmanirbhar Bharat’.
• Enhance Regional Access: Strengthen last-mile connectivity through helicopters, seaplanes, and smaller aircraft.
• Digital & Green Aviation: Promote smart airports, green fuels, and sustainable practices across the sector.
• Public-Private Partnerships: Attract private investment in airport operations, cargo logistics, and MRO services.
• Global Collaboration: Leverage international partnerships to integrate India into global aviation value chains.

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