Despite slowing growth in India, Airbus and Boeing remain bullish on the demand for civilian aircraft from the country. Analysts and industry experts, however, warn of lower‐than anticipated passenger growth, unless urgent steps are taken to revive the sector. In their market forecasts last year, Airbus and Boeing had estimated demand for 1,232 and 1,450 planes from India, respectively through the next two decades. However, that was at a time when Kingfisher Airlines was still in service. Also, they had estimated growth in India’s gross domestic product (GDP) at about eight per cent. Similarly, a civil aviation ministry report for the formulation of the 12th five‐year Plan (2012 ‐17) had factored in 12 percent average annual growth in domestic air traffic between 2012 and 2017.
Source: Business Standard