India becomes fourth largest aviation market in the world
India’s persistent aviation growth continues
The International Air Transport Association (IATA) released its first 20-year passenger growth forecast, projecting that passenger numbers are expected to reach 7.3 billion by 2034. IATA also unveiled the air traffic ranking, where India has gained the fourth position.
According to International Air Transport Association (IATA), India has moved up two places to become the fourth largest aviation market in terms of passenger number. India saw the fourth highest number of passengers taking off in 2016, up two places from the previous year overtaking the UK and Brazil. The top three markets – the US, China and Japan – remain unchanged.
Last year, India’s aviation industry had 131 million passengers taking off – including domestic, international and connecting. During this period, IATA data shows that 3.8 billion passengers took off (50 pc domestic, 35 pc international and 15 pc connecting) across the globe, up from 3.5 billion in the previous year.
According to IATA, the big movers on this year’s rankings are the key emerging markets of India and Indonesia. India has jumped up two places to fourth, with a growth of 20 pc year-on-year. India continues to close in fast on Japan. India held the eighth position three years ago.
Fast-Growing Markets of the Future
IATA’s passenger growth forecast report, produced in association with Tourism Economics, analyses passenger flows over the next 20 years, forecasting passenger numbers by way of three key demand drivers: living standards, population and demographics, and price and availability. The report represents a 4.1 pc average annual growth in demand for air connectivity that will result in more than doubling of the 3.3 billion passengers expected to travel this year.
By 2034, the five fastest-growing markets in terms of additional passengers per year will be China (856 million new passengers per year), the US (559 million), India (266 million), Indonesia (183 million) and Brazil (170 million). Eight of the 10 fastest-growing markets will be in Africa with Central African Republic, Madagascar, Tanzania, Burundi and Kuwait in Asia making up the five fastest-growing markets.
“It is an exciting prospect to think that in the next 20 years more than twice as many passengers as today will have the chance to fly. Air connectivity on this scale will help transform economic opportunities for millions of people. At present, aviation helps sustain 58 million jobs and USD 2.4 trillion in economic activity. In 20 years’ time, we can expect aviation to be supporting around 105 million jobs and USD 6 trillion in GDP,” said Tony Tyler, IATA’s Director General and CEO.
Currently, the ninth largest air passenger market defined by traffic to, from and within for the period 2014-2034, India will see a total of 367 million passengers by 2034, an extra 266 million annual passengers compared to today. It will overtake the UK (148 million extra passengers, total market 337 million) to become the third largest market in 2031.
The Indian domestic market will also grow at 6.9 pc and will be adding 159 million extra passengers.
