Expects order of 1,320 planes through 2030 for $150 bn.
Boeing, world’s leading aircraft manufacturer, has raised its forecast for passenger airplanes in India in the next 20 years on the backdrop of an expanding economy and growing passenger traffic.
The US-based aircraft maker said it expects carriers in the South Asian country to order up to 1,320 planes through 2030 for $150 billion. In August the company had forecast India would need 1,150 passenger planes worth $130 billion until 2030.
“Robust growth with new economic prosperity among a massive Indian population, discretionary incomes, business progress and access to airports will increase airplane demand,” said Dinesh Keskar, Boeing India president.
He said carriers in India are making profits in line with economic growth, which is expected to maintain its upward trajectory in the long-term.
“As a result, both the air travel and air cargo markets will grow,” Keskar said, adding that airline revenue and yields have also increased, but high inflation and volatile fuel prices will play a pivotal role in the health of the industry.
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Boeing’s customers in India include Jet Airways (India) Ltd, national carrier Air India and SpiceJet.
Passenger traffic has touched 53.6 million domestic (financial year 2010-11) and 13.1 million international is expected to grow at 8.1 per cent annually over the long term.
“The need is great for new airplanes that can efficiently and profitably fly short and long-haul routes. This demand is driven by growth in developing and emerging cities, demand from low-cost carriers, and the need to replace an aging fleet,” he said. The biggest demand in India will be for single-aisle planes such as the 737, Boeing said, adding that the company currently dominates India’s fleet of long-haul planes with the 777 and 747 planes, which will be soon joined by the 787 Dreamliner.