The Indian Civil Aviation industry has steered into a new era of growth and the factors that drive this growth are low-cost carriers, relaxing the Foreign Direct Investment (“FDI”) regime, usage of advanced information technology for safety & security, modernization of airports, growing customer base, healthy competition in the market and growing regional connectivity. This Aviation roundup discusses the key changes in the FDI policy, the initiatives taken by the government regarding new airports & infrastructure, national civil aviation policy, import of aircrafts, amendments of offset guidelines and air safety. Karnataka has drafted its Aerospace Policy 2013-2023 and outlined its trajectory and strategy for the growth of this sector in the next decade. Andhra Pradesh has also come up with its Aerospace Policy and has an investor friendly government.
The roundup also provides the summary of the PIB Release dated December 23, 2015 that amended the Offset Guidelines. Ministry of Defence has initiated various policy measures to address the concerns of the industry for ease of doing business and the amendment of the Guidelines is one of them. The roundup further discusses the key investments in the last financial year and the opportunities that exist in the civil aviation space now or in the days to come. While opportunities exist and government is keen to tap the potential, with consistent focus on the quality, safety and cost effectiveness, India can definitely become the leader in the aviation market. To quote Mr. Tony Tyler, Director General and CEO International Air Transport Association believes that “the world is currently focused on Indian aviation – from manufacturers, tourism boards, airlines and global businesses to individual travellers, shippers and businessmen. If we can find common purpose among all stakeholders in Indian aviation, a bright future is at hand.” India is gearing up to take the world in its stride!