Role of venture capital sri rkm viveka-07-09-2012Presentation Transcript
Role of Venture Capitalist inRole of Venture Capitalist in
Growth of Industrial SectorGrowth of Industrial Sector
---- In Special reference to Indian Civil AviationIn Special reference to Indian Civil Aviation
Industry - Passenger LinesIndustry - Passenger Lines
CMA. G.RamkumarCMA. G.Ramkumar
Asst ProfessorAsst Professor
D.G.Vaishnav CollegeD.G.Vaishnav College
INDIAN AVIATIONINDIAN AVIATION
Initially Indian Aviation is operated wholly byInitially Indian Aviation is operated wholly by
Government Under Ministry of Civil AviationGovernment Under Ministry of Civil Aviation
Air India , Indian Airlines and Vayudoot wereAir India , Indian Airlines and Vayudoot were
the Government Airline operators.the Government Airline operators.
Airports Operation falls under the control ofAirports Operation falls under the control of
Airport Authority of India, Ministry ofAirport Authority of India, Ministry of
Defense and in case State GovernmentDefense and in case State Government
Venture Capital BeginsVenture Capital Begins
After the fall of 1990 Liberalisation entered in mostAfter the fall of 1990 Liberalisation entered in most
of the Industrial Sectors.of the Industrial Sectors.
Civil aviation became Air Open by 1994Civil aviation became Air Open by 1994
Private Venturers started their carriers in MetrosPrivate Venturers started their carriers in Metros
and other developed states , Presently we haveand other developed states , Presently we have
Jet Airways, King Fisher, Spice Jet,Jet Airways, King Fisher, Spice Jet,
Sahara(JetLite) , ModiLuft , Air Deccan etcSahara(JetLite) , ModiLuft , Air Deccan etc
Presently Government allow 100% FDI by NRIsPresently Government allow 100% FDI by NRIs
and 49% Direct FDIs.and 49% Direct FDIs.
Airline OperationsAirline Operations
Jet Airways operates from 1994 with Present fleetJet Airways operates from 1994 with Present fleet
Capacity of 101 aircrafts – 12 Airbus , 20 ATRCapacity of 101 aircrafts – 12 Airbus , 20 ATR
Aircrafts and 69 Boeing 737 Operating 52Aircrafts and 69 Boeing 737 Operating 52
destinations in india and 22 internationaldestinations in india and 22 international
Air Sahara(Now JetKonnect) operates around 27Air Sahara(Now JetKonnect) operates around 27
Aircrafts with 25 Boeing 737 with 56 destinationsAircrafts with 25 Boeing 737 with 56 destinations
in India.in India.
King Fisher with more than 70 Jet Crafts travelKing Fisher with more than 70 Jet Crafts travel
across India.etc with 25 domestic destinations.across India.etc with 25 domestic destinations.
Plan Outlay(2007-12)Plan Outlay(2007-12)
Indian Government made a Plan InvestmentIndian Government made a Plan Investment
of Rs 49267 Crores. Projected Investmentof Rs 49267 Crores. Projected Investment
in Airport Infrastructure Developmentin Airport Infrastructure Development
Rs30968 CroresRs30968 Crores
India Has 450 Airports out of which 251India Has 450 Airports out of which 251
operational airports wherein 25 metrooperational airports wherein 25 metro
airports maintained by AAI with partnershipsairports maintained by AAI with partnerships
from State Governements etcfrom State Governements etc
Airport VenturesAirport Ventures
Green Field Airports were built inGreen Field Airports were built in
Hyderabad , Karaikkal Bangalore, Kerala,Hyderabad , Karaikkal Bangalore, Kerala,
Navi and SikkimNavi and Sikkim
Cochin Airport is the First Airport of Public-Cochin Airport is the First Airport of Public-
Private Partnership with 283 Crores outlayPrivate Partnership with 283 Crores outlay
with Public Deposits from NRI Keralites.with Public Deposits from NRI Keralites.
Bangalore Airport was Partnership withBangalore Airport was Partnership with
Karnataka Government and SiemensKarnataka Government and Siemens
Project Ventures and Larsen and Toubro.Project Ventures and Larsen and Toubro.
Venture – ContinuesVenture – Continues
Hyderabad International Airport was in VenturialHyderabad International Airport was in Venturial
Collaboration with GMR Infrastructure Limited andCollaboration with GMR Infrastructure Limited and
Malaysia Airport Holdings BerhardMalaysia Airport Holdings Berhard
Mumbai International Airport with GVK IndustriesMumbai International Airport with GVK Industries
Limited and Airports Companies South Africa.Limited and Airports Companies South Africa.
Delhi Internationa Airports with Fraport, EramanDelhi Internationa Airports with Fraport, Eraman
International and GMR Infrastructure.International and GMR Infrastructure.
Venture ContinuesVenture Continues
AAI has been Appointed in ModernisingAAI has been Appointed in Modernising
Chennai and Kolkatta Airports.Chennai and Kolkatta Airports.
New International Airport is constructed inNew International Airport is constructed in
Navi Mumbai under Green Fields Projects.Navi Mumbai under Green Fields Projects.
GMR Group undertakes construction ofGMR Group undertakes construction of
New Airport in Greater Noida – Delhi.New Airport in Greater Noida – Delhi.
AAI also undertakes to Modernise 35AAI also undertakes to Modernise 35
Nonmetro Airports with PrivateNonmetro Airports with Private
Venture - ContinuesVenture - Continues
Government to Allow Green FieldsGovernment to Allow Green Fields
Merchant Airports for Reliance IndustriesMerchant Airports for Reliance Industries
where by it will be a Total Private Airportwhere by it will be a Total Private Airport
with Funding by Reliance Industries – Planwith Funding by Reliance Industries – Plan
Outlay Rs 200 Crores – Durgapur WestOutlay Rs 200 Crores – Durgapur West
Venture _ ContinuesVenture _ Continues
Tata Advanced System Limited has Proposed forTata Advanced System Limited has Proposed for
Building a Helicopter Manufacturing Company atBuilding a Helicopter Manufacturing Company at
Adhibatla Near Hyderabad .Adhibatla Near Hyderabad .
Tata enterns into Joint venture with US basedTata enterns into Joint venture with US based
Skorsky Lc for manufacturing Aerospace EnginesSkorsky Lc for manufacturing Aerospace Engines
HAL Enters into Agreement with BOEING forHAL Enters into Agreement with BOEING for
supply of Flaperonssupply of Flaperons
Mahindra Aerospace has Partnered with RollsMahindra Aerospace has Partnered with Rolls
Royce to Make Aircraft Engines in INDIARoyce to Make Aircraft Engines in INDIA
Roads and Flyovers to be Built for betterRoads and Flyovers to be Built for better
infrastructure and Transportation ofinfrastructure and Transportation of
Passengers to HotelsPassengers to Hotels
Better Tourism Attaction is Missing due toBetter Tourism Attaction is Missing due to
poor maintenance of Roadways.poor maintenance of Roadways.
Absense of Technical ManpowerAbsense of Technical Manpower
Lack of Comprehensive IT basedLack of Comprehensive IT based
operational Systemsoperational Systems
Frequent Rise in FuelFrequent Rise in Fuel
Maintence of Aircraft a Major ExpenditureMaintence of Aircraft a Major Expenditure
Lack of Government Support to PrivateLack of Government Support to Private
Internal Tax SystemInternal Tax System
Domestic AirLine CompetitionDomestic AirLine Competition
Unrest Political SituationUnrest Political Situation
Final NoteFinal Note
Rise the level of Foreign Tourist and HealthRise the level of Foreign Tourist and Health
Government Support for PassengerGovernment Support for Passenger
Domestic And International Passengers areDomestic And International Passengers are
in Rise due to Indian Openings andin Rise due to Indian Openings and
Demand Rise.Demand Rise.
New Airlines Crops due to Low EntryNew Airlines Crops due to Low Entry
Barriers like 10 Million Slot for Opening.Barriers like 10 Million Slot for Opening.
Indian Aviation Sector is regulated byIndian Aviation Sector is regulated by
Ministry of Civil AviationMinistry of Civil Aviation
Director General of Civil AviationDirector General of Civil Aviation
Airport Authority of India (AAI)Airport Authority of India (AAI)
Airport Economic Regulatory AuthorityAirport Economic Regulatory Authority
International Air Transport Assn ( IATA -International Air Transport Assn ( IATA -
Canada )Canada )