The aviation industry in India has grown rapidly since liberalization in the 1990s. It has transformed from a government-owned industry to one dominated by private airlines. Low-cost carriers now account for 75% of the domestic market. While traffic growth has exceeded countries like China and Brazil, the industry now faces challenges like rising oil prices, losses for some airlines, and infrastructure constraints at airports.

2. Airline industry in india
by
Nikhil EP

3. History of Aviation Industry in India
• The origin of Indian civil aviation industry can be
traced back to 1912, when the first air flight between
Karachi and Delhi was started by the Indian State Air
Services in collaboration with the UK based Imperial
Airways.
• It was an extension of London-Karachi flight of the
Imperial Airways.
• In 1932, JRD Tata founded Tata Airline, the first Indian
airline.
• At the time of independence, nine air transport
companies were carrying both air cargo and
passengers.
• These were Tata Airlines, Indian National Airways, Air
service of India, Deccan Airways, Ambica Airways,
Bharat Airways, Orient Airways and Mistry Airways.
After partition Orient Airways shifted to Pakistan.

4. Aviation sector in India
 Aviation Industry in India is one of the fastest growing
aviation industries in the world.
 India is the 9th largest aviation market in the world
 With the liberalization of the Indian aviation sector, aviation
industry in India has undergone a rapid transformation.
 Traffic growth in the India market exceeded the growth rate
seen in China (9.7%) and Brazil (7.5%) in Sep-2011, and was
considerably more robust than the global growth rate of
3.8%.
 India's domestic aviation market expansion has been the
strongest in the world, tripling in the past five years,
according to IATA

5.  The government's open sky policy has led to many overseas
players entering the market and the industry has been
growing both in terms of players and number of aircrafts.
 From being primarily a government-owned industry, the
Indian aviation industry is now dominated by privately
owned full service airlines and low cost carriers. Private
airlines account for around 75% share of the domestic
aviation market.
 Earlier air travel was a privilege. only a few could afford, but
today air travel has become much cheaper and can be
afforded by a large number of people.

7. Players in Aviation Industry
The players in aviation industry can be categorized in
three groups:
 Public players : Indian Airlines
 Private players : Jet Airways, Kingfisher Airlines, Spice
Jet, Air Deccan
 Start up players : Omega Air, Magic Air, Premier Star
Air & MDLR Airlines.

8. Major Players
 Air Deccan
 Air India Express
 Air India
 Air Sahara
 Go Air
 Indian Airlines
 IndiGo
 Jet Airways
 Jet Lite
 Spice Jet
 Paramount Airways
 Kingfisher

9. Role of aviation industry in India GDP
 Air traffic has grown enormously and expected to have a
growth which would be above 25% in the travel segment
 In the present scenario around 12 domestic airlines and
above 60 international airlines are operating in India
 With the growth in the economy and stability of the
country India has become one of the preferred locations
for the trade and commerce activities

10. Cntd..
 The growth of airlines traffic in Aviation Industry in
India is almost four times above international average
 Aviation Industry in India have placed the biggest
order for aircrafts globally
 Aviation Industry in India holds around 69% of the
total share of the airlines traffic in the region of South
Asia

11. Current Scenario
 Oil prices increasing.
 Prices of air tickets are increasing.
 Merges and acquisitions.
 Sacking of employees.
 Cancellation of flights on some routes.
 Decline in rate of people traveling by air.
 Many airlines are facing losses.

12. Challenges
 Infrastructure constraints
 Shortage of airport facilities
 Parking bays
 Air traffic control facilities
 Takeoff and landing slots.
 Less than 100 airports having more than one
daily service.