Civil Aviation Minister Suresh Prabhu has said that the Indian aviation sector is growing exponentially and added that the Indian Aviation will become the largest aviation market if the trend continues.

"Indian aviation sector is growing exponentially. Last month, we grew at 20 percent. If the trend continues, we will be the largest aviation market in the world and this would create the kind of job opportunities one cannot imagine," he said.

Prabhu was in Goa's Mopa to review the work on the Greenfield international airport being constructed by the GMR Goa International Airport Limited, a special purpose vehicle formed by the GMR Airports Limited.

He also said that by 2025, millions of tourists would be coming to Goa only because of this airport.

"Tourists coming in would mean the creation of many jobs in the state. Mopa airport has the potential to be an international aviation hub in south India because the entire west coast of India is serviced from here," Prabhu said.

He informed that 234 acres of land allotted for commercial exploitation around the airport should be developed into an entertainment zone.

Civil Aviation Minister Suresh Prabhu has said that the Indian aviation sector is growing exponentially and added that the Indian Aviation will become the largest aviation market if the trend continues

Civil Aviation Minister Suresh Prabhu has said that the Indian aviation sector is growing exponentially and added that the Indian Aviation will become the largest aviation market if the trend continues. "Indian aviation sector is growing exponentially. Last month, we grew at 20 percent. If the trend continues, we will be the largest aviation market in the world and this would create the kind of job opportunities one cannot imagine," he said. Prabhu was in Goa's Mopa to review the work on the Greenfield international airport being constructed by the GMR Goa International Airport Limited, a special purpose vehicle formed by the GMR Airports Limited. He also said that by 2025, millions of tourists would be coming to Goa only because of this airport. "Tourists coming in would mean the creation of many jobs in the state. Mopa airport has the potential to be an international aviation hub in south India because the entire west coast of India is serviced from here," Prabhu said. He informed that 234 acres of land allotted for commercial exploitation around the airport should be developed into an entertainment zone.

Indian aviation sector growing exponentially: Suresh Prabhu

India remodeled rules governing the world&#39;s fastest-growing aviation market on Wednesday to make it easier for new airlines to fly overseas, aiming to boost air travel and economic growth. 
 
Prime Minister Narendra Modi&#39;s government presented the national civil aviation policy, which has been years in the making, in a bid to make flying more affordable for India&#39;s expanding middle class, bolster competition and get more of the country connected. 
 
Implementing the policy is a sign that Modi&#39;s government is beginning to find traction with key reforms, which also included the recent introduction of new real estate and bankruptcy laws, after a series of setbacks in his first two years in office. 
 
Under the policy, domestic carriers will no longer have to operate for five years before they can fly abroad, known as the 5/20 rule, although they must still deploy 20 aircraft or 20 per cent of total capacity in India, whichever is higher. 
 
The change, effective immediately, is a boost for Tata Group&#39;s two recent ventures - Vistara, in partnership with Singapore Airlines, and AirAsia India, with Malaysia&#39;s AirAsia Bhd - and could encourage other foreign carriers to enter the country. 
 
&quot;We need more airlines, more aircrafts serving our Indian skies, so if more airlines want to come to India they are welcome,&quot; said Ashok Gajapathi Raju,&nbsp;aviation minister. 
 
Passenger numbers on domestic flights jumped 21 per cent in 2015 to more than 80 million. The government aims to increase that number to 300 million by 2022. 
 
International travel is growing more slowly, at nine per cent a year, but newer airlines are eager to start flying overseas where routes can be more lucrative than in the fiercely competitive domestic sector. 
 
Easing the 5/20 rule, unique to India, marks a further step towards liberalising the country&#39;s aviation market. 
 
While the change is a boost for the new carriers, incumbents like Etihad-backed Jet Airways, InterGlobe Aviation&#39;s Indigo Airlines and SpiceJet that already fly overseas had lobbied hard to keep the rule in place. 
 
However, Vistara, with 10 jets, is at least a year away from having the 20 planes needed to fly abroad, meaning that there is no immediate threat to the established players. 
 
AirAsia India has only six A320 planes but its CEO said it would accelerate fleet expansion plans. 
 
&quot;We will now take that (rule change) into account and invest in India to get to that 20 mark as soon as possible, as soon as viable,&quot; CEO Amar Abrol said. 
 
Shares in Jet Airways, InterGlobe and SpiceJet rose on news the civil aviation policy had been approved. 
 
REGIONAL CONNECTIVITY 
 
The government also announced it would cap base fares on regional routes at 2,500 rupees ($37) per hour of travel to get more people flying to and from under-served destinations, with the government providing part of the funding to make it viable. 
 
The cap does not affect the most popular routes, like New Delhi to Mumbai. 
 
Funding for new &quot;no-frills&quot; airports would also be made available and excise duty on fuel would be cut, civil aviation secretary R. N. Choubey said. 
 
India&#39;s air travel market has boomed in the last decade as it opened up to competition, ticket prices were slashed and the number of people wealthy enough to travel ballooned. 
 
Still, India&#39;s annual trips per capita, at 0.04, is low as compared to 0.3 in China. 
 
Amber Dubey, head of aerospace at KPMG in India, said he welcomed the focus on regional connectivity and replacing the 5/20 rule, predicting it would accelerate growth. 
 
&quot;The National Civil Aviation Policy ... is likely to enhance that further by taking flying to the masses through a slew of policy initiatives and fiscal and monetary support,&quot; Dubey said. 
 
&nbsp;

Condition of five-year domestic deploy by airlines for an international license is relaxed but it must have at least 20 jets in service

India remodeled rules governing the world's fastest-growing aviation market on Wednesday to make it easier for new airlines to fly overseas, aiming to boost air travel and economic growth. Prime Minister Narendra Modi's government presented the national civil aviation policy, which has been years in the making, in a bid to make flying more affordable for India's expanding middle class, bolster competition and get more of the country connected. Implementing the policy is a sign that Modi's government is beginning to find traction with key reforms, which also included the recent introduction of new real estate and bankruptcy laws, after a series of setbacks in his first two years in office. Under the policy, domestic carriers will no longer have to operate for five years before they can fly abroad, known as the 5/20 rule, although they must still deploy 20 aircraft or 20 per cent of total capacity in India, whichever is higher. The change, effective immediately, is a boost for Tata Group's two recent ventures - Vistara, in partnership with Singapore Airlines, and AirAsia India, with Malaysia's AirAsia Bhd - and could encourage other foreign carriers to enter the country. "We need more airlines, more aircrafts serving our Indian skies, so if more airlines want to come to India they are welcome," said Ashok Gajapathi Raju, aviation minister. Passenger numbers on domestic flights jumped 21 per cent in 2015 to more than 80 million. The government aims to increase that number to 300 million by 2022. International travel is growing more slowly, at nine per cent a year, but newer airlines are eager to start flying overseas where routes can be more lucrative than in the fiercely competitive domestic sector. Easing the 5/20 rule, unique to India, marks a further step towards liberalising the country's aviation market. While the change is a boost for the new carriers, incumbents like Etihad-backed Jet Airways, InterGlobe Aviation's Indigo Airlines and SpiceJet that already fly overseas had lobbied hard to keep the rule in place. However, Vistara, with 10 jets, is at least a year away from having the 20 planes needed to fly abroad, meaning that there is no immediate threat to the established players. AirAsia India has only six A320 planes but its CEO said it would accelerate fleet expansion plans. "We will now take that (rule change) into account and invest in India to get to that 20 mark as soon as possible, as soon as viable," CEO Amar Abrol said. Shares in Jet Airways, InterGlobe and SpiceJet rose on news the civil aviation policy had been approved. REGIONAL CONNECTIVITY The government also announced it would cap base fares on regional routes at 2,500 rupees ($37) per hour of travel to get more people flying to and from under-served destinations, with the government providing part of the funding to make it viable. The cap does not affect the most popular routes, like New Delhi to Mumbai. Funding for new "no-frills" airports would also be made available and excise duty on fuel would be cut, civil aviation secretary R. N. Choubey said. India's air travel market has boomed in the last decade as it opened up to competition, ticket prices were slashed and the number of people wealthy enough to travel ballooned. Still, India's annual trips per capita, at 0.04, is low as compared to 0.3 in China. Amber Dubey, head of aerospace at KPMG in India, said he welcomed the focus on regional connectivity and replacing the 5/20 rule, predicting it would accelerate growth. "The National Civil Aviation Policy ... is likely to enhance that further by taking flying to the masses through a slew of policy initiatives and fiscal and monetary support," Dubey said.

India overhauls aviation rules to boost air travel

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Indian aviation sector growing exponentially: Suresh Prabhu

India overhauls aviation rules to boost air travel