How much demand will increase in the aviation industry in the coming time?

How much demand will increase in the aviation industry in the coming time?

Posted on : 23 July, 2021 12:18 pm

Civil Aviation Minister set the study that said that nearly four million employment will increase in the coming 20 years. Domestic aviation projects it for improving economic activities and labor productivity. They need to have a plethora of skill development programs at various levels, the study has suggested setting up the National Civil Aviation Training Entity (NCATE). The study, done by ICRA Management Consultancy Services Ltd (iMacs), comes at a time when the ministry is in the advanced stages of finalizing the civil aviation policy.

The report said, “ Our estimate indicates that by 2035, the Indian civil aviation sector (across the study segments of airport, airlines, cargo, MRO and ground handling) will employ 0.8 to 1 million personnel directly and another 3 million indirectly (for 1 direct job about 3.5 indirect jobs are created).”

“For the direct employment opportunities estimated, the airline’s segment contributes the maximum share of 32 percent followed by cargo at about 25 percent, the airport at 23 percent (which also includes contractual staff), ground handling about 17 percent and MRO about 3 percent.”

It will take at least $1.83 billion to develop airport infrastructure by 2026. At present the Indian Civil Aviation MRO market is approx $900 million. Also, by 2025 it will grow almost $4.33 billion. It increases at a CAGR of about 14-15 percent.