IATA calls for new Indian aviation policy

The International Air Transport Association (IATA) has called for the development of a comprehensive policy for aviation aligned with the Indian Government’s stated intention to make it easier to do business in India.


The International Air Transport Association (IATA) has called for the development of a comprehensive policy for aviation aligned with the Indian Government’s stated intention to make it easier to do business in India.  The objective is to allow India to derive maximum social and economic benefits as its aviation market grows to become the third largest in the world. That is expected to happen in 2029 when the number of travelers to, from and within India will near 280 million annually.

“Already aviation and aviationrelated tourism support seven million Indian jobs and US$23 billion of India’s GDP. The healthy growth of the sector has the potential to expand these benefits tremendously. But there are immense challenges which must be overcome – as seen in the sector’s financial performance. While demand growth is robust and some airlines are generating profit, sector-wide losses for India are still expected to exceed $1 billion this year. Onerous regulation and processes, debilitating taxes and expensive infrastructure are holding back the industry’s ability to deliver greater economic benefits to India,” said Tony Tyler, IATA’s director general and CEO.

He also noted that regulation is also holding back the development of the sector. “Well-intentioned regulations, but which are inconsistent with global standards, make doing business in India very difficult for the airlines. India imposes rules and requirements that are not seen anywhere else,” said Tyler.