Quest for aviation growth

Abstract

Based on a review of the Airlines Alliances in various parts of the world, the paper comments on the choices before India. It develops the basic contours of strategy for growth of Indian aviation and notes the role of the government in this context. It suggests a step-wise approach starting with streamlining the domestic aviation scenario, enlarging the market size by treating air travel as an alternative mode rather than as something exclusive for the corporate sector. It also suggests need for adding capacity, creating openness and cooperation among the domestic players in dealing with the international competition. It further, recommends creation of maintenance and transit hubs to carve a share of the international aviation business. Finally, it recommends a gradual step-wise offer of equity partnership to preferred partners in the aeroplane and aviation equipment manufacturing industry.