Air India?s Big Deal

Air India’s Big Deal

News: Recently, the Tata Group, which acquired Air India, has placed an order for 470 new passenger planes from Airbus (France) and Boeing (USA). This is the largest ever deal in aviation in India.

Why is the deal significant?
 It reflects India’s aspirations to be a world leader in the aviation sector, which is projected to require over 2,000 aircraft in the next 15 years.
 It is expected to make India the third-largest player in the aviation sector and create new opportunities in aerospace manufacturing under India’s ‘Make in India-Make for the World’ vision.
 It will match features of international airlines like Emirates, Qatar Airways, Singapore Airlines, British Airways and Lufthansa and Enable Air India to enter, capture traffic flows and build foundations in markets such as Vietnam, Thailand, Indonesia, Malaysia and SAARC nations.
 It will facilitate significant expansion in aviation sector. The domestic civil aviation industry will become competitive and offer better services and options to the citizens.
 It will also help India to Forecast Indian aviation sector growth at a global level, Improve India’s economic growth prospects and geopolitical dynamics, and Help in leveraging geopolitical dynamics to provide a competitive edge for India’s international relations.

What are Government initiatives under Aviation sector?
 National Civil Aviation Policy, 2016
 The regional connectivity scheme or UDAN Scheme – Ude Desh ka Aam Nagrik.
 UDAN 2.0 – It lays out the vision of improving value realization through better integration and optimization of Agri-harvesting and air transportation and contributing to Agri-value chain sustainability, resilience under different and dynamic conditions.
 The Centre has earmarked a total of 25 airports for asset monetisation over the years 2022 to 2025 under the National Monetization Pipeline.

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