CAPA India calls for a new long-term aviation policy

Aviation consultancy and research firm CAPA India on Thursday called for a new long-term aviation policy in the backdrop of the aviation landscapes witnessing rapid changes in the post-Covid period.

In a statement on Friday, the firm said the policy should plan for airport capacity that will last for a generation and beyond, must define an international air services strategy in line with India's national interests as well as restructuring of airspace design to provide capacity for up to 8-10x of the current traffic, among others.

The government had in 2016 announced a comprehensive aviation policy to give a flip to the domestic aviation industry. However, the emergence of the pandemic in early 2020 almost grounded the aviation industry globally and changed the entire dynamics.

"CAPA India (has) outlined a roadmap for the formulation of a new civil aviation policy, designed to support a transformational vision for what Indian aviation can aspire to be in 20 years from now,” CAPA India said in the statement.

The Indian aviation system, in the just-concluded financial year, handled less than 200 million airline passengers, as per the firm.

Indian aviation is at a critical inflection point. The opportunities could have positive implications for generations to come. India has to choose whether it wishes to pursue a transformative, aspirational vision or more conservative, linear growth, said Kapil Kaul, Chief Executive Officer and Director at CAPA India.

Achieving such a dramatic ramp-up in scale will require a tremendous effort across the aviation eco-system with each and every element of the industry required to play their part to realise this opportunity which, if happens by FY2043, could make Indian aviation a USD 1 trillion annual business, taking into account direct, indirect, induced and catalytic impacts, as per CAPA India.