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India Business Aviation Market Size, Growth, Outlook to 2030: Ken Research

08-08-2023 08:54 AM CET | Advertising, Media Consulting, Marketing Research

Press release from: Ken Research Pvt .Ltd

India Business Aviation Market Size, Growth, Outlook to 2030:

What Is The Size Of India Business Aviation Industry?

India Business Aviation Market is growing at a CAGR of ~% in 2017-2022 and is expected to reach ~USD Bn by 2030.

The India Business Aviation Market is largely driven by urbanization, rising HNWIs, technological advancements, air connectivity expansion, and growing demand in sectors like tourism, e-commerce, healthcare, and government initiatives.

Improvements in airport infrastructure, including the development of dedicated private jet terminals and Fixed Base Operators (FBOs), have boosted the growth of the business aviation market as it provides enhanced facilities and services cater specifically to the needs of business aviation users, offering convenience, efficiency, and privacy.

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Regulatory reforms by the Indian government, such as the liberalization of aviation policies, easing of customs and immigration procedures, and simplification of bureaucratic processes, have encouraged foreign investment and made it easier for international business aviation operators to enter the Indian market.

The Indian government's initiatives to attract foreign investment in various sectors have positively impacted the business aviation market. Growing FDI in industries such as manufacturing, information technology, and services has led to an increased demand for private air travel, as foreign companies require efficient and flexible transportation options.

Business aviation companies expanding their operations in Tier-II and Tier-III cities across India have contributed to market growth.

India Business Aviation Market By Revenue Stream

The India Business Aviation market is segmented by Revenue Stream into Aircraft Charter Income, MRO Services, Ground Handling, Aircraft Sales Commission and Hospitality Services (F&B) & Aviation Academy.

Air Charter Income has captured a major part, accounting for highest market share in financial year 2022.

Major players focus on charter operations and outsource related services to other companies. MRO occupies second highest share with Mumbai being home to over 80% of the MRO facilities in the country. Ground handling followed by Aircraft sales commission and hospitality services (F&B) has been the third, fourth and fifth highest revenue streams respectively in 2022.

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India Business Aviation Market By Fleet Type

The India Business Aviation market is segmented by Fleet type into Helicopters, Turboprops and Jets.

Helicopters are the most demanded air-object type in the business aviation sector of India. It covers almost half of the market share in financial year 2022 in terms of fleet size.

The inherent flexibility of helicopters makes it an appropriate choice for air ambulance, transportation, slung work, pilgrimage visits and for politicians during elections. Use of helicopters for off-site operations such as for oil & gas stations, ore sites, mineral traction and others have resulted in its big fleet size. Business jets have the second highest share, followed by turboprops.

India Business Aviation Market By Region

The India Business Aviation market is segmented by Region into North, South, East and West.

The western and northern regions have been preeminent in registered fleet for business aircrafts. Delhi and Mumbai, two business and medical centers of the country, witness the highest demand. Dominance of huge number of wealthy individuals, major political movement and presence of renowned hospitals has led to such proportionate shares.

They are also the base of a number of operators or aircraft management companies. Mumbai is also the home of the sole business aviation airport in India. East, northeast and central parts of India have a meager share. However, the situation is likely to change with the regional connectivity program of the government in the years to come.

Competition Scenario In India Business Aviation Market

The business aviation market in India is witnessing a competitive landscape with multiple players vying for market share. The market comprises a mix of international and domestic companies offering a range of services, including aircraft parts manufacturing, aircraft management, charter services, and fractional ownership.

Competition is driven by factors such as service quality, fleet size, geographic coverage, and pricing strategies. The market is currently experiencing steady growth, with increasing demand from high-net-worth individuals, corporate entities, and industries like tourism and healthcare. Companies are focusing on enhancing customer experience, expanding their fleet, and exploring innovative business models to gain a competitive edge in the dynamic Indian business aviation market.

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What Is The Expected Future Outlook For The Overall India Business Aviation Market?

The India Business Aviation market was valued at USD ~billion in 2022 and is anticipated to reach USD ~ billion by the end of 2030, witnessing a CAGR of ~% during the forecast period 2022-2030. The realistic growth scenario represents the most likely scenario as per current market conditions. This scenario assumes that there will be no overall impact on the market due to any potential COVID-19 waves in the future.

The India Business Aviation market is driven by urbanization, rising HNWIs, technological advancements, air connectivity expansion, and growing demand in sectors like tourism, e-commerce, healthcare, and government initiatives. However, the market is also constantly being influenced by rapid development in technology, product innovation, and diversification in some countries.

India's ongoing urbanization process is expected to drive the demand for business aviation in the future. As more cities develop and become economic hubs, there will be a growing need for efficient and flexible transportation options for business travelers, leading to increased demand for private aircraft.

As the India's Economic development rises, the number of high-net-worth individuals in India is projected to increase significantly in the coming years. HNWIs are more likely to use business aviation for their travel needs, driving the demand for private jets and charter services.

Advancements in aviation technology, including the development of quieter, more fuel-efficient aircraft, will make business aviation more sustainable and cost-effective. These technological advancements will attract more businesses and individuals to opt for private aviation, leading to market growth.

The Indian government's focus on enhancing air connectivity by developing regional airports and increasing regional air routes will boost the business aviation sector. Improved accessibility to smaller cities and remote areas will attract business travelers who require efficient transportation to these locations.

India's tourism and hospitality industry is experiencing robust growth, attracting both domestic and international travelers. Business aviation plays a crucial role in facilitating travel to tourist destinations, luxury resorts, and remote locations, catering to the unique needs of high-end travelers and boosting the market's growth.

The rapid growth of e-commerce and logistics in India will contribute to the demand for business aviation services. Delivery companies and e-commerce giants require efficient transportation of goods and executives to support their expanding operations, leading to increased utilization of private aircraft.

For More Insights On Market Intelligence, Refer To The Link Below: -

India Business Aviation Market Outlook to 2030
https://www.kenresearch.com/automotive-transportation-and-warehousing/general-transportation/india-business-aviation-market/170612-100.html

Related Reports By Ken Research:-

India Aviation MRO Market Outlook to 2028
https://www.kenresearch.com/defense-and-security/defense/india-aviation-mro-market/174403-16.html

India Ground Handling Services Market Outlook to 2026
https://www.kenresearch.com/automotive-transportation-and-warehousing/general-transportation/india-ground-handling-services-market/155051-100.html

India.

Ken Research is a Market Research and Consulting Firm, based out of India, Indonesia and UAE. Since 2011, we have been assisting clients globally with our Syndicate and Bespoke Market Research and Advisory Services.

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