Friday, January 14, 2011

Airlines Industry Growth should be matched by the Aviation Infrastructure Growth

The Global Flights analysts are perplexed at the Size of Indigo's Aircraft deals and they are sitting over and calculating what the Indian aviation market has to  offer. While most of them realize that the flight sector boom in India is set to continue at the same pace and emergence of some Global Indian Airlines is eminent many of them also point out the dismal state of the Aviation Infrastructure such as Airports and high tariff structure for Fuels and Aircraft landing.


Rising economic profiles of People driven by a booming economy has also pushed up the demands for airlines particularly the suburban towns and this phenomenon is best exploited by the Airlines such as Indigo which offers Low cost carrier model. Further liberalization of the airlines sector has seen intense competition among the airlines and reduction of Airlines Booking prices.


But for capitalizing on the aviation Boom what is being forgotten is the investment in boosting aviation Infrastructure is not keeping pace with the airlines industry growth. Unless this happens , for example provision of airports in the suburban towns, the expansion phase of the airlines Booking  will soon be marked by slump in demand, which may be presently concentrated to the metros.

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