BOEING, in its recent India Current Market Outlook, has projected a worldwide demand for 38,050 new airplanes over the next 20 years, with India carriers needing more than 4.5 per cent of the total global demand.
India will need 1,740 new airplanes, valued at US$240 billion, which includes 20 regional jets, 1,460 single-aisle and 26 wide-body aircraft.
Dinesh Kaskar, senior vice president of Asia Pacific and India sales, Boeing Commercial Airplanes, said in a press statement: "The Indian market is highly competitive and airlines are adapting with added capacity, moderate pricing discipline and new business models, such as...low-cost carriers."
“India’s potential for air travel growth (both for leisure and business) continues to be strong and we remain confident in the Indian commercial aerospace market,” he added.
SpiceJet is among the many Indian airlines that is growing its fleet. It has placed a US$4.4 billion order with Boeing for 42 737 Max aircraft. For this fiscal year alone, it intends to increase its number of Boeing airplanes to 25 or 26 from the current 20.
Kiran Koteshwar, CFO of SpiceJet, said: “We are currently focused on single-aisle aircraft and Q400s fit into our regional strategy. As growth is expected from Tier Two and Tier Three cities, we are in discussion with aircraft manufacturers for a firm bulk order and expect to close the same by this fiscal (year).”
Boeing is not the only aircraft manufacturer to benefit from India's growing air travel sector. Indian budget airline IndiGo confirmed orders for 250 A320neo aircraft last week, making it Airbus' largest order of single-aisle aircraft.
As well, New Delhi-based airline Vistara is adding three new A320neo aircraft by this yearend and is expected to grow its fleet with another 11 by 2018.