# India resists calls for more air access in drive to be global aviation force
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2023-03-22
Category: NEWS
Category URL: https://financedigest.com/category/news
Meta Title: India&#039;s Aviation Minister Urges Domestic Carriers to
Meta Description: Discover how India aims to boost air travel by urging local carriers to fly long-haul, establish hubs and increase production. Get the latest updates now.
URL: https://financedigest.com/india-resists-calls-for-more-air-access-in-drive-to-be-global-aviation-forcehtml

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By Aditi Shah and Tim Hepher

NEW DELHI (Reuters) -India dampened foreign airline hopes for more access to its airports on Tuesday, with its aviation minister urging domestic carriers to fly long-haul and help establish new hubs as it seeks to recapture control of Indian travel from foreign rivals.

It is also asking aerospace companies to step-up local production and will soon finalise rules to safeguard rights of lessors on repossession of jets, in a bid to level up with major global aviation markets, Jyotiraditya Scindia told Reuters.

“India is now at that inflection point,” Scindia said during an interview at his office in New Delhi.

We are going to [see an explosion of air traffic](https://www.financedigest.com/fraport-sees-2023-passenger-traffic-at-80-90-of-pre-pandemic-levels.html "Fraport sees 2023 passenger traffic at 80-90% of pre-pandemic levels") in India in the years to come,” he said, adding he wanted domestic carriers to look at international expansion with greater focus.

The South Asian nation is one of the fastest-growing aviation markets in the world where demand for air travel is outstripping the supply of planes, but the bulk of [international traffic is captured by global](https://www.financedigest.com/international-investment-soars-as-albania-steps-into-global-spotlight.html "INTERNATIONAL INVESTMENT SOARS AS ALBANIA STEPS INTO GLOBAL SPOTLIGHT") carriers with efficient hubs.

Now, India wants to harness these economic gainsa for itself by [boosting growth](https://www.financedigest.com/uk-businesses-call-for-looser-immigration-rules-to-boost-growth.html "UK businesses call for looser immigration rules to boost growth") of its airlines and airports.

Air India last month placed a [record order for 470 jets and is making an aggressive push](https://www.financedigest.com/energy-bill-support-pushes-uk-budget-deficit-to-february-record.html "Energy bill support pushes UK budget deficit to February record") in the international market. Domestic rival IndiGo is also in talks for a new order of more than 500 planes, [Reuters reported](https://www.financedigest.com/indonesia-to-tighten-used-shoe-import-controls-after-reuters-report.html "Indonesia to tighten used shoe import controls after Reuters report") earlier this month, even as it waits to take delivery of the same number from an older order.

Scindia said India was not looking at increasing [air traffic quotas with Gulf states](https://www.financedigest.com/wizz-air-loses-fight-against-67-million-in-state-aid-for-romanian-rival.html "Wizz Air loses fight against  million in state aid for Romanian rival") and instead wanted Indian carriers to offer non-stop long haul flights on larger planes. He said Air India’s widebody plane [order and IndiGo’s twin-aisles to some destinations were signs](https://www.financedigest.com/fingerprint-cards-ab-signs-partnership-gemalto-secures-worlds-first-volume-order-fingerprint-sensors-dual-interface-payment-cards.html "Fingerprint Cards AB signs partnership with Gemalto and secures the world’s first volume order of fingerprint sensors for dual-interface payment cards") that “transition” had begun.

India is also mobilising to handle the transportation [needs of its population of 1.3 billion by building new airports in the country’s](https://www.financedigest.com/5-countries-you-need-to-have-an-offshore-account-in.html "5 Countries You Need To Have An Offshore Account In") remotest parts and expanding capacity at major ones.

Domestic and international passenger traffic through six major metro airports is expected to more than double to 420 [million over the next five years and India’s](https://www.financedigest.com/nissan-renault-to-invest-600-million-to-make-6-new-models-in-india.html "Nissan, Renault to invest 0 million to make 6 new models in India") fleet is set to grow to over 2,000 planes from 700 today, Scindia said.

He is working with some airlines and Delhi airport to create a hub and spoke model in the capital that will allow seamless transition of passengers hopping off domestic flights and on to their [international connections](https://www.financedigest.com/international-law-firm-calls-in-viato-connect-uk-and-us-offices.html "INTERNATIONAL LAW FIRM CALLS IN VIATO CONNECT UK AND US OFFICES") and vice versa.

[“Today my hubs are in either the eastern border of my country or the western](https://www.financedigest.com/western-digital-transforms-the-mobile-experience-with-new-high-performance-solutions-designed-to-address-todays-and-tomorrows-consumer-demand-for-high-quality-content.html "Western Digital Transforms the Mobile Experience with New High-Performance Solutions Designed to Address Today’s and Tomorrow’s Consumer Demand for High-Quality Content") border of my country. With the scale that I have, I must create a hub within India,” said Scindia.

But even with hundreds of new planes on order, and India’s history of airline failures such as Kingfisher and Jet Airways, Scindia said he was not concerned this would lead to any oversupply because the country’s economy, [rapid urbanisation and underpenetrated air travel market would support growth](https://www.financedigest.com/synapse-appoints-new-finance-and-operations-manager-to-support-the-rapid-growth-of-the-business.html "Synapse appoints new Finance and Operations Manager to support the rapid growth of the business").

Earlier, airports and airplanes would only go to those [cities that presented a great economic growth story to make the rationale for that investment](https://www.financedigest.com/investing-in-the-city-thats-investing-in-itself-welcome-to-the-liverpool-of-the-future.html "INVESTING IN THE CITY THAT’S INVESTING IN ITSELF – WELCOME TO THE LIVERPOOL OF THE FUTURE!  "). Today, it is airports and airlines that are determining [economic growth,”](https://www.financedigest.com/german-economic-growth-to-remain-muted-in-near-term-imf.html "German economic growth to remain muted in near term – IMF") said the 52-year-old minister.

“That whole paradigm has changed.”

(Reporting by Aditi Shah, Tim Hepher; Editing by Andrew Heavens and Mark Potter)


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