Massive Aircraft Order in India: IndiGo Surges as Indian Aviation Potential Soars

2023-06-19 22:34:25

This “historic” order was revealed on the first day of the Le Bourget air show in the presence of the executive chairman of the Franco-German manufacturer Airbus, Guillaume Faury. “No one has ever made an order of this size, and it testifies to the potential of Indian aviation,” added Pieter Elbers, defector from the Dutch company KLM, on the podium of a crowded press room.

The European aircraft manufacturer has not updated its catalog prices since 2018, and Guillaume Faury refused to communicate the amount in the contract revealed on Monday. But, according to the last known price, this transaction might reach a trifle of 55 billion dollars.

A fast-growing Indian market

The order brings to no less than 1,230 the number of models of this type ordered by the company IndiGo, which intends to surf on the explosion in demand for air travel in India and which has already seen the delivery of 253 aircraft of the A320neo family. .

Read also: International aviation signs its return, despite everything

India is the third largest air transport market in the world. According to Airbus forecasts, its air traffic should experience an average annual growth of 6.6% over the next two decades, a rate almost twice as high as the world average. In its updated forecast last week, the aircraft manufacturer estimated that between 2023 and 2042, Indian domestic traffic should increase fivefold. “As India’s economy wakes up, we have a tremendous opportunity to bring air travel within reach of as many Indian customers as possible,” said Pieter Elbers, whose company now operates 1,800 flights a day. , 16 years following its foundation.

Another Indian company, Air India, was behind the previous largest order of civilian aircraft in history, 470 units last February, but broken down between 250 to Airbus and 220 to its American competitor Boeing. It included both single-aisle and wide-body aircraft, at higher prices.

“The return of the good old days of living room excitement”

Largest in the world in terms of number of visitors – 320,000 people expected, the general public having access from Friday – the Paris Air Show is traditionally marked by mega-orders of aircraft, flight demonstrations and technological presentations. He saw French President Emmanuel Macron’s visit on Monday.

Read also: Technical defects, consequences of the pandemic: aircraft manufacturers struggle to restart

This 54th edition, placed under the sign of the climate crisis and the societal pressures exerted on a sector contributing to nearly 3% of global CO2 emissions, is presented as “the show for recovery” following the pandemic. It is “the return of the good old days of the excitement of the show”, enthused Guillaume Faury. As global air traffic is on track to return to pre-Covid levels, companies are looking to renew their fleets with more profitable aircraft that consume less fuel.

But for 14 environmental defense NGOs, the Paris Air Show illustrates on the contrary “climate denial”. “Without limiting air traffic, we will not be able to sufficiently reduce emissions, noise or pollution due to the sector, in the time available”, affirmed these organizations united under the banner “Stay Grounded”, (“stay grounded”, but also “be realistic”).

Read also: Genève Aéroport expects heavy traffic this summer
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