India Set to Drive Global Aircraft Sales

The dogfight for the Indian skies may still be a few months away, but global jet makers are already trying to outdo each other to bite off the biggest chunk of the lucrative aircraft order pie

- MANISH PANT

INDIA'S AVIATION MARKET has been buzzing with activity ever since the impact of the Covid-19 pandemic waned. The entry of new players, new deals, and recovering air traffic are harbingers of the dogfight waiting to take over the Indian skies. Now, it has been reported that Air India and Jet Airways-two major Indian carriers are looking to place aircraft purchase orders worth more than $45 billion at list prices.

Air India is considering buying 300 narrow-body jets-which would be one of the largest orders in India's commercial aviation history, say reports. "The order will provide a significant opportunity for Air India to revamp its fleet, and negotiate much better rates with the manufacturers," says Rohit Tomar, Partner at aviation advisory Caladrius Aero. As the order is big, "it will be delivered over a long period. Maybe seven years from the time of order."

Some in the industry say that the Air India order could to be a mix of both narrow-body and wide-body jets. On the other hand, Jet Airways, which is yet to decide on the type of aircraft, is in talks with Boeing and Embraer, other than Airbus. "We are in final negotiations with lessors and OEMs for aircraft, and we will announce our fleet plan once we have made a decision," says a Jet Airways spokesperson. Jet is preparing for its re-launch later this year.