Revising its forecast of next two decades from 1740 planes to 1850 aircraft, Dinesh A Keskar, Boeing’s Senior Vice President, accounted this jump to the low crude oil prices and the increase in domestic travellers. The company is optimistic of the market. The company finds orders coming in from Jet Airways and SpiceJet, mostly for replacements. Deliveries are expected to begin in 2018.
Last month, the Indian government scrapped the 5/20 rule for International travel. The government is also encouraging local air travel by opening up new airports in smaller cities. By capping airfares, it is trying to make airways accessible to all.
Boeing has predicted a worldwide demand for 39,620 aircraft over the next 20 years, putting India’s share of the total at less than 5 per cent.