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Wednesday, Oct 19, 2005


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`Systems, safety can power Indian aviation'

Our Bureau

New Delhi , Oct 18

THE Indian aviation sector must improve its infrastructure and enhance safety standards to be able to tap the full potential of the growing air transport sector, the International Air Transport Association (IATA) said today.

The Director General and CEO of IATA, Mr Giovanni Bisignani, said during a presentation at the Confederation of Indian Industries (CII) here today that India faced five challenges in its bid to realise the potential in air transport.

These are enhancing safety, cost efficient improvement in infrastructure, reasonable taxation, freedom to do business and simplifying business procedures, and use of technology.

Stressing on the safety aspect, Mr Bisignani said, "I hope to see all of India's carriers committed to IOSA before our annual general meeting in June 2006" and urged the Government to make IOSA a part of its safety programme.

He said the Indian air transport sector was one of the most vibrant and fastest growing in the world.

But it could be a bigger catalyst for economic growth if critical bottlenecks in the system are removed.

He said that the Indian aviation sector is expected to grow more than 8 per cent annually over the next few years.

"Normally growth in aviation industry is double the GDP growth rate. If Indian GDP is to grow at 7.2 per cent annually then aviation should grow by 15 per cent," he said.

"The government policy is moving in the right direction. Now we need to see some results urgently to keep pace with rapid growth. We need results fast, or a great start could turn into a disaster," he said.

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