Prime Minister Narendra Modi inaugurated new airports under the regional connectivity UDAN scheme on Sunday, located in Rewa (Madhya Pradesh), Ambikapur (Chhattisgarh), and Saharanpur (Uttar Pradesh). The event took place from Varanasi, coinciding with the 8th anniversary of the national civil aviation policy (NCAP) 2016.
These airports will soon facilitate subsidized regional flights, creating significant opportunities for economic growth and regional development. The government is supporting the aviation sector with incentives such as 100% tax exemptions for UDAN airport projects for a decade and full customs duty exemptions for maintenance, repair, and overhaul service providers.
Industry leaders welcomed these developments; Rahul Bhatia, MD of InterGlobe Aviation and IndiGo, praised the government for its rapid and efficient airport development efforts. Akasa Air CEO Vinay Dube remarked on a promising future for airlines, predicting significant profitability over the next decade. Jaideep Mirchandani, chairman of Sky One, noted that air travel has become more inclusive, thanks to expanded services in smaller cities.
According to the India Brand Equity Foundation (IBEF), the demand for air travel in India is rising, with projections indicating a need for over 2,200 aircraft by 2042. Additionally, more than 30 airport development projects are currently underway in Northeast India. Joshua Ng, director at Alton Aviation Consultancy, highlighted that India possesses the necessary elements for success and is progressing in the right direction.
Since the launch of the first UDAN flight from Shimla to Delhi on April 27, 2017, over 14 million passengers have utilized UDAN services across 600 routes, as reported by the aviation ministry. The scheme encompasses various aircraft types, from Airbus A320 and Boeing 737 to smaller planes and helicopters, enhancing air connectivity to smaller towns.
