Vol. 01 | Issue 02 | Dec'17-Feb'18

Regional Connectivity Scheme Giving the much needed UDAN to editorial

Aviation Industry Grows Wings

Dr. BP Sharma Chairman and MD, PHL Dear Readers,

Pawan Hans is proud to announce its participation in “Wings India 2018” to be held from March 8th to 11th in . It is one of the biggest international exhibition and conference on the Aviation sector, providing a congenial forum catering to the rapidly changing dynamics of the sector, focusing on new business acquisition, investments, policy formation B2B MoUs and promoting regional connectivity. The event is jointly, inter – alia, supported by .

Pawan Hans – A Mini Ratna” CPSE of under Ministry of Civil Aviation is a leader in providing helicopter services in India focusing on Off-shore, On-shore, Corporate helicopter services and providing services for promoting Heli Tourism, smart business solutions such as helicopter emergency services, disaster management, hot line washing of transmission lines, surveillance of law & order and the regional air connectivity. Pawan Hans has been instrumental in developing world class infrastructure for helicopter industry and has developed Nation’s First Integrated heliport in last year as one-point-solution for helicopter services, skill development and MRO services. Continue with the Vision of “New Look, New Horizon”, Pawan Hans is committed to provide its best in class helicopter services and expanding its horizons towards complementary services of providing better infrastructure, skill development, MRO, and consultancy services for overall growth of Helicopter Industry in India.

Today) will provide you with in-depth view of the general aviation sector in the country andThis outside 2nd edition country. of ourThis flagship issue provides publication a detailed “Aviation knowledge Chronicle” base (formerly and analysis Aviation on Adventure and special coverage of the UDAN-II Regional Connectivity Scheme. This issue also covers industry viewpoints on the budget focusing on aviation sector.

I convey my best wishes to Pawan Hans and RJ Associates team who have been instrumental in conceptualizing and presenting before you this Wings India special issue of Aviation Chronicle.

Happy Landing… Safe Flying..

Dr. BP Sharma

december 2017- february 2018 3 ContentVolume 01 • Issue 02 • DecEMBER 2017-FebRUARY 2018

06News Vi10ewpoint Destinati24ons UP Takes the Skyway for Growth: Focus on Aviation Infrastructure Development MsfLVus'ku ,Mosapj Vwfjt~e--- bafM;u ekbyLVksUl

co12ver story Regional Connectivity Scheme Giving the much needed UDAN to India

4 december 2017- february 2018 TEAM PH GM (WR) Sanjay Kumar Head (Corporate Affair) Ram Krishan AGM (Flight Operations) Capt. R K Singh Manager (Official Language) Rajneesh Sinha

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december 2017- february 2018 5 News

New norms to set up VIP Industry helipads ordered over attled by a series of helicopter 900 aircrafts mishaps faced by chief minister RDevendra Fadnavis, the state in last one administration has decided to set up helipads only at select places, like MIDC year, Aviation estates, open playgrounds or police parade grounds in and around towns or poised to villages. The helipads’ radius should be about 500 metres without any cable, wire or high-rise building intercepting gliding take off

state have suggested. The guidelines sites before scheduling operations. ast one year saw an order of over werepaths, issued policy guidelinesby Mantralaya finalised to bylocal the 900 aircrafts by various . “While amending the policy, the state has LIt shows that the aviation sector followed guidelines which exist in Europe in the country is poised for huge administrative offices across the state. and the US. All our regulations can suit growth. Currently, there are around to be done by the collector, on whose conditions needed to operate helicopters recommendationThe basic certification the ofdirector the site willof havethe weighing around 5,700kg,” senior but that will more than triple, once 450 aircraft operating in the country, state’s civil aviation wing will inspect and the new planes are brought in over the approve it for landings and take-offs, the by directorate general of civil aviation next few years. amended policy suggested. protocol officers said. The guidelines set maximum safety during landings and Though India led global markets Civil aviation secretary Valsa Nair Singh take-offs.(DGCA) have been incorporated to ensure 2017, clogged airports and rising in a domestic air traffic growth in The biggest roadblock in creating safe fuel prices could slow it down in the confirmed that the policy had been helipads was local administrations, coming years despite several policy administrationsfinalised. The guidelines,can follow saidthem sources, easily. decisions, analysts say. A report by the Ahave review been of the simplified policy was so sought that after local agencies, who have to act in accordance research arm of rating agency Crisil the Latur mishap, when the CM and his withespecially guidelines officials while increating infrastructure helipads. in December said the growth could “Delays in budget provisions for helipads decelerate to "13-15% annually in the Operators of the helicopters carrying VIPs is another hurdle in achieving targets,”. willofficials also be escaped able to withscrutinise minor the injuries.helipad with a blistering 22% seen in FY16 five fiscals through 2022, compared year, the growth would be 17-19% Aviation industry reports its lowerand FY17." than that In in the the current last two financial years. Aviation sector worldwide is moving slowest start in four years very fast... we cannot afford to lag. For 70 years, there was no aviation policy was still the highest at 39.7%, while in India. world’s fastest-growing market the passenger load factor or capacity Aroseirline at passenger 20% in January traffic inas the11 utilisation stood at 89.7% for the month. Yet, that was the slowest pace of growth carriers like , Ltd. and million Indians flew in domestic carriers. SpicejetWhile passenger rose below traffic the industry for other average, bigger data compiled by Bloomberg Quint. The it was higher for smaller airlines like passengerin the first monthgrowth since for Interglobe 2014, according Aviation to GoAir, Air Asia, and . Ltd., the parent of IndiGo, rebounded after six subdued months. For the second half Passenger load factor, a measure of of 2017, IndiGo reported below-industry capacity utilisation, grew for only four growth due to a delay in capacity addition. carrier among the top seven: Air India, Jet Group, SpiceJet and Vistara. It fell for The company continued to lose market IndiGo, GoAir and Air Asia over a year ago. share, albeit at a slower rate in January, SpiceJet has clocked a 90% plus passenger for the seventh straight month. Its share load since May 2015.

6 december 2017- february 2018 Airports to get four new Authority of airports under UDAN

India to bring nion Minister of State for Civil in computed Uthat four cities in Chhattisgarh tomography would Aviationget airports Jayant as part Sinha of confirmedthe UDAN in Ambikapur, Bilaspur, Jagdalpur and technology, Raigarhscheme." is Workcurrently on on airports under (airstrips)the UDAN scheme and is expected to get completed to boost in the next 6-8 months possibly, said . He informed that, as soon security as the work was completed, and Air had consented to deploy miths Detection, a company 19-seater aircrafts on these routes. specializing in threat detection said that passenger trips, currently at 20 Sand screening technologies "These cities will be connected to Raipur, crore, would rise to 100 crores during for aviation, ports and borders, this period. urban security and military markets, Ranchi (Jhakhand), Jharsuguda and announced that the Airports Authority air connectivity in the eastern zone with , (Odisha) Odisha and and will Raipur ensure getting better which will increase to 1500-2000 planes "Right now airlines fly 500 airplanes, multiple CTX 9800 DSi systems at a connected by small planes," the minister as airlines operators have already placed combinedof India (AAI) value has of placedover $50 an million. order for said. there are 200 helicopters in the country firm orders for 950 planes. Presently Through a global competitive tender Stating that the aviation scenario was process conducted by AAI, Smiths set to change in the next 15-20 years, he Sinha said. which is expected increase to 400-500," Detection won the bid to install and integrate high-speed explosives

baggage screening at 11 sites across Air connectivity set for a big ninedetection airports systems in (EDS)India, forincluding hold- International Airport UDAN in and Netaji Subhas Chandra Bose International Airport in . egional air connectivity in Bihar The Indian market is forecast to be is set to take off in a big way as The government will develop a terminal the third-largest aviation market in R 80:20 ratio to ensure financial viability. the world by 2026, so security is a from the ’s Control tower, a parking apron and cargo mission-critical factor in enabling airstrip,work 150 forkm off starting Patna, civilianis progressing flights handlingbuilding completefacilities withbefore an commercial Air Traffic India’s airports to be future-ready. swiftly and plans are afoot for expansion operations start from Darbhanga. AAI manages a total of 125 airports in of two more airstrips in the state. Budget India and is responsible for creating, asked for 50 acres to develop these upgrading, maintaining and managing smaller aircraft from Darbhanga to New facilities,“Airports but Authority since ofthe India land (AAI)will cost has civil aviation infrastructure both Delhi, SpiceJet and will Bengaluru fly ATRs within or other six ` on the ground and in the air. The months. urged AAI to reduce the size of the plot organization is also responsible for 455 crore, the state government has building new terminals for the many new small airports under development will be a major boon for the people of Inrequired,” Purnea, said the a seniorIAF-controlled official. airstrip by the Government of India. Working northern“Commercial Bihar. flights Besides, from it Darbhangawill boost in partnership with Smiths Detection, the economy of the region,” said Deputy end. The state government will acquire AAI will implement ECAC Standard 3 Chief Minister Sushil Kumar Modi.Flight 50will acres see commercial near the flightsairbase, by thewhere year- a screening of hold baggage at Level 1 operations from Darbhanga, under civil enclave and other facilities will be for inline systems across the country. the UDAN scheme, are expected to be developed at a cost of `21 crore. Besides, This complies with regulations set by successful as the fares have been capped the Bihar government will soon hand the Bureau of Civil Aviation Security at ` over to AAI 108 acres of land acquired for operating under UDAN scheme will get the expansion of the IAF-owned airstrip civil aviation security in India. Central2,500 and for state one-hour government flights. subsidy Airlines in in Bihta near Patna. (BCAS), the regulatory authority for

december 2017- february 2018 7 News

Manipur to start chopper 8 helipads service for hills planned in

Churachandpur districts). The Centre Bengaluru has agreed in-principle to our proposal," Biren Singh said.Stating that the approval to airlift of the Centre was awaited, the chief minister said he has been pressing Delhi patients, on the need to introduce helicopter services in the state in view of the poor ferry VVIPs road communication network. ight helipads for as many Mobile air dispensaries would also be BBMP zones in the city. That’s introduced in the Northeast with Ethe grand plan of the Mayor, anipur will soon start helicopter and Imphal as the Airports proposed R Sampath Raj, to rescue all those services, after Arunachal bases. patients trapped in ambulances stuck MPradesh and , in its hill districts to facilitate transportation The services will be on the line of Royal he has his way, these pillar-top Flying Doctor Service of Australia, in the city’s notorious traffic jams. If help air ambulances take off in the city. of people residing in far-flung areas. which is meant to provide aid and Andhelipads yes, help on 40X60ease VIP sites movements. will finally the"Officials details of thefor transportintroduction department of a primarypopularly healthcare known as services "flying doctors",in rural and civil aviation ministry will finalise helicopter service for the hill districts. and remote areas. Everything is almost The helipad project could be implemented once it is approved for the purpose in a couple of days," said Two Pawan Hans helicopters will be used by the BBMP Council at its monthly Two government officials will visit Delhi finalised barring some technicalities. chief minister N. Biren Singh for the service. One chopper has been meeting. “I have already directed proposed to be stationed at Imphal and the BBMP commissioner to prepare government has put its demand the other at Shillong. to the home and civil aviation ministries discuss it with the Directorate General is to provide a helicopter service for The state also had requested the civil a detailed project report (DPR) and Manipur. "Our proposal is the service will aviation ministry for the services, “Theof Civil eight Aviation helipads (DGCA). will be named ` after former mayors who served the be introduced first between Imphal and with a one-time financial assistance of ministry wrote to Pawan Hans Ltd in city,” Raj explained. 'sMoreh (border Cachar town) district). and onIn thethe Imphal-second October120 crore last for year the withservices. the "Theproposal finance for Tamenglong-Jiribam route (bordering phase, services will be operated on using two choppers of the company in The service will be extended to VIPs. the routes of Imphal-Tipaimukh, the service. The Centre has also been Imphal-Henglep, Imphal-Thanlon and requested to introduce the scheme on a 90:10 funding ," the chief minister said. is“More affected. often, Each when helipad traffic can is be blocked built for VIP movements, normal traffic Imphal-Parbung (in Pherzawl and plot of land. These landing sites willon fourbe equipped pillars raisedwith elevators on a 40X60 and other facilities to help seamlessly Budget allocation for Civil shift patients to the nearest hospital. However, these structures will have Aviation sees a jump of `3,900 cr to be approved by the DGCA for their structural strength and safety. he Union Budget 2018-19 airport capacity to handle one billion proposed an increased estimated trips a year. He said that 56 unserved Tbudget allocation for the Ministry airports and 31 unserved helipads have of Civil Aviation from `2,702 cr to `6,602 been already activated under the Regional cr. A scheme to promote Seaplane both for Connectivity Scheme of the government tourism as well as to handle emergency and operations have been started on situation was proposed.On the aviation 16 such places. He stated that Airport infrastructure in the country, Jaitley said that the government will enhance the its jurisdiction. Authority of India has 124 airports under

8 december 2017- february 2018 Singapore IATA calls for addressing aviation co infrastructure crisis to secure announces JV aviation’s future with MRO in Mihan

ingapore-based AAR Corp has announced a joint venture with SIndamer Aviation which is coming up with an aircraft maintenance repair

SEZ.Indamer has been allotted 30 acres ofand land overhaul in the (MRO)SEZ and depot, construction at Mihan- is under way at the site, said sources in he International Air Transport at airports," said Alexandre de Juniac in his Aviation Development keynote address to the Singapore Airshow Tfor urgent attention to address infrastructureAssociation challenges (IATA) in isorder calling to Company (MADC). Agencies have reported that AAR has secure the industry's future. "Having DeAviation Juniac Leadership highlighted Summit the lack (SAALS). of airport announced the joint venture with the infrastructure to grow is vital to our capacity in Jakarta, Bangkok and Manila as Indamer Aviation for a new airframe industry's future. But in many key places, MRO facility at . AAR has posted it is not being built fast enough to meet "At the other end of the spectrum, we have in its website that the facility being growing demand. And there are worrying Seoul'shis top concernsIncheon inAirport. the Asia-Pacific They recently region. built in scheduled to be open trends which are increasing costs. One added runway and terminal capacity of these is airport privatizations. We without raising charges for airlines and Directorate General of Civil Aviation have not found the correct regulatory passengers. And, Incheon has extended in fall 2018 with certification from the framework to balance the interests of the an airport charges discount introduced hopes to start the project by mid 2018. two years ago. This sets a very positive (DGCA). This means that the company interest for the airport to be a catalyst example for other airports to follow. It also The world class facility is designed forinvestors economic to turn growth. a profit, All with the theoptimism public demonstrates great understanding of the to conduct heavy maintenance on all supporting strong aircraft orders will role aviation plays in linking the Korean narrow body platforms including new mean nothing if we don't have the economy to economic opportunities generation aircraft. globally," said de Juniac.

capability to manage traffic in the air and U.N. body to conduct security audit at chennai airport

From policies in place to equipment if they could resolve any existing issues. with regard to security, a four-member team from ICAO will look at every single were placed at the cargo area recently; facility in the airport. “They will see if now,Officials they said also aboutplan to 300 cover CCTV the city cameras side internationally prescribed norms are he Chennai airport, the fourth being followed, including regulatory busiest airport in the country, is all framework, passenger and baggage three(area outsidemonths. the “Some terminals areas of theinside airport) the Tset to face a major security audit by security, training of security personnel, terminalswith another have 400 not cameras been covered over the now, next the U.N. body — The International Civil the entire airport operations and security but we will install them in those places as

InAviation case, the Organisation ICAO makes (ICAO) adverse in March. remarks, aspects of aircrafts as well,” an official said. withwell,” the another air safety official system said. Input November in place International Airlines may tighten bylast the year, Director the ICAO General had said of it Civil was satisfiedAviation security checks at the transit airports. auditThe Airports nearly one Authority month ofago India(AAI) and to assess and satisfactory after a preliminary audit. airline officials started preparing for this

december 2017- february 2018 9 Viewpoint

UP Takes the Skyway for Growth: Focus on Aviation Infrastructure Development

The Central Government and the State Government are committed towards improving civil aviation sector in , the Hon’ble UP Civil Aviation minister, Shri Nand Gopal Gupta, told Aviation Chronicle in an interview. The minister further explained that the ‘Civil Aviation Promotion Policy of Uttar Pradesh 2017’ has outlined a plan to promote overall development of the civil aviation sector in UP and generate greater business and employment opportunities in the state.

Tell us about the current state of aviation and aviation support infrastructure in the state.

There is an immense potential in the air transport sector, which needs to be tapped. To make it a reality, UP Aviation Department is majorly focused on the developing an overall ecosystem for growth and sustenance. Uttar Pradesh Government, in its 'Civil Aviation Promotion Policy of Uttar Pradesh 2017', has outlined the key areas of focus which include infrastructure enhancement, regional connectivity and tourism. In the Nand Gopal Gupta, UP Civil Aviation Minister recent, “Make in UP” Summit, the Hon’ble

10 december 2017- february 2018 Union Civil Aviation Minister, Shri ahead with 9 new airports and 22 new maintenance. These incentives will be praised the Uttar routes out of which 13 of them are from provided for ten years. Pradesh Government for its initiatives for . In terms of Investment, civil aviation and increased number of we are aiming to create a favourable Common User Domestic Cargo Terminal passengers from the State. aviation. already been operationalized. Also, a UPbusiness is a tourist environment destination, in the one field focus of civilis process(CUDCT) of at establishing the Lucknow special airport facilitation has to 6.1 million passengers in the year to tap that potential, it has 212 million centers with single window clearance 2016-17The passenger on a year traffic over in yearUP grew basis by and 30% domestic tourists and the 3 million facility for the promotion of air cargo and foreign travels, these are the numbers logistics businesses are being done. metric tons) during 2016-17. The cargo from 2016. Human Resources is another isair going cargo up traffic by 32%. was In5.89 the MMT near (millionfuture, key area of focus for us, the state is What is your view on Heli tourism the aviation in the state would witness working to promote aviation-related and how is the state government robust growth. UP is likely to get nine courses in top universities of UP. Our aim promoting Heli tourism? more airports in next 15 months. The is to generate skilled workforce, the state current state of affairs is conducive to will provide scholarships and assistance With the immense potential and lots growth, keeping in mind the overall for training the aviation personnel in of tourism destination in the state of development of the state. different sectors. The idea is to generate Uttar Pradesh, Heli tourism will offer an employment vis-à-vis civil aviation. To attractive and unique option for various How has the state benefited from tourists visiting the state. UDAN 2.0 (2nd round of RCS towards overall ecosystem. The 2017 licenses being awarded)? policyboost passengerfocuses medical traffic tourismwe are working as well. The State, under the leadership of Another key area of improvement is road Hon’ble Chief Minister, Shri Yogi The Central government has extended its connectivity to the airports. Adityanath, is also seeking investments full support to make UDAN 2.0 a success to connect all tourist destinations in UP. A MoU was signed by the Central What about the development of with Helicopter service, including government, the State government and Cargo and MRO facilities? Lucknow, Ayodhaya, Varanasi, Prayag, Naimisharanya, Chitrakoot, Kushinagar, provide better regional connectivity. As There exists a potential for development and . The UP State perthe Airportsthe MoU, Authority the State andof India Centre (AAI) will to of an MRO hub near proposed Government will provide all necessary work on airports and airstrips in tier Airport in Gautam Buddh Nagar support to expand the existing network II cities which will be connected with District. Concessions and incentives on of helicopter service and will continue its each other. For Uttar Pradesh, UDAN 2.0, investment will be admissible for the cooperation on enhancing heli tourism in Allahabad will be the prime focus apart investment made for building hangar the state of Uttar Pradesh. from the other and will be connected and other such necessary facilities. Fiscal to 13 more cities. In the second phase, incentives for MRO establishment in With nine more airports, 22 new routes, eight more operational airports will the stated will be 100% reimbursement and robust growth opportunities, civil come up in , Azamgarh, , of S-GST levied on MRO job contracts aviation is carving a success story in UP. Chitrakoot, Jhansi, Moradabad, Myurpur from domestic or international airlines. The schemes have acknowledged the 50% of S-GST levied will be reimbursed areas with scope of improvement, and on the purchase of aircraft parts or the leadership is keep a close eye on their connectivity(Sonbhadra) withand Shravastirest of the in country, 15 months. other accessories used for aircraft implementation. betterUP will road see benefitsand airport in terms connectivity, of better and boost in tourism. Uttar Pradesh is amongst the states with maximum number of airports and helipads which will kick off under The passenger traffic in UP grew by scheme. Aviation is the key to the states 30% to 6.1 million passengers in the developmentthe second phase and ofover the progress, flagship this has year 2016-17 on a year over year basis been kept in mind. and air cargo traffic was 5.89 MMT What are the focus areas of (million metric tons) during 2016-17. development in the aviation sector The cargo is going up by 32%. In the in UP? near future, the aviation in the state Under the leadership of the Hon’ble would witness robust growth. UP is Chief Minister, Shri , likely to get nine more airports in Uttar Pradesh as a state is witnessing next 15 months. transformation vis-à-vis urban and rural reforms. The aviation sector is the key to the brand Uttar Pradesh. Like mentioned earlier, the aviation sector is charging

december 2017- february 2018 11 Cover Story

Regional Connectivity Scheme Giving the much needed UDAN to India By Rajeev Suman

The National Civil Aviation Policy (NCAP) was released on 15th 2016 with a view to making travel by air more accessible, and the related infrastructure more efficient. This is the first time an integrated aviation policy has ever been released, and it was long overdue. Regional connectivity Scheme was launched as a part of this policy. It is a good long-term vison to provide air connectivity to all corners of India. However, the scheme is not without its turbulences. Aviation Chronicle takes an analytical view of the scheme

12 december 2017- february 2018 t has been forecast that India has the potential to be among the top three 24 airports in the western region, 17 nations in terms of domestic and airports in the northern region, 11 in the southern region, 12 in east and 6 in Ian ideal geographical location between the internationaleastern and passengerwestern traffic.hemisphere, It has north-eastern parts of the country are a strong middle class of about 30 crore proposed to be connected under UDAN. Indians and a rapidly growing economy. However, it is currently languishing at the 1. The Regional Connectivity Scheme, government has introduced some key which affects the consumers the domestic market has become volatile. pricing orfinancial strategies. The 2. The partial scrapping of the 5/20 rule, Many10th position regional in airlines terms ofhave total failed traffic, in andthe which affects the airlines last decade. These include Paramount inchanges scheduledcommercial in thisregard, first, airlines by allowing under 3. The establishment of the ‘hybrid Airways, , and MDLR the100% automatic foreign route,and direct investment second, through (FDI) Airlines. policies set in the NCAP. earned by private airport operators till model’ for affixing therevenues In such a scenario, it has become NDA government under prime minister extremely important to address Modiintroduced some policy changes Regional connectivity scheme, also known somelong-existing concerns in the which have impacted majorly impacted asWe UDAN. are covering Keep reading the first us policy for analysis change on – industry – entry-barriers and outdated three distinctcategories of stakeholders. the other policy changes.

The Regional Air Connectivity Scheme One of the most ambitious and imperative goals of the policy is toensure better domestic connectivity by air at affordable rates. The Regional Air Connectivity Scheme, or UDAN (“Ude Desh Ka Aam Naagrik”) attempts to reduce the financial burdenon operators by:

Introducing a Revival of un-served Cost-effective Viability Gap Having central or or under-served security solutions Funding (VGF) state bodies grant airports/ routes, by Bureau of Civil corpus to bridgethe concessions in including routes Aviation Security gap between taxes and tariffs connecting Agatti (BCAS) and State expenditure and and Leh Governments revenue

The scheme has been launched to provide connectivity to un-served and underservedairports of the country through revival of existing air-strips and airports. This is the firstof its kind scheme and will be implemented for a period of 10 years. UDAN scheme will make flying easier and affordable for the common man. It aims to stimulate regional connectivity through a market-based mechanism. UDAN network will cover the whole country. Accordingly, 24 airports in the western region, 17 airports in the northern region, 11 in the southern region, 12 in east and 6 in north-eastern parts of the country are proposed to be connected under UDAN. The scheme is expected to have positive effects on the economy in terms of employment and investment. The scheme will also promote tourism and balanced regional growth.

december 2017- february 2018 13 Cover Story

Major Components The scheme has two main components: The First component is to develop new and enhance the existing regional • airports to increase the number of operational airports for the scheduled

total 98 operational including army airports)civilian flights to atfrom least 70 (in150 May airports 2016,

»(by» Initially December more 2018) withthan regular100 scheduled flights

unservedunderserved regional (no moreairports than will 7 bescheduled developed flights by December per week) 2018, and for which the initial funding of ` the enhancement of 50 regional airports45,000 millionwas approved ($700 million) in May for 2017 »» Out of total 70 airports included in

to be newly operationalised, RCS-UDANround-I, 43 areoperations regional airportshave commenced from 13 regional airports and additional 12 regional airports are ready

to receive flights, 18 regional Theairports Second stillcomponent require is significant to add upgrade (November 2017) As of now, 128 and declared in the RCS map of India. • routes have been TheseAs of now, 128 128 routes routes will have connect been 70 identified airports routesseveral to hundred connect financially-viablemore than 100 through 19-78 seater aircrafts. The underservedcapped-airfare and new unserved regional airports flight in identified and operators are Air India subsidiary Airline smaller towns with each other as well declared in the Allied Services, Air Deccan, , as with well served airports in bigger RCS map of India. Turbo Megha, and Spice Jet. cities by using "Viability Gap Funding" These 128 routes A list of 398 ‘under-served’ cities and »» Initially, three separate rounds of will connect 70 towns has been drawn up in the scheme, (VGF)bidding where for needed the award of routes airports through the routes between which would be will be concluded by the end of 19-78 seater allotted to operators on a demand-driven, 2018 aircrafts. reverse-bidding process. The concessions »» Union government share of that would be provided include a complete "Viability Gap Funding" is from 80% of the subsidy will be collected by Utilities would be provided at highly popular routes to main cities and charging a levy of up to `8,500 on each subsidizedwaiver of costs rates, for while police no and airport fire services. charges respectivethe cess appliedstate togovernments flights to • would be levied for operations in any of have also offered additional and the rest 20% will come from the the aforementioned airports. However, respectivedeparting State flight governments of domestic airlines the most attractive segment of the policy make UDAN-RCS viable Government will provide subsidy for operators seeking an entry into the benefits to the flight operators to market is the VGF scheme, whereby Scheme Modalities • operations when they will have State Governments would be required to Under this scheme, half of the seats to airlines for first three years of reimburse an applicable portion of costs on the plane will be capped at `2,500 routes to the operators. The tenure for the VGF • Onceexclusive the flyingmarket rights in these on the routes selected gets scheme remains capped at 3 years from subsidise the losses incurred by jump started, it will operate on a the date of commencement of operations, per hour’s flight. Government will • commercial basis as per market forces while the overall RCS would be applicable charging ` of supply and demand for 10 years, subject to periodic review. airlines flying to dormant airports by 2,500 per hour’s flight 14 december 2017- february 2018

Cover Story

Bidding Rounds Round 1, April 2017 Several routes became operational on in Airports Authority of India aims to December 2017. SpiceJet was the only operationalise, hundreds of routes in from 70 airports, including 27 currently bidder with zero-VGF. several rounds of UDAN-RCS, from at 128 new regional fixed-wing routes least 100 regional airports by the end of Round 2, December 2017 2018-2019. AAI will periodically publish well served metro airports and 43 UDAN-RCS Round-II: 502 new regional the updated list of participating airports operationalregional airports including (31 2 unserved civilian enclaves and 12 and helipads, with collaboration from withinunderserved, army airports),36 out of 43 were are newlyawarded made to their owners, such as central govt, state fixed-wing and helicopter routes were bid govt, commercial and private parties, and fromin 196 17 proposals airlines (55including counter 108 proposals for the in addition any entity can list their airport 5 fixed-wing airlines on 27 April 2017. from 10 airlines, and 141 initial proposals or helipad with the government for this relaunchedFive airlines airline), are Air Turbo Odisha Megha (50 Airways routes, scheme. Three rounds of bidding for new airline), Air Deccan (34 routes, unserved,fixed-wing 15 and underserved, 33 for helicopters) 38 well served to operationalisation of new routes will be connect 126 airports and heliports (49 conducted in 2016-2017 and 2017-2018, (18 routes), (15 routes, Air more rounds of bidding will follow till the India subsidiary) and SpiceJet (11 routes). and 24 helipads).

plane) and helicopter service providers willend ofbid 2018-2019. for the routes Airlines with (including at least nine sea

seats and a maximum of 1340 seats for the helicopters.fixed wing aircraftTo ensure and the a minimum sustainability of 5 of the routes by lowering the commercial

awarded on an exclusive basis to the winningrisk, these parties. "specific" Preference routes is given will to the be

who rely on no government subsidised VGFbidder to who sustain bid fortheir zero-VGF operation), (operators for example, in phase-I SpiceJet bid was zero- VGF, and in Phase-II SpiceJet and IndiGo bids were zero-VGF.

16 december 2017- february 2018 december 2017- february 2018 16 Ideas Inspiring Innovation...

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#39, Ankur Apartments, 7 IP Extension, Patparganj, New Delhi- 110092 Telefax: +91 (11) 42440759, Email: [email protected] Cover Story

Awards for the 2nd round were announced on 24th January 2018. Airports Authority of India (AAI), the implementing agency, has issued Letter of Awards for 90 proposals received under RCS-UDAN after completion of the Second round of bidding. Key features of the proposals awarded by AAI include: • Airports to be connected: Total 78 airports i.e., 36 currently served airports, 13 currently Underserved Airports and 29 currently Unserved Airports (25 distinct airports after removing the 4 overlapping airports from UDAN-1) will be connected. In addition, 31 helipads/ heliports will be connected through Helicopters in the Priority areas. Role of Various • Viability Gap Funding (VGF) Outflow:T hese proposals will require VGF estimated Stakeholders at `487 crores per annum for Fixed wing operations and `130 crores per annum Central government for Helicopter operations in the Priority areas. Following concessions from the Region NR SR eR wR NER Total Government of India: Estimated Annual VGF* 150 113 36 165 23 487 the airfare (Figures in Rupees/crores) • Value Gap Funding (VGF) to subsidise *Excluding the VGF for Helicopters which is `130 crores per annum in the priority areas. Concession on service tax on tickets

• Region wise allocation of Annual VGF outflow in respect of Fixed wing aircrafts • operation in UDAN 2.0 is expected to be as follows: permitted with other operators • Code-sharing of UDAN-RCS flights • It is expected that the Fixed wing aircrafts proposals will provide around 26.5 lakh RCS seats per annum of which will be covered by airfare cap of `2500 for State governments approximately one hour of flying. In addition, around 2 lakhs RCS seats per Following concessions from the annum are expected to be provided through Helicopter operations. participating state governments at their respective UDAN-RCS airports: Providing impetus to Helicopter services came in operation) to 1% or less for • Helicopter operations under the Scheme are allowed in Priority Areas (intra). • 10 Reduction years of VAT (or GST after GST • VGF Caps for helicopter operations enhanced: Up to 10% of the estimated annual Coordinate with oil companies to inflows in the RCF shall be earmarked for operations through helicopters. create fuelling infrastructure on • Methodology for computing the Flight duration revised as per Recommendation • airports of Expert Committee. Provide free land for the development • 100% RCS seats for Helicopters with RCS Flight capacity of 13 seats or less. For more than 13 seats, number of RCS Seats in an RCS Flight shall be capped at 13 • metro, waterways, etc) hinterland passenger seats. connectivityof airport, with multimodal (rail, road, Subsequent phases with inclusion of seaplanes will boost the number of potential Provide free trained security landing sites from nearly 500 airports to over 500,000 waterbodies as well as more Provision of water, electricity and locations along India's 7,000 coastline. SpiceJet has placed a $400 million order for • 100 of these 12-seater amphibian seaplanes (December 2017). other utilities at reduced rate • Provide 20% share of Value Gap UDAN-RCS is both enabler and beneficiary of other key Government of India Funding, North-Eastern states and schemes, such as , Sagarmala, Dedicated Freight Corridors, Industrial • corridor,BharatNet, , and . Union territories to provide 10% share only

18 december 2017- february 2018 State governments are encouraged to To make the routes viable for commercial provide additional concessions airlines, the union government offers • andfinancial through viability VGF. ofVGF the will regional be available airports, to Airport operators by lowering the cost of flight operations reduced excise on value-added tax on fuel andflexible service code tax. Airports, sharing some arrangements, owned by companies, central and state governments concessionsflight operators for onthe specific airport routes operations, for the the Airports Authority of India and others orAirport their operatorsentities such (commercial as AAI and or Defence private suchfirst 3as years state oftax their concessions, operation. free Various land by the respective state governments, Ministry must agree to provide the and security, etc. would be provided will not charge the landing and parking following concessions to participate in by centre and state governments. charges and terminal navigation landing UDAN-RCS scheme: Participating states, Northeast states and charges. No landing, parking or other charges Union Territories are required to sign No Terminal Navigation Landing the MoU with the union governments to UDAN-RCS Levy • share the 20% and 10% burden of VGF RCS subsidy will be raised by levying a • Allow selected airline to manage the respectively. cess, which will be revised periodically, Charges (TNLC) • Route Navigation and Facilitation ground handling of flights SpiceJet has placed an order for 100 • of these 12-seater Japanese Quest Charges (RNFC) will be applied Kodiak amphibian seaplanes for $400 Rateson UDAN-RCS flights by AAI on a discounted rate of 42.5% of Normal million, including long-term parts and Value Gap Funding maintenance (December 2017), with (VGF) the view to operationalise the planes The scheme entails making the routes within a year. financially viable, without insisting on the

december 2017- february 2018 19 Cover Story

Participating states, Northeast states and Union Territories are required to sign the MoU with the union governments to share the 20% and 10% burden of VGF respectively.

order for 100 of these 12-seater Japanese connecting major cities. Starting from 1st amphibian seaplanes for on the flight between main trunk routes ` `30 per passenger.June 2017, it is initially at a flat rate of the$400 view million, to operationalise including long-term the planes parts 5,000 per flight, translating into withinand maintenance a year. (December 2017), with Impact of Seaplanes on UDAN-RCS

aircraft. Phase-II included helicopters also.UDAN Subsequent phase-I hadphases only are fixed-winglikely to include seaplanes, thus opening more destinations by enhancing potential pool of landing sites from nearly 500 airports to over 500,000 waterbodies and thousand more locations along India's 7,000 km

seaplanes costing ` million)long coastline, can land as in these even 10-14-seater1-foot deep water. On 9 December12-13 2017, crorea successful ($2.0 trail run was completed from Girgaum Chowpatty. On 12 December 2017, Prime Minister Modi also rode a seaplane from Sabarmati River to Dharoi Dam. Civil Aviation Ministry and Water and River Resources Ministry will come out with rules for the seaplanes, within 3 to 6 months, along the lines of , Canada and Japan. SpiceJet has placed an

Focus on North East The government has initiated a process to build airports and upgrade existing facilities including airstrips used by the air force in the Northeast to improve connectivity in a region which is represented poorly on the aviation map.

with the state-run Airports Authority of IndiaThe first currently phase ofcarrying this has out already work started under a `2,500-crores project. The government is also discussing a plan to invest another `8,000 crores in upgrading more airports. A part of the `8,000 crore funds required for the second phase might come from the Ministry of Development of North Eastern

20 december 2017- february 2018 Region. (DONER). A work in Progress The Union Civil Aviation Ministry has eased several norms of UDAN to attract more airlines and helicopter operators to participate in regional connectivity

announced when the process for second roundscheme of (RCS). bidding The for new the norms RCS were announced. The relaxations of the norms include dilution of the exclusivity clause

one route in the initial years. It will allow selectedmandating airline that onlyoperator one airline of a route may fly may on

other airlines who want to operate on the selectedissue no-objection RCS route. The certificate norms restricting (NOC) to two airports in close proximity from participating in the bidding also has been relaxed. It will allow routes with a stage length less than 150 km for operations

through fixed wing aircraft.

These efforts are part of the government's Act East policy to accelerate development in the Northeast, which for civilian activities under the project. acts as a gateway These efforts are part of the Narendra The government is working to improve to Southeast Modi government's Act East policy to connectivity in the region through the Asia and has huge accelerate development in the Northeast, RCS-UDAN. For its effective rollout, the tourism potential. which acts as a gateway to Southeast Asia region requires more airports and other and has huge tourism potential. The Prime facilities. The Prime Minister recently announced `90,000 Minister recently crores for improving roads and national While the government does not fund announced highways in north-eastern states in the airport upgrade by AAI in other regions, a `90,000 crores for next 2-3 years. substantial share of the funding for projects in the Northeast come from it through improving roads A new airport is set to come up at Holangi budgetary resources. The government also and national partially funds construction of airports highways in north- The airports being upgraded include in the hilly areas and Jammu & . eastern states in Teju,in Arunachal Shillong Pradesh and Agartala. in the firstAdvanced phase. Under Phase I of UDAN, announced in landing grounds being used by the Indian March 2017, six airports in the NE — the next 2-3 years. Air Force will be upgraded and used also Shillong, Dimapur, Imphal, Silchar, Narendra Modi, and Agartala — were connected.

december 2017- february 2018 21

feDeaturstinationse

MsfLVus'ku ,Mosapj Vwfjt~e--- bafM;u ekbyLVksUl

24 december 2017- february 2018 bZ •wclwjr LFkkuksa vkSj vn~Hkqr HkkSxksfyd ifjos'kksa ds n'kZu ds fy, vkSj mudk vkuan mBkus ds fy, gj igyw ls Hkkjr ,d iw.kZ i;ZVu bdkbZ gSA pkgs og rhFkZ;k=kk ls tqM+k i;ZVu gks] fojklr ls tqM+k i;ZVu gks] oU;tho ds n'kZu ls tqM+k i;ZVu gks ;k fHkUu&fHkUu çdkj dh jksekapiw.kZ lkgfld xfrfof/;ksa ls tqM+k i;ZVu gks laHkor% Hkkjrd nqfu;k ds mu pqfuank ns'kksa dh lwph esa vkxs gS tgk¡ i;ZVu LFkyksa vkSj fodYiksa dh dksbZ deh ugha gSA Hkkjr viuh fofo/ LFkykÑfrd fo'ks"krkvksa ds dkj.k lkgfld i;ZVu ds vyx vyx vk;keksa dks ,d lkFk fn•krk gSA fgeky; ds fo'kky ioZr•aM ls 'kq#vkr djus ds lkFk ns'k ds eè; HkwHkkx esa iQSys fofHkUu jk"Vªh; m|kuksa o oU; vH;kj.;ksa ds lkFk lqnwj nf{k.kh leqæh ifjfLFkfrdhra=k ds ekè;e ls lkgfld i;ZVu ds vyx vyx :iksa dks ge ,d gh ns'k ds vyx&vyx Hkw{ks=kksa esa çpqjrk ls ikrs gSa vkSj mudk Hkjiwj vkuan mBkrs gSaA ns'k ds jk"Vªh; m|kuksa esa ^jkW;y caxky Vkbxj^ dk lk{kkRdkj djus ds lkFk fo'kky leqanj ds fdukjksa ls tqM+h gqbZ dbZ xqiQkvksa ls ikuh ds tqM+s gq, •syksa dk jksekapd <+ax ls yqRiQ mBkrs gSaA

Hkkjr esa lkgfld i;ZVu xfrfof/;ksa ds fy, loZJs"B LFkkuksa dh dksbZ deh ugha gSA vius fofHkUu HkkSxksfyd ifjn`';ksa] tyok;q ifjos'kksa vkSj le`¼ tSo fofo/rk ls Hkjiwj bl ns'k esa gj jksekapdrkZ dks ;g ,glkl gksrk gS fd ;gh gS mlds liuksa dk xarO;A Hkkjr esa lkgfld i;ZVu dh ;kstuk cukus ds lkFk O;rhr fd, tkus okys LofIuy xarO;ksa esa dqN lqnwj xzkeh.k ifjos'k ls #c: djkrs gSa ogha dqN egkuxjh; pdkpkSa/ ds chp ,d vyx lh vkHkk dk ,glkl djkrs gSaA bl çdkj ds xarO;ksa ij vkidks Hkkjr ds dkedkth i;ZVdksa dh >yd fn•rh gS tks lkseokj ls 'kqØokj dh dkedkth vkik/kih ds ckn lIrkgkar ds nkSjku iqu% mtkZ ls Lo;a dks Hkjus ds fy, ,d lkgfld i;ZVu ;k=kk ds geliQj curs gSaA

december 2017- february 2018 25 Destinations

çeq• xUrO;

chj vkSj fcfyax] fgekpy çns'k lkgfld i;ZVu ds dqN çeq• xarO;ksa dh gekjh lwph çkjaHk gksrh gS chj vkSj fcfyax lsA chj vkSj fcfyax ds xkaoksa dks ?ksjus okys jksfyax igkfM+;ksa vkSj ?kkl dk eSnku iwjh rjg ls xzkeh.k vux<+ lqanjrk vkSj Hkksysiu ls Hkjk iwjk ,d vyx jax:i fpf=kr djrk gS ysfdu tks pht vkidk è;ku vkdf"kZr djrh gS og gS vufxur iSjkXykbMj tks FkeZy ij mM+rs gSaA fgekpy çns'k ds bl {ks=k dks nqfu;k esa csgrjhu iSjkXykbfMax LFkyksa esa ls ,d ekuk tkrk gS tgk¡ vkdj iSjkXykbfMax ds tquwuh lsyjksa dh mMku dks u, ia• feyrs gSaA

jktLFkku lkgfld i;ZVu dh lwph ds nwljs ik;nku ij jktLFkku ds dqN xarO; gSa ftuds laca/ esa ppkZ ds iwoZ ;g dguk fcydqy lgh gS fd xeZ gok ds xqCckjs dh lokjh Hkkjrh; lkgfld i;ZVu ds fy, ubZ gS] ysfdu fiQj Hkh ;g i;ZVdksa] fo'ks"k :i ls guhewu ij vkus okys tksM+ksa vkSj ifjokj ds lkFk Nqfêð;ksa dks O;rhr djus okys vke i;ZVdksa ds chp ,d lud ds :i esa foLrkj ik jgh gSA jsr ds fVCck] NksVs xkaoksa] vkSj cM+s iSekus ij fdys vkSj jktLFkku ds egyksa ds chp xeZ gok ds xqCckjs mM+kuksa ds }kjk fpfM+;k ds utkjs tSls n`';koyksdu ds vkuan dh çkfIr gksrh gSA tSlyesj] tks/iqj] iq"dj] t;iqj vkSj j.kFkacksj jk"Vªh; m|ku bu gkWV ,;j cSywuksa ds }kjk gokbZ lokjh dk vkuan ysus ds fy, çeq• fcanq gSaA

26 december 2017- february 2018 ½f"kds'k] mÙkjk•aM lkgfld i;ZVu dh gekjh lwph esa rhljs LFkku ij ,d cgqr gh vke uke gS ysfdu gS cgqr gh •klA th gk¡] ½f"kds'k us gj igyw esa Hkkjr ds 'kh"kZ lkgfld LFkyksa esa ls ,d gksus dk xkSjo gkfly fd;k gSA jkfÝVax] jkWd tafiax] jkWd DykbfEcax] jisfyax] dSfEiax vkSj blds lkFk dbZ vkSj xfrfof/;ksa ds lkFk] ;g Hkkjr esa ,dek=k ,slk xarO; gS tgka lkgfld i;ZVu ds ç'kaldksa ds :i esa caxh tafiax dh Hkkjh HkhM+ gksrh gSA

cka/ox<+ us'kuy ikdZ] eè; çns'k lkgfld i;ZVu dh gekjh lwph esa pkSFks LFkku ij gS cka/ox<+ jk"Vªh; m|kuA pkgs vki ,d gkFkh dh lokjh ilan djrs gSa ;k Hkkjr esa oU;tho liQkjh ds fodYiksa ds :i esa ,d cM+h taxyh fcYyh dks

december 2017- february 2018 27 Destinations

yík•] tEew vkSj d'ehj lkgfld i;ZVu dh gekjh lwph esa vxys LFkku ij gS yík•A VªSfdax ds 'kkSdhuksa ds fy, lkgfld i;ZVu ds vyx vyx vk;keksa ds ,d lkFk n'kZu ds fy, yík• dk dksbZ fodYi ugha gSA gykafd] fgekpy çns'k vkSj mÙkjk•aM esa dbZ vU; VªsYl gSa] fiQj Hkh tks phtsa yík• dks nwljksa ls vyx djrh gSa] os bldh LFkykÑfrxr fo'ks"krk,a vkSj VªSDl gSaA LVkWd dkaxM+h Vªsd vkSj 'kke oSyh Vªsd vkSj eBksa ls Hkjs iwjs lfdZV ds vkd"kZ.kksa ls cpuk ,d lkgfld i;ZVu vUos"kh ds fy, ukeqefdu gSA

FkÙksdM+ i{kh vH;kj.;] dsjy jksekapiw.kZ lkgfld i;ZVdksa ds fy, vxyk iM+ko gS FkÙksdM+ i{kh vH;kj.;A ?kus i.kZikrh vkSj m".kdfVca/h; lnkcgkj ouksa ds lkFk çLrqr bl NksVs ls lqanj i{kh vHk;kj.; dh ;k=kk if{k;ksa ij utj j•us okyksa ds fy, ,d LoxZ ds leku gS A dsjy ds ,jukdqye ftys ds dksBeaxye esa fLFkr ;g vH;kj.; fØelu cSDM lucMZ] :iQl cCcyj] ekykckj xzs gkWuZfcy] flyksu cs mYyw vkSj ey; ukbV gsjksu lfgr nqyZHk LFkkfud ,fo;u çtkfr;ksa ds if{k;ksa dks ns•us ds fy, ,d mi;qÙkQ LFkku gSA

28 december 2017- february 2018 flfDde lkgfld i;ZVu ds ,d ,sls xarO; tks Hkqyk, ls Hkh u Hkwys rks ,sls vfoLej.kh; xarO; ds :i esa ftl LFkku dh ckr gksxh og flfDde gh gks ldrk gSA tc ioZrkjksg.k tSls gkMZ dksj ,Mosapj dh ckr vkrh gS] rks ^ysIpkvksa dh Hkwfe^ dks vuns•k djuk ukeqefdu gSA ioZrkjksg.k dk tquwu bl HkwHkkx dh feêðh esa bl rjg jpk clk gS fd 'kk;n gh nqfu;k ds fdlh Hkh dksus dk dksbZ ioZrkjksgh gksxk tks bl LFkku ls vutkuk gksxkA vius igkM+h ifjn`'; ds lkFk] flfDde nqfu;k Hkj ls pksVh ds fotsrk ds eu dks fu;af=kr djrk jgk gSA ekmaV iSfu;u] ekmaV fFkaxfpUggax] ekmaV tksIiquq vkSj fuf'pr :i ls fo'oçfl¼ daputaxk ,slh pksfV;k¡ gSa tks gekjs fnyksa dh /M+du dks c<+k nsrh gSaA

nkansyh] dukZVd lkgliw.kZ ;k=kk ds vxys xarO; ds :i esa xksok ls yxHkx 125 fdeh nwj fLFkr nkansyh tks dukZVd jkT; dk ,d fgLlk gS] lkglh i;ZVu pkgus okyksa dks viuh fof'k"V ped ds lkFk vkdf"kZr djrk gSA çkphu eafnj] igkfM+;ksa vkSj çfl¼ dkyh unh bl LFkku dks lqanj n`';ksa ds lkFk ,d dHkh iqjkuk u gksus okyk Lo:i çnku dj nsrs gSaA ;gk¡ jSifyax ds lkFk i;ZVd dk;kfdax] fiQf'kax] thi liQkjh vkSj Hkkafr&Hkkafr ds if{k;ksa dks ns•us dk yqRiQ mBk ldrs gSaA

december 2017- february 2018 29 Destinations

eukyh] fgekpy çns'k ekmaVsu ckbfdax Hkkjr esa lcls fnypLi vkSj jksekapd lkgfld xfrfof/;ksa esa ls ,d gS vkSj ns'k esa ckbfdax vfHk;ku 'kq: djus ds fy, eukyh dks lcls vPNk xarO; gksus ds vius 'kh"kZ LFkku ls gVkuk vlaHko gSA fgeky; ds vNwrs lqanjrk dk vkuan ysus ds fy, eukyh ,d laiw.kZ xarO; gSA

vaMeku fudksckj ,oa y{k}hi lkgfld i;ZVu ds tquwuh i;ZVdksa dks u, ia• feyrs gSa Hkkjr ds eq[; HkwHkkx ls dVs gq, }hiksa ij igq¡p dj tgk¡ rd igq¡pus dh ;k=kk Hkh fdlh jksekap ls fdlh Hkh ekeys esa de ugha gSA iwohZ Nksj ij ge vaMeku fudksckj }hi lewg dks ikrs gSa rks if'peh Nksj ij y{k}hi lewg dksA bu }hiksa dh ;k=kk ds fcuk lkgfld i;ZVu ds tquwu dks fojke ugha yxrk gSA nksuksa gh }hi lewgksa dh i;ZVd fgrS"kh ç'kklfud O;oLFkk ds dkj.k gekjh ;k=kk fcuk fdlh jksd #dkoV ds iwjh gksrh gS vkSj leqæ ds uhps dh gekjh ;k=kk gesa i;ZVu dh cqyafn;ksa ij igq¡pkrh gSA

30 december 2017- february 2018 dukZVd Hkkjr ds fofHkUu igkM+h&iBkjh HkkSxksfyd ifjn`'; esa dbZ {ks=kksa esa fo'kky jkWd LFkykÑfr;ka ikbZ tk ldrh gSa ysfdu jkWd ioZrkjksfg;ksa ds lkglh joS;s dks vkdf"kZr djus okyh le`f¼ dsoy dukZVd esa ikbZ tkrh gSA bl nf{k.k Hkkjrh; jkT; dks dbZ vn~Hkqr pêðkuh p<+kbZ okyh txgksa tSls e/qfxfj] lkouoxZ] jkeuxje] gEih] cknkeh] Fkqjyh] dcky vkSj dbZ vU; LFkkuksa ls jkWd DykbfEcax ds fy, çflf¼ çkIr gSA jkWd DykbfEcax djus okys tquwuh DykbEcjksa ds fy, lgh esa ;g pêðkuh bjknksa ds lkFk p<+kbZ ds fy, ,d t:jh eafty gSA

es?kky; vxj vki okLro esa dqN vyx ntZs dh lkgfld xfrfof/;ksa dk vuqHko djuk pkgrs gSa rks xqiQk vUos"k.k ds jksekap ls c<+dj dqN Hkh ugha gks ldrk gS vkSj Hkkjr esa es?kky; ls ^lqanj xqiQkvksa dh Hkwfe^ gksus dk lEeku Hkh dksbZ ugha ys ldrkA lkgfld i;ZVu dh ;k=kk esa es?kky; dh xqiQk,a ,d vf}rh; iM+ko gSa tks i;ZVdksa dks ,d çkphu ifjos'k ds lEeksgu esa ea=keqX/ Hkko ls vkus dks foo'k dj nsrh gSaA

december 2017- february 2018 31 Advertorial

Uttar Pradesh Pioneering in Aviation Infrastructure Development

ttar Pradesh is on the path of becoming Uttam Pradesh, thanks to the able leadership of Chief Minister Yogi and support of the Ucentral government. The state is showing immense development on all fronts – Aviation being one of them. Civil aviation sector is an enabler of economic growth and development of the state and the country. The state has released its Civil Aviation Promotion Policy of Uttar Pradesh 2017 to provide the necessary direction for the growth of this sector in the state.

State government is committed to improve civil aviation related infrastructure and air connectivity in Uttar Pradesh. The state has the highest population in India yet only 1% of the total population travels by air. The state government is taking a number of steps to provide air connectivity and affordability to each of its citizens.

32 december 2017- february 2018 Present Aviation Scenario “In the initial phase, has grown in the year 2016-17 by 30% six pilgrimage sites toThe 6.1 passenger million passengers. air traffic in There Uttar is Pradesh a huge will be connected untapped potential given that only 1% with helicopter of the total population travels by air. Six service. These sites airports provide intra-state and inter- state air connectivity. These are Lucknow, include Vindhyachal, Varanasi, Allahabad, Gorakhpur, Chitrakoot and and Kanpur. Lucknow airport serving Naimisharanya. Nand Gopal Gupta ‘Nandi’, Helipads are being in Uttar Pradesh followed by Varanasi UP cabinet minister of stamp, 65% of the passenger air traffic demand registry and civil aviation constructed at Agra 0.2% and Kanpur 0.1% in 2016-17. these places. In the 32%, Allahabad 2.4%, Gorakhpur 0.9%, second phase, other There are 18 divisional headquarters places of religious and 75 districts in U.P. The existing status of airports/air connectivity to 18 significance will be Divisional headquarters in Uttar Pradesh covered.” is as follows: Airports at Lucknow, Varanasi, Gorakhpur are fully functional • airports Airports at Agra, Allahabad, Kanpur are operational defence airports, have been handed over to AAI for have airstrips at a place other than • wherein civil enclave is under upgradation. Divisional headquarters, which need construction Jhansi, Chitrakoot, Azamgarh, Aligarh to be upgraded to No-Frills Airports Bareilly has an air force station where are having state owned airstrips Saharanpur division has a defence • civil enclave is being developed by at Divisional level which can be airport, which can be developed as • • AAI developed as No-Frills Airports No Frills Airports Through an MOU with AAI, airstrips Basti division–does not have any at Meerut, Moradabad, and Faizabad airport related facility. • • Divisions of Sonebhadra (Mirzapur) • and Shravasti (Gonda/Devipatan)

december 2017- february 2018 33 Advertorial

“Allahabad will be connected to 13 cities of the country. No one would have imagined this a few years ago. When the BJP came to power, there were 476 airstrips in the country and only 75 of them were airports. In three years, we have added 18 airports. Only 1% population of Uttar Pradesh travels by air that is why there is a huge untapped passenger potential. Air traffic is increasing in UP at a rate of 28.8% while cargo is going Ashok Gajapathi Raju, Union up by 32%. This is when most of the potential minister for civil aviation remains untapped. Lucknow airport would soon have a unit of maintenance, repair and operations. It will give services for aircrafts at the lowest possible rates not only in India but globally too.”

New No Frills Airports Uttar Pradesh is planning to upgrade 10 airstrips to no frills airports in 10

Saharanpur, Jhansi, Chitrakoot, New Helipads/Heliports Azamgarh,divisions (Merut, Aligarh, Moradabad, Sonbhadra, Faizabad, and The government is planning to connect Shravasti). This is being dne keeping in the tourist destinations like Vrindavan, mind the huge tourism potential in the Mathura, Naimisharanya, Chandra state. Uttar Pradesh saw 212 million Prabha, Mahoba, Chunar, and Deogarh by developing helipads and heliports.

India)domestic in 2016. (2nd highest in India) and 3 highest in India). million foreign travelers (3rd highest in At present there are 68 helipads (4th

34 december 2017- february 2018 Regional Connectivity Scheme (UDAN) Result of 2nd RCS Bidding Uttar Pradesh got nine out of 25 routes Aligarh Lucknow Approval Awaited connectivity scheme. Uttar Pradesh Allahabad Bengaluru Indigo wouldfinalized get by nine the Centremore airports under the in regionalnext 15 Bhopal Indigo months at Aligarh, Azamgarh, Bareilly, Bhubaneshwar Indigo Chitrakoot, Jhansi, Moradabad, Myurpur Mumbai Indigo Indigo A(Sonbhadra),venues Allahabad,of job creation and Shravasti. Gorakhpur Indigo Aviation sector will provide around Indore Jet Airways 50,000 jobs in Uttar Pradesh in the next Kolkata Indigo, Zoomair biggest airport of the country spread Lucknow Jet Airways, Turbo Aviation overfive years.5000 hectares and would would have be four the Nagpur Jet Airways terminals and runways of 1000 hectares Patna Jet Airways each. Jewar airport will see about 1,000 Pune Indigo landing and take-offs in a day. The government would invest `15,000 crore Raipur Indigo in Jewar airport and cargo hub and ` Azamgarh Lucknow Approval Awaited crore in . Bareli Delhi Jet Airways 354 Lucknow Jet Airways, Approval Awaited Chitrakoot Lucknow Approval Awaited Jhansi Lucknow Approval Awaited Moradabad Lucknow Turbo Aviation Lucknow Approval Awaited Shravasti Lucknow Turbo Aviation Mayurpur (Korba)

december 2017- february 2018 35 feature

What India can learn from Global General Aviation Markets

General aviation is defined as all aviation other than military and scheduled commercial airlines. Global general aviation market is showing great prospects and poised for higher growth, thanks to the emerging markets. Aviation Chronicle, looks up in the sky towards top general aviation markets in the world and compares it with that if India.

By Rajeev Suman

36 december 2017- february 2018 he future looks promising for general ranging from two-seat trainingaircraft and utility helicopters to intercontinentalbusiness emerging markets across the globe jets, of which over 210,000 aircraft arebased in areaviation driving (GA) it towards market further because heights. of the TBusiness jet segment generated being the based in Europe – the two biggest geographies highest revenue generator clocked in 75% of inthe global United general States aviation and over market. 140,000 aircraftare the total market share in 2016 and is expected to continue the same dominance in future. When we look at the general aviation Large cabin jets are preferred, due to their fuel infrastructure across the world, the USA is leading the pack with huge margin. Such infrastructure includes number of airports, purchasingefficiency. Despitepower; thus, lower most economic of the sales status are inof high-value,poor countries, long-range the affluent large-cabin classes jets. have high by UK, Germany, and France. heliports, and all types of flying vessels followed

Country USA UK Germany China France Aircrafts 15192 8338

Rotors 16429310506 1290 733 3412385 224083 Airports 13513 300+

Heliports 5287 4629 5412 700+ 4731 Source: General Aviation Statistical Data book, 2017, GAMA

The global general aviation market revenue is The penetration of rotary wing in civil aviation expected to increase during 2017-2022 due is quite substantial in North America, Europe, to the infrastructural development, growth in and some countries of Latin America, whereas, demand among developing economic countries, is negligible in countries like India where like India.The major roadblocks for the Indian the lack of connectivity and airports make general aviation market growth are the stringent helicopters more useful. This is expected to be regulatory norms, expensive services, and the a major propellant for the helicopter industry in lack of infrastructures to support such aircraft. developing economies. However, this situation is changing, for instance, to boost the Indian helicopter market and, thus, UK, and China) for better understanding. acceleratethe first heliport the general built inaviation Delhi, India,sector. is expected IndividualWe will deep data dive on into Germany three GA and markets France (USA, is inconsistent and scant. We will try to cover Overall global general aviation includes over these separately in future publications.

416,000 general aviation aircraft flyingtoday, Supports $219 billion in total economic output andmillion total jobs in the United States

• • In the U.S., flies over 24 million flight hours, of whichtwo-thirds are for business purposes • Flies to more than 5,000 U.S. public airports, whilescheduled airlines serve less than 400 Hereairports. is a geographic TheEuropean breakup general of aircrafts aviation world fleet wide can access over4,200 airports

Customer Delivery Region (in Percent of Total) for General Aviation Airplane Shipments by Type of Airplane Manufactured Worldwide 2016) Type North America Europe Asia Pacific Latin America Middle East and Africa Piston 70% 10% 10% 6%

Turbotop 58% 11% 13% 10% 4%8% Business Jet 62% 19% 8% 6% 5%

Source: General Aviation Statistical Data book, 2017, GAMA

december 2017- february 2018 37 feature

United States of America

North America is witnessing the majority US Total Piston Turbotop Business Jet Rotors of sales, among others. The United States 2016 169675 137080 12635 accounted for about 50% of the aviation aircraft that was sold, worldwide, in 2016. 2017 169120 136095 94209310 12870 10540 Countries, like India and China, have potential 2018 168650 135150 9235 13125 10845 to be the future leaders in the global general 2019 9195 13395 11140 aviation market. In 2016, gradual decline in 2020 168240167875 134220133295 9190 13680 1143011710 deliveries of the general aviation industry 2021 167520 9215 13975 11985 continued from the previous year. While the 2022 167220 9270 12260 business jet deliveries by US manufacturers 132345 continued their modest increase by 1.8% 2023 166935 131405 9350 14285 12535 compared to the previous year, turboprop 166705 130440 14610 12805 deliveries were down by 2.1%, single engine 20242025 166525 129470128505 94659600 14965 13080 Source: General Aviation Statistical Data book, 2017, GAMA smaller category of multi-engine piston 15340 deliveriespiston deliveries declined declined 23.3%. by 7.4% and much

United Kingdom

Although getting accurate data on UK GA emergency medical services such as organ airworthiness and pilot licensing, and the aircraft registered in the UK, of which of course the police. objective(EASA). The is tomain promote focus ishigh on standards of overis difficult 90% are there involved are around in GA. 27,000 GA covers civil donation ferry flights, air ambulance and safety. At the lighter end of the GA spectrum most of aviation that is not Commercial GA is regulated by the Civil Aviation some regulatory authority is devolved to Air Transport, or airlines to most people. representative bodies, and gliding is in It also includes aerial survey work for powers are being increasingly transferred transition from a self-regulatory model utility and transport companies as well as toAuthority the European (CAA), Aviation although Safety regulatory Agency to more formal governance by EASA.

38 december 2017- february 2018 Airspace regulation necessary to protect aerodromes are vulnerable to closure and aerodromes catering to the GA market. The an increasing number of CAT operations planning process has become a mechanism The UK planning system has no remit to for addressing local aerodrome-related can be freely conducted. The growth in re-development for more profitable uses. environmental issues which, particularly CAThas reducedis also making the area access in whichto larger GA airports flights public transport operations, and generally regarding noise, are the main subjects of doesconsider not favour the national the development significance of smaller of GA public criticism levelled at GA. more difficult for the GA sector, and smaller China

Massive changes to China’s general aviation infrastructure and policies are ahead after recent initiatives announced by the Chinese State Council. The government plans to construct 300 new general aviation airports by 2020. To facilitate that expansion, it has lowered the approval level for airports from the central government to the provincial governments, and it will encourage private investment in building airports.

By the end of 2016, the number of and China had more than 300 general long-term has led aircraft OEMs and services. CAAC announced its 13th aviationgeneral aviationairports. aircraftChina currently reached 1,472has a Five Year Plan on General Aviation Development. By 2020, China plans to with the total number of general aviation buildingChinese governmentfor general aviation. officials According to devote have more than 5,000 general aviation total of 224 general aviation companies, tosignificant CAAC, Chinese resources GA towardsOEMs located capacity- in aircrafts and 500 general aviation pilot training schools in China. By 2020, Guangdong, Shandong, Hunan, Henan, airports. Chinapilots plans at 2,524. to have There 500 aregeneral currently aviation 20 Hebei, Liaoning, Chongqing, and other airports and more than 5,000 general provinces have put into operation 17 With the rise of the GA market, China aviation aircraft. types of GA aircraft and helicopters could become the fastest-growing that are in line with airworthiness helicopter market in the world. As of Although the total number of GA standards. China has initially formed a GA industry structure that includes GA reached more than 700 in total. Over the equipment , GA operation, next2016, ten China’s years, fleet China’s of civilcivil helicoptershelicopter thecompanies, potential the sizeimportance of the fleet,of this and maintenance, GA airport construction, needs are expected to rise to about 1,500 industryflight hours to the are Chinese still relativelyeconomy in small, the helicopters.

services, and financial december 2017- february 2018 39 feature

India: A present Underdog, Future Star

In comparison to the biggest GA markets globally, “Bringing 100% FDI India seems to be an underdog. However recently, the GA sector has been growing new in non-scheduled wings and is poised to become one of the fastest air transport growing markets in the world. services, especially in the Helicopter Indian Aviation sector is growing at a high rate. sector is a number of non-scheduled airline operators. welcome move. TotalIndia numberhas witnessed of operators a significant registered growth with inDGCA the With the draft as of 26 Sep 2017 is 112. This is a 211% rise Kapil Kaul, civil aviation from 36 operators in 2000. CEO, South Asia, Centre for Asia Pacific Aviation (CAPA) policy providing While the present ownership pattern in Indian a structural lift General Aviation sector indicates a fragmented to the Helicopter sector with majority of the players owning less operations in than 10 helicopters or aircrafts. As per DGCA, the India, 100% FDI will around 339 helicopters and small aircrafts bring in capital combinedGeneral Aviation as of 29 (GA) Sep fleet2017. in The India Government comprises and expertise and had announced 100% FDI in general aviation shift dynamics which was welcomed by the industry with caveats. The biggest challenge was inadequate completely,” parking and landing slots for general aviation

40 december 2017- february 2018 Air Ambulances in India

in Delhi and Mumbai airports. As per that offer services can’t move patients at night because most airports do not industry estimates, an investment to the haveMedical the evacuations facilities to (med-evacs)land at night. are Arguably not just India’s in short most supply advanced but even med-evac those systems, Medanta’s Flying Doctors India cannot operate at night from smaller Aviation by 2017. cities. tune of $4 billion is required in General

In Mumbai, air ambulance operators get at least one query a day, but less than general aviation segment, 70% of the total half get converted into bookings owing to multiple factors that include shortage isWhen utilized it comesby the corporates to fleet utilization and 15% by in or unavailability of aircraft. Among the top 10 populous cities in the world, oil and gas sector. In India 35% of general aviation aircraft capacity is underutilized. people. Here the maximum utilization per aircraft Mumbai does not have more than three tailor-made aircraft to fly critically ill Currently, chartered aeroplanes are converted into air-ambulances that are to 900 hours internationally. is 400 hours per year as compared to 800 of time. Having a dedicated air ambulance does away with preparation time, we “Bringing 100% FDI in non-scheduled fitted with portable life-support, which is not only expensive but also a waste can get permits and take off within an hour of getting a call. However, what we do air transport services, especially in the Helicopter sector is a welcome move. With countries. Current charges are between Rs 65,000 and Rs 70,000 per hour of the draft civil aviation policy providing a is hugely insufficient as Delhi-NCR caters to all of north India and neighbouring structural lift to the Helicopter operations in India, 100% FDI will bring in capital and flying time that can come down by 20% depending on how busy the airport is. expertise and shift dynamics completely,” new helipads in to transport patients in critical condition in air said Kapil Kaul, CEO, South Asia, Centre ambulances.Recently, Bruhat This will Bangalore also help Mahanagara accident victims Palike reach (BBMP) hospitals announced faster during eight the golden hour. At present, the city has over 50 helipads, most of them on Therefor Asia are Pacific 352 Aviation airports (CAPA). in India which its kind in India to be owned by an urban local body. Some private helicopter again account for only 1% of the total private properties. BBMP’s plan to develop its own helipads will be the first of services ply between Electronics City and the international airport to cater to number of airports globally. There are only 150 airports in the country capable of handling business aviation aircraft. Manipurtechies who Chief often Minister fly. N. Biren Singh announced that an air dispensary will start functioning soon in Manipur. The Central government plans to introduce a the level of infrastructure and facilities availableHowever, thereat these is significant airports. variation Aviation in no doctor or medical facility is available and patients also do not have access to infrastructure capable of handling big helicopter-based Dispensary/OPD service in far-flung and remote areas where commercial jets is not readily available be launched simultaneously in . in most of Tier II and Tier III cities in our any medical care. According to health department officials, the service will also country.

december 2017- february 2018 41 Budget

Aviation Gets a Budget

` However, about 67% of the funds are Push 6,602.86 crores in the current fiscal. being provisioned for the purchase of

Industry Rejoices of ` fortwo “purchase new aircraft of two for new VVIP VVIP flights. aircraft A total for on Infrastructure 4,469.50 crores has been provisioned Development special extra section flight operations.

he civil aviation industry in double-digit growth, according to the civil India has emerged as one of the aviation regulator Directorate General fastest growing industries in the country during the last three Tyears. India is currently considered the 2017,of Civil up Aviation from 9.55 (DGCA). million About a 11.24year third largest domestic civil aviation market earlier.million Passengers passengers carried flew inby Decemberdomestic in the world. According to International airlines during 2017 were 117.1 million Air Transport Association IATA, India as against 99.89 million during the Ajay Singh, Chairman and will displace the UK for the third place corresponding period of previous year, Managing Director, SpiceJet in 2025. The Civil Aviation industry has thereby registering a growth of 17.31%, ushered in a new era of expansion, driven as per the DGCA. As of December 2017, “This initiative by factors such as low-cost carriers aircraft in India, and another 920 aircrafts has the potential the existing fleet of aircraft stands at 548 to transform (LCCs), modern airports, Foreign Direct by 2025. the Indian interventionsInvestment (FDI) and growing in domestic emphasis airlines, on are expected to be inducted into the fleet aviation sector regionaladvanced connectivity. information technology (IT) In the union budget 2018, the government of India almost upped the budgetary and make India a allocation to the ministry of civil aviation global aviation year in December 2017, continuing its by three times. It has been increased to superpower.” Domestic air traffic rose 17.69% year-on-

42 december 2017- february 2018 Domestic air traffic rose 17.69% year-on- year in December 2017, continuing its double- digit growth, according to the civil aviation regulator Directorate General of Civil Aviation (DGCA). About 11.24 million passengers flew in December 2017, up from 9.55 million a year earlier.

In the union budget 2018, the slashed to `73.31 crore from ` crore in 2017-18. AAI is to mop up ` government of India almost upped the crores by way of IEBR. The document149.93 said budgetary allocation to the ministry that Grants-in-Aid is extended to AAI4,086 “as of civil aviation by three times. It has reimbursement of expenditure already been increased to `6,602.86 crores in done by them on the existing projects. The the current fiscal. funds are provided for airport. Among others, `50 crores have been allocated for Indira Gandhi Rashtriya As per the budget document, an amount through internal resources and external Udaan Academy and National Aviation of `506 crores are to come for Air India borrowings. University. In 2018-19, both Directorate and Extra Budgetary Resources). IEBR In the case of Airports Authority of India in the next fiscal by way of IEBR (Internal refers to a company raising funds wouldGeneral receive of Civil slightly Aviation higher (DGCA)allocation and of Bureau of Civil Aviation Security (BCAS) (AAI), the budgetary allocation has been december 2017- february 2018 Budget

`210 crores and `70 crores, respectively. We welcome the focus on Helicopter services provider Pawan Hans is to raise `9 crores through IEBR in next airport infrastructure capacity, announced in

fiscal, according to the document. the Budget. In our 20-year NABH (NextGen Airports for passenger forecasts, IATA Bharat) Nirman The government announced a new anticipates that India initiative — NABH Nirman, under which will become the third- it proposes to expand airport capacity in largest aviation market by 2024. However, this is a billion trips a year. In the last three Amitabh Khosla, Country the country by over five times to handle Director-India, IATA by no means guaranteed. at 18% a year and the airline companies To make this a reality, placedyears, domestic orders for air more passenger than 900 traffic aircraft. grew airport capacity in India needs to be augmented Under the regional connectivity scheme UDAN, 56 unserved airports and 31 and expanded quickly. unserved helipads across India would be connected. The government has increased

“The aviation sector appeared buoyed by the measures announced in the Union Budget 2018., The budget has sought to strike a balance between India’s need for economic growth and the wellbeing of its citizens. It addresses aspirations of a modernizing nation through initiatives to expand air connectivity under the UDAN scheme. The government has also announced measures to push its ‘Make in India’

Pierre de Bausset, President program, including plans for two defense and Managing Director, Airbus industrial corridors and a new industry- India friendly defense production policy in 2018. We hope such steps will foster a sustainable eco-system that will promote investment and help expedite modernization of the armed forces in a constantly evolving strategic environment.”

44 december 2017- february 2018 Subscribe for Aviation CHRONICLE A Pawan Hans Publication on Indian General Aviation Pawan Hans is proud to introduce AVIATION TODAY, one of its kind publication focused on Indian General Aviation industry.

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#39, Ankur Apartments, 7 IP Extension, Patparganj, New Delhi- 110092 Telefax: +91 (11) 42440759, Email: [email protected] 2017- february 2018 45 Budget

We welcome the proposal of the national logistics portal as it will improve the transparency and visibility of cargo movement across the country. The government’s plan to expand its current 124 airports by five times seems skewed in favor of passenger movement, however the development of airports across the board is a positive shift in building a

Raaja Kanwar, Managing robust logistics network. We expect that Director, Apollo freight movement is given due cognizance as LogiSolutions Limited well.”

times to ` isthe for allocation revival of to 50 fund airports the scheme and viability by five gap funding1,014 for north-east crores. This connectivity. proposal An amount of `650 crore is proposed to be invested in Air India, for which disinvestment process is being kicked

allocation stood at `1,800 crores for 2017-18.off during the next financial year. This

The Economic Survey released in January 2018, noted that India is the third largest and the fastest growing domestic aviation market in the world in terms of number of domestic tickets sold. The growth in the aviation sector has helped in expanding the country’s tourism sector. “Outbound tourism has also picked up in recent years, with the number of departures of Indian nationals from India growing by 7.3% to 21.9 million “We believe that tourism This is more than double the foreign will be the biggest touristduring arrivals2016, from in India. 20.4 Domesticmillion in tourist 2015. contributor to the aviation industry and visits grew by 12.7% to 1,614 million in this year’s budget is airlines2016 from carried 1,432 57.5 million million in 2015. passengers, In the a testimony to that. acurrent growth fiscal rate of till 16% September, over the domesticyear-ago We look forward to period. During this period, scheduled the 10 iconic tourism Indian and foreign carriers ferried 29.2 Amar Abrol, MD and CEO, million passengers to and from India - AirAsia, India destinations that a growth of 9% compared to the same the government will period a year ago. During this period, promote this year, as part the domestic air cargo handled was 0.61 of the proposed budget”. million MT showing a growth of 10.27% over the corresponding previous year time period, and international air cargo ATF as a declared good. It is much more have brought ruin to the airline sector. handled was 1.07 million MT showing a The industry hoped that a uniform growth of 19.02%. Itprudent should to be generate noted thattax fromATF finalin India goods is announced. There was almost a complete There were hopes from the industry that 55-60%and services costlier than than a raw the materialGulf and (ATF).Asean silencelevy of on 4% ATF across in the India budget on which ATF will was be a in the budget, the government will notify region. The cascading effect of ATF taxes matter of concern for the industry.

46 december 2017- february 2018 Customers have seen 40% increase in on-time delivery and increased throughput

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