India likely to shine with another big jet deal, but experts warn. . .

The report by Reuters, further states that this is the deal that was sketched out in February 2023, making it the then largest ever order placed by any airline company. The deal was then of 470 planes, however, IndiGo seemed to have toppled the record by ordering 500 Airbus. 

Both IndiGo, and Air India are likely to keep all attention on India on the second day of Paris Air Show, despite the fact that manufacturers have been unable to meet output goals owing to supply chain snags. 

The gargantuan orders by the Indian aviation companies is seen as an effort to keep up with the world’s fastest-growing aviation market, serving the largest population. 

However, experts have said that the industry giants might be ‘over-ordering’ to cater to the same amount of population. 

Air India had drafted the deal in February, 2023. The deal included 250 planes from Airbus and 220 from Boeing. The Airbus part comprised 210 A320neo narrowbodies and 40 A350 widebodies, while the Boeing deal was for 190 737 MAX, 20 787 Dreamliners and 10 mini-jumbo 777X.

Adding 25 more Airbus that were to be leased by Air India, the order total would amount to 495, Reuters quoted an Airbus executive.

The surging demand for Airbus also reflects the increasing demand forcivilian’s domestic travel via airplanes. This further also shows how travel has bounced back from pandemic era snag which brought the world to a standstill. 

Demand has been hottest for short and medium-haul narrowbody jets, but engine maker Rolls-Royce said on Tuesday the market for long-haul widebodies was also coming back strongly, says Reuters. 

However, plane manufacturers and their suppliers remain concerned about their ability to meet bulging order books amid rising costs, parts shortages and a scarcity of skilled workers.

(With Inputs from Reuters)

Updated: 20 Jun 2023, 08:04 PM IST