By Radha Menon, Senior Aviation Correspondent
Updated: June 19, 2025
On June 2, 2025, Prime Minister Narendra Modi addressed the International Air Transport Association’s (IATA) 81st Annual General Meeting in New Delhi, issuing a clarion call to global aviation manufacturers, maintenance outfits, and technology providers to invest in India’s rapidly expanding civil‑aviation ecosystem pib.gov.in.
Key Highlights
- Streamlined Regulatory Framework
- Introduction of the Indian Aircraft Act aligns domestic regulations with ICAO global standards, ensuring a simplified tax structure and automatic 100 % FDI under the automatic route pib.gov.in.
- Sunrise MRO Sector
- India’s Maintenance, Repair, and Overhaul (MRO) facilities have grown from 96 in 2014 to 154 today, bolstered by GST reductions and tax rationalization.
- Target: Establish a US $4 billion MRO hub by 2030 pib.gov.in.
- Design in India
- Beyond “Make in India,” global players are urged to “Design in India,” developing aircraft components and avionics locally to integrate into the global supply chain economictimes.indiatimes.com.
- Open‑Skies & Connectivity
- Reaffirmed commitment to open‑skies agreements, enhancing international air connectivity to spur tourism, trade, and cultural exchange economictimes.indiatimes.com.
- Skyrocketing Aircraft Orders
- Indian carriers have placed orders for over 2,000 new aircraft, marking India as one of the world’s fastest‑growing domestic aviation markets reuters.com.
5 Key Takeaways
- Inclusive Talent Pool: Over 15 % of Indian pilots are women—three times the global average—while women make up 86 % of cabin crew roles, compared to a 70 % global average pib.gov.in.
- Infrastructure Push: Plans to develop 50 new airports over the next five years aim to improve regional connectivity and decongest major hubs economictimes.indiatimes.com.
- Space‑Aviation Convergence: India’s vision extends to aerospace innovation, positioning itself as a future hub for both air travel and space technologies timesofindia.indiatimes.com.
- Safety & Compliance: Recent ICAO safety audits have recognized India’s strengthened aviation security measures, reflecting adherence to international best practices pib.gov.in.
- Economic Impact: The civil‑aviation sector’s contribution to GDP is projected to double by 2030, driven by increasing passenger traffic and manufacturing investments (DGCA Annual Report, 2024).
What Happens Next?
- Investor Roadshows: The Government of India plans a series of roadshows in Frankfurt, Seattle, and Dubai over the next quarter to showcase investment opportunities.
- Policy Updates: A draft National Civil Aviation Policy 2025 is scheduled for stakeholder consultations by July 2025.
- MRO Mega‑Cluster: Selection of a dedicated MRO cluster in Gujarat or Andhra Pradesh, with incentives for land, power, and skill development.
Daily Digest: Aviation in Motion
| Date | Update |
|---|---|
| Jun 02, 2025 | PM Modi’s IATA keynote: Invites global aviation investment pib.gov.in |
| Jun 10, 2025 | DGCA issues draft guidelines for drone MRO services (DGCA.gov.in) |
| Jun 15, 2025 | Boeing and Tata Aerospace announce joint‑venture MoU in Bengaluru (Pib.gov.in) |
| Jun 18, 2025 | Trade body FICCI publishes report on India’s low‑cost airline growth (ficci.in) |
