Business aviation makes inroads in Asia

The Asian market is waking up to the fact that companies using business aircraft earn more than those that don’t (141 percent more, according to an NBAA analysis). However, there are many obstacles remain to developing the private aviation sector in that part of the world. Until recently, no single Asian voice addressed the benefits and hurdles of establishing business aviation, but that is changing as the region’s associations begin to work together to create a more friendly environment for the segment.
During a session on international operations at the European Business Aviation Convention & Exhibition , three regional association leaders from Asia spoke about their respective territories: Capt. Karan Singh, vice president of the Business Aviation Association for India (BAAI); Jean-Noel Robert, chairman of the Asian Business Aviation Association (AsBAA); and Kazumobu Sato, vice president of the Japanese Business Aviation Association (JBAA), talked about the challenges of developing the sector in their respective locales.
India has seen strong and steady growth, with an installed fleet that has almost doubled since 2006, said Capt. Singh. The BAAI predicts there will be 1,793 business aircraft in India by 2020, but key to this development are infrastructure training and work on regulatory issues. India has a particularly difficult regulatory environment. For example, private aviation compliances are on a par with those of scheduled airlines so obtaining an operator’s permit is a lengthy process. In addition, there are hefty taxes on fuel, service and customs.
Fewer than 150 airports are open to business aviation, and facilities are substandard when compared with those of other countries, with limited parking space and customs and excise availability. Ground handling options are limited and expensive. Singh added, “To make things work we need ground handling, airports and heliports, maintenance faculties, spares and FBOs. We also need consulting, manufacturing and management and training.”
01/07/11 Liz Moscrop/AINonline

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Categories: Foreign Jul 2011, Indian Aviation- In General Jul 2011