Looking ahead beyond the current pandemic-triggered slump, the Indian civil aviation market is poised to welcome over 2,000 new aeroplanes over the next two decades. This is an incredibly strong market for us, says Boeing India president Salil Gupte in an exclusive interview with DH on the sidelines of the Aero India 2021.
Many Indian airlines are looking at entering the long-haul international routes. What are the challenges, and how can Boeing chip in with the right aircraft customized for this sector?
The long-haul, point-to-point sector is really an attractive and fascinating one for Indian airlines. From a contextual standpoint, geographically, India in the international market has always been under pressure for many years now because it lies between a set of powerful hubs like the Middle-East with Dubai, Abu Dhabi, and Doha, the South East Asian hubs and hubs like Hong Kong and Singapore.
Many airlines based in those hubs get a lot of their demand from the Indian market. They connect the traffic through those hubs and send them onwards to elsewhere in Asia or Europe or the US. Indian airlines are challenged in that competition by those hub airlines. But now, as the market recovers from Covid-19, there is increased demand for long-haul, point-to-point traffic.
So where does Boeing fit into this new unfolding sector for Indian airlines?
To execute those long-haul services appropriately, you need a fuel-efficient aircraft of the right size. There is always going to be demand for Delhi to London or Mumbai to JFK. But what about Bengaluru to Seattle? What about Chicago to Hyderabad?
On these types of routes, aircraft such as the 787, fuel-efficient with the right size and range is what will allow airline customers to be increasingly profitable on those routes, and position India to compete very strongly with airlines entrenched in these hubs.
To recover losses, many airlines carried belly cargo along with passengers. Do you think future aircraft would be more amenable for these reconfigurations?
Boeing has significant experience in freighter conversions. We are seeing big demand for 737 freighter conversions in India and around the world as airlines such as SpiceJet seek to cater to the burgeoning ecommerce market.
Our products such as the 777 - which Air India has several of -, have unmatched belly cargo capabilities. We have also been working with our airline partners during the pandemic to reconfigure their aircraft to carry the cargo in the seats and cabin holds as well. That is a key area of support we have been offering all our customers.
What is the status of the Boeing 737 Max, grounded over safety issues?
The 737 Max is a safe aeroplane that we are confidently returning to the skies around the world. It has already been returned to service in the United States by several airlines after the FAA ungrounded it.
In India, we are engaged with the Directorate General of Civil Aviation (DGCA) to return that aircraft to service on their timeline. In the meantime, we are providing them all the information they request from us and from the FAA to be able to do that.
Regional Connectivity under the Udaan scheme is an evolving sector. Does Boeing see an opportunity in these routes?
The Udaan scheme will certainly be important for the economic development of those next tier markets. But the question that needs to be answered by Indian airlines like SpiceJet, IndiGo and Air India Express is how do they serve those markets profitably in a sustainable way. This is being assessed by Boeing and our OEM (Original Equipment Marketing) peers.
What is Boeing’s India plans to build an ecosystem for narrow-body aircraft?
India’s civil aviation market is set to return to its strong growth trajectory by the middle part of this decade. We are the market leader in wide-body aircraft. In the narrowbody market, as we continue to grow in India, we want to build the ecosystem around our products like the 737 family, through training, Maintenance, Repair and Overhaul.
We partner for supplies both in military and civil aircraft with HAL and many others here in Bengaluru. We have fighter jets, freighter, narrow and wide-bodied aircraft. This breadth allows us to have broad and deep relationships with many companies to make in India and make specifically here in the Bengaluru area.