AVIATION SECTOR IN NATION BUILDING OVER THE LAST 76 YEARS

aviation sector has played a pivotal role in nation building by facilitating rapid connectivity across diverse regions, promoting economic growth through trade and tourism, and enhancing national security through efficient air transportation and defence capabilities

India’s

Peek Into History

By AIR MARSHAL SUKHCHAIN SINGH (RETD)

Jehangir Ratanji Dadabhoy, the ‘Father of Indian Aviation’, established India’s first licensed commercial carrier, Tata Airlines in 1932. It was based out of Mumbai and transported both mail and passengers across India. In 1946 it changed its name to Air India. Pursuant to the Air Corporations Act, 1953 the Indian Government acquired 49 per cent of the company, and fully nationalised the airline. This law not only allowed the Government to gain control over the erstwhile Tata Airlines, but also nationalised the entire sector. All existing airlines were merged into either Indian Airlines Corporation or Air India International. This monopoly continued for the next forty years till the Indian economic liberalisation of the 1990’s that the aviation sector was again opened to private participation. In a full circle of events Tata Group took over the operations of Air India on January 27, 2022, marking the beginning of a new chapter for Air India.

The aviation sector developed sluggishly in India, mainly because air transportation had traditionally been for the elite and not the masses. However, in the last decade the sector has experienced exponential growth due to structural reforms, airport modernisation, entry of private airlines, adoption of the low-cost models and improvements in service standards. The government has also played a big role in supporting growth in aviation by encouraging the private sector to become more involved in the construction of airports through Public Private Partnership models and by providing state support in concessional land allotment, financing, tax holidays and other incentives.