India ranks 5th in world GDP. The country boasts diversity and swift growth due to broad domestic market, young labour force and expanding middle class. Civil aviation industry is strongly dependent on general economy and has witnessed double digit growth in last two decades.
Air travel was once considered as luxury for both business and private needs. However, perception has changed steadily and India is 3rd largest domestic market in the world. The present general aviation (GA) market in the country is very small compared to the size and economy of the country. However, with increasing number of HNI and infrastructure development at Tier II and III cities, GA has a huge growth potential. First FBO in the country has been set up at IGIA after decades of wait.
What is FBO?
The term Fixed Base Operator (FBO) is given to a commercial enterprise that has been granted the right by an airport authority to operate on that airport and provide aviation services, such as fuel, parking and hangar space, to the General Aviation (GA) community. At a smaller airports, or ones located near a remote or small community, it is often the town or the airport authority which provides basic FBO services such as provision of fuel and parking. However, at larger airports serving major cities, there are often several privately owned Fixed Base Operators in competition for the business of both permanently based and transient general aviation aircraft.
What are the Services provided by FBO?
The services potentially on offer at a Fixed Base Operator are varied and wide ranging. Some of these services will be subject to the approval and oversight by the National Aviation Authority (NAA) or their delegated Civil Aviation Authority. Available services can include any combination of the following:
- Sale of aviation fuel – AVGAS and/or Jet Fuel
- Short term parking
- Long term parking – outdoor parking and tie down as well as limited hangar space is often available
- Line services – aircraft interior and exterior cleaning and lavatory servicing
- Repair and maintenance
- Customs – Customs services may be collocated with the FBO and FBO personnel will often prepare customs paperwork on behalf of the aircraft crew
- Aircraft catering
- Restaurant facilities or vending machines
- Passenger services – inclusive of baggage handling, provision of passenger lounges and ground transportation
- Flight planning facilities – access to computer and telecommunication equipment for weather update and flight plan filing
- Flight crew lounge – dedicated rest areas for transient flight crew
- Car rental
- Air taxi and air charter operations
- Pilot training
- Aircraft rental
- Aircraft sales
- Sale of aircraft parts
- Sale of pilot supplies
- Aerial photography
- Crop dusting and aerial applications
- Aerial advertising – banner tow
At IGI airport, Business/ GA passengers go through an exclusive lounge known as Reserved lounge/ VIP lounge in Terminal 1D.
Indian GA market and its comparison with China and USA
In India, GA market is not only small but also underdeveloped as compared to its peers. China has at present 9 FBO and 26 major MRO companies providing heavy maintenance. It plans to increase GA airport count to 200 by 2030 which will further enhance and support MRO activity and aviation business. USA has more than 3000 FBO. The United States FBO Industry is represented nationally by the National Air Transportation Association or NATA, but is also partly represented by both the National Business Aviation Association (NBAA) and the Aircraft Owners and Pilots Association (AOPA). The US has more than 5000 GA airports.
Today India has more than 150 airports open to business aviation in the country. However the facilities are inadequate when compared with those of other countries. Limited parking space, non availability of customs and excise facility, limited Ground-handling options are few of the problems faced by GA operators. Small airports have watch hour restrictions which further limit their availability for GA aircraft operations. In addition, Non Scheduled operators have to fight for slots at metro station or give at least few days of notice before landing at smaller airports. This is frustrating and hinders the business as well as freedom to travel.
Developing the Eco System
This article will not be complete without mentioning few silver lining.
- Creation of the Business Aircraft Operators Association (BAOA) which promises to encourage and oversee strong growth of the business aviation sector and also highlight the needs and problems of GA operators.
- Development of multi-modal passenger and cargo hub airport at Nagpur (MIHAN) with the SEZ for MRO facility.
I am sure we will witness few more encouraging news like induction of foreign Cargo aircraft for MRO at Nagpur and financial lease of aircraft at GIFT city Gujarat.
Stay safe. Stay motivated.