How Does Air Transport Contribute To Development Of India: Report By Iata
People are aware of the fact that growth in transport infrastructure and traffic is a direct pointer to the pace of development of a country. Not only are there perceptible economic benefits but also many social benefits as well. IATA, the world body that regulates the aviation business across the world, brings out the country reports on how aviation impacts the socio-economic parameters of the countries. With respect to India, the report has pointed out some of these essential points. The data is based on the year 2011.
Looking at the broad economic impact which the sale of air tickets to the passengers and the air-based freight forwarding business has done, the impact has been quite significant. Out of total GDP of India in 2011, the contribution from the aviation sector is 1.5 per of GDP, at INR 912 billion. Out of this, the INR 147 billion was contributed by the combined output of airlines, airports, aerospace and ground services. A significant contribution of INR 107 billion was done through the indirect route of supply chain. Even the employees of the aviation sector and supply chain added to the treasury to the extent of INR 77 billion by spending on this sector. Aviation based tourism was, by far, the biggest contributor to the extent of INR 582 billion.
Another way in which aviation supports Indian economy is by creation of jobs. It has contributed to 1.7 million jobs in India including the direct and indirect employment. Out of these 1.7 million jobs, about 2.75 lakh jobs are created directly, 8.41 lakh ones are created in the supply chain sector and 6.05 lakh jobs are result of spending by employees and the supply chain. Besides these 1.7 million jobs, there are 7.1 million jobs created through the tourism sector. It is quite evident that in terms of revenue contribution and job creation, the aviation based tourism sector plays a significant role.
Aviation sector has also added to the public finances wherein INR 87.5 billion are added as taxation amounts. Additional INR 9.8 billion is raised from its supply chain and employees directly. Another INR 7.1 billion is added through the spending of both employees and its supply chain. The taxation related activities of employees and its supply chain adds another 7.1 million to the coffers of the government.
In terms of the passengers and freight data, about 70 million passengers traveled within the country and abroad on more than 130000 scheduled international flights and 664,000 domestic flights. The international flights fly to more than 50 countries around the world and domestic flights to 73 airports within the country. With respect to the freight, the contribution from shippers comes to about INR 165 billion annually. The carriage of 1.4 million tonnes freight happens annually to, from and within India.
Looking at the broad economic impact which the sale of air tickets to the passengers and the air-based freight forwarding business has done, the impact has been quite significant. Out of total GDP of India in 2011, the contribution from the aviation sector is 1.5 per of GDP, at INR 912 billion. Out of this, the INR 147 billion was contributed by the combined output of airlines, airports, aerospace and ground services. A significant contribution of INR 107 billion was done through the indirect route of supply chain. Even the employees of the aviation sector and supply chain added to the treasury to the extent of INR 77 billion by spending on this sector. Aviation based tourism was, by far, the biggest contributor to the extent of INR 582 billion.
Another way in which aviation supports Indian economy is by creation of jobs. It has contributed to 1.7 million jobs in India including the direct and indirect employment. Out of these 1.7 million jobs, about 2.75 lakh jobs are created directly, 8.41 lakh ones are created in the supply chain sector and 6.05 lakh jobs are result of spending by employees and the supply chain. Besides these 1.7 million jobs, there are 7.1 million jobs created through the tourism sector. It is quite evident that in terms of revenue contribution and job creation, the aviation based tourism sector plays a significant role.
Aviation sector has also added to the public finances wherein INR 87.5 billion are added as taxation amounts. Additional INR 9.8 billion is raised from its supply chain and employees directly. Another INR 7.1 billion is added through the spending of both employees and its supply chain. The taxation related activities of employees and its supply chain adds another 7.1 million to the coffers of the government.
In terms of the passengers and freight data, about 70 million passengers traveled within the country and abroad on more than 130000 scheduled international flights and 664,000 domestic flights. The international flights fly to more than 50 countries around the world and domestic flights to 73 airports within the country. With respect to the freight, the contribution from shippers comes to about INR 165 billion annually. The carriage of 1.4 million tonnes freight happens annually to, from and within India.
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