According to the Business Aviation Association of India, the country’s current tally of approximately 550 private aircraft of all types is poised to swell to over 1,400 in the next five years

Business aviation thrives in good times—that’s when companies happily buy aircraft. The World Bank’s latest estimate puts India’s GDP growth at 8.4 per cent this year, which would accelerate to 8.7 per cent in 2012, overtaking China in the process and becoming the world’s fastest growing economy. By 2020, India should be the world’s third largest economy, smaller only than China and USA. It will surely be a highly attractive market for business aircraft. The country’s current tally of approximately 550 private aircraft of all types (including helicopters) is poised to swell to over 1,400 in the next five years, according to the Business Aviation Association of India (BAAI).

The “rich list” is another definite indicator of the growth of business aviation—rich people account for around 10-20 per cent of new sales. Last year’s report by Capgemini and Merrill Lynch Wealth Management presented a cheery picture of the number of high net worth individuals (HNWIs) in India with minimum investable assets of $1 million (Rs. 4.5 crore). Their number grew up to 51 per cent in 2009 i.e. 1,26,700 individuals. Since then, the stock market has soared and individual wealth has grown. So this year’s report should show another significant surge. According to Forbes India, there are already 69 billionaires in the country—prime candidates for one or more aircraft.

Even infrastructure, long the bugbear of business aviation, is looking up. Delhi has a new fixed base operations (FBO) terminal run by Shaurya Aeronautics. Last September, the GA terminal at Mumbai’s CSI airport was certified as ready to start international operations. The Airports Authority of India aims to shift private aircraft operations to a refurbished Juhu—a measure to decongest Mumbai. At the same time, smaller airports like Chandigarh, Davangere, Imphal, Lucknow, Patiala, Puducherry, Sagar and Vadodara are gradually attracting corporate aircraft. Whether it’s the lower charges or avoiding the hassles of operating from a highly congested metro, or the sheer joy of locating at a small airport where everybody knows everybody, it’s a welcome trend.