India is a fantastic market; high fuel costs challenge for airlines: IATA DG

Rio de Janeiro, Jun 8 (PTI) India is a fantastic market that has demonstrated the real value of aviation and high fuel cost is a challenge for the Indian airlines, global airlines’ body IATA’s Director General Willie Walsh said on Monday.

He was speaking at briefings after the conclusion of the IATA Annual General Meeting in the Brazilian city.

Walsh, an aviation veteran who became the DG of the International Air Transport Association (IATA) in April 2021, will soon be taking over as CEO of India’s largest airline, IndiGo.

The IATA is a grouping of more than 370 airlines and accounts for around 85 per cent of the global air traffic.

“I wouldn’t be going to IndiGo and India if I didn’t think India was a fantastic and exciting market.

“Those of you

who have heard me speak in the last two years, I have consistently highlighted that India is a market that has huge potential and demonstrated the real value of aviation,” Walsh said.

“I think the challenge again in India is high fuel costs. That is an additional burden when fuel (price) is denominated in dollars and you’ve seen that the rupee has certainly lost value against the dollar in recent years,” he said.

India is one of the world’s fastest growing civil aviation markets and IndiGo is the country’s largest airline with a domestic market share of 65 per cent.

For India to fulfil its economic ambition, Walsh said it can be achieved only through greater air connectivity, both domestic and international.

India has a fantastic population, a government focused on economic growth and they value the contribution of aviation, he said.

“The opportunities are huge and I look forward to playing a part in the future for the development of the industry in India,” Walsh said.

On March 31, IndiGo announced the appointment of Walsh as its next CEO.

The announcement came less than three weeks after the sudden exit of Pieter Elbers as CEO against the backdrop of massive operational disruptions at the airline in December last year. PTI RAM KVK KVK KVK