Civil Aviation Secretary Shri Vumlunmang Vualnam Highlights Growth Potential in MRO, Need to Curb Monopolistic Airfares

At the ICC Aviation and Tourism Conference, Shri Vumlunmang Vualnam, Secretary of Civil Aviation, interacted with key stakeholders from the travel trade industry, outlining significant developments and future plans aimed at strengthening India’s aviation ecosystem.

He highlighted the immense potential of the Maintenance, Repair, and Overhaul (MRO) sector, stating, “The MRO business currently stands at $2 billion and is projected to grow to $4 billion soon.” This anticipated surge is driven by massive aircraft orders placed by domestic carriers like Air India and IndiGo. However, Shri Vualnam expressed concern that nearly 80% of the MRO business is currently going abroad. “We are actively working to retain this business within the country. The government is fully aware of the importance of this issue and is taking necessary steps,” he assured.

When asked about the high fares on domestic flights, Shri Vualnam acknowledged the concerns but emphasized that “this is a deregulated market, and we must respect that.” At the same time, he admitted that “exorbitant fares that appear monopolistic in nature must be curbed.” He advised travelers to report such instances on the Air Sewa portal. “It’s important to note that Indian airlines still have a much lower yield per passenger-kilometer compared to the US or Europe, and the so-called last-minute fare hikes impact only about 1% of the top bucket fares,” he explained.

Responding to questions about helicopter services in Tier 2 and Tier 3 cities, Shri Vualnam emphasized the importance of improving public access. “We agree that public helicopter services should be expanded, especially where helipads are already available. This can be a game-changer for last-mile connectivity and overall customer experience,” he said. He proposed forming a dedicated task force to develop the Buddhist Circuit as a model for helicopter connectivity.

He also revealed that the government is seriously considering the promotion of seaplane services. Under the UDAN scheme, the latest round of RCS (Regional Connectivity Scheme) bidding has been completed. “It will take approximately two months to conclude the entire process,” Shri Vualnam informed.

His remarks underlined the government’s proactive approach to enhancing air connectivity, curbing unfair practices, and unlocking untapped potential within India’s aviation landscape.

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