India’s aviation sector is contributing about 30 billion USD to India’s GDP. India is one of the fastest-growing aviation markets in the world. Nearly 90% of the aviation traffic is at the domestic level. This means that UDAN scheme or the Regional Air Connectivity Scheme is an asset to the aviation sector. However, this scheme alone cannot address the growing crisis in the aviation sector. The government must launch a viable policy to support the growth of this sector.
The aviation sector in India has witnessed growth faster than many other industries in India. From the number of flights flying in India to the number of passengers boarding flights in India, India reported exponential growth in this sector. India has become the third-largest domestic aviation market in the world. Although the aviation market is showing promising results, the rise in the number of accidents has also risen gradually. The recent air accident in Kerala of Boeing 737, killing 18 people and leaving more than 150 people injured has been a major setback for the aviation sector in India. Thus, it has become important to understand the various factors affecting air safety in India and suggest measures to deal with the problem.
With the drastic spread of the Novel Corona Virus, Covid-19 originated from the city of Wuhan of China, Countries started declaring National Emergency and complete lockdown. Almost all sectors of the economy got severely affected by this, in which the most prominent sectors are Tourism and Hospitality sector. The tourism sector of a country generates foreign exchange, drives regional development, and directly supports various businesses and numerous types of jobs such as catering, tourist operators etc. The Hospitality Industry in itself is very vast and includes lodging, food and drink services, event planning, transportations and even theme parks, so the employment capacity is also quite high in this sector. According to the latest UN report, Global tourism which accounts for the 10% of total global GDP lost USD 320 billion in 5 months and more than 120 million jobs at risk due to the COVID 19 pandemic. The impact of the novel coronavirus on India’s tourism and hospitality sector jobs is nothing short of severe.
Recently, the Lok Sabha passed the Aircraft Amendment Bill 2020. The bill seeks to revamp the ailing aviation sector affected by number of issues the most recent of which are the COVID-19 crisis and the nationwide lockdown. The bill comes after the poor audit report from the ICAO which pointed out the loopholes in the regulatory system as one of the key causes of concern, also an issue that this bill seeks to address.
Automobile sales in India saw a steep decline in July this year. The automobile sector is currently facing prolonged demand slowdown for the past 12 months. This had cost at least 15, 000 job losses within 2-3 months, during the period when India is facing an unemployment crisis and overall economic slowdown.