UAE’s aviation industry on a growth path

The aviation industry in Dubai has seen positive growth and momentum. This was recently highlighted by HH Sheikh Ahmed bin Saeed Al Maktoum, president of Dubai Civil Aviation Authority and chairman of Dubai Airports.

According to his highness, the phenomenal number of passengers handled by Dubai International Airport last year will be yet another proof of 2013 being an exceptional year. Preliminary results show that number of passengers surpassed 66.4 million compared with 57 m recorded in 2012. Meanwhile, Dubai International Airport’s expansion plans costing more than US$7.8 billion are progressing swiftly to increase the airport’s capacity to more than 90 m passengers with the completion of Concourse D by 2015 along with the expansion and modernization of Terminal 1 and 2.

This is in addition to the opening of the passenger terminal of Al Maktoum International Airport in Dubai World Central (DWC) last year which will be transformed into an international travel hub in the next few years.

The Middle East continues to be a great success story in the aviation industry. IATA noted that about US$40 bn are being invested in airport infrastructure in the Arabian Gulf alone by far-sighted governments, but still the region faces a capacity shortfall. Further, the UAE airspace system was projected to accommodate 1.2 m aircraft movements by 2025. This target is broadly equivalent to the current volume of traffic handled in the New York or London areas.

Insights into strength of India’s aviation industry and plans to enhance its growth in future were shared by Ajit Singh, Minister for Civil Aviation. He said the Indian airport system is poised to handle 336 m domestic and 85 m international passengers by 2020, making India the third largest aviation market. Moreover, it is estimated that commercial fleet size is expected to reach 1000 aircraft worth US$45 bn from 400 today by 2020.