Business aviation in India: Humongous potential
By Nirmala Rao
The business aviation sector in India is in its nascent stage, but with humongous potential. As of September 2012, about 190 business aircraft were registered with the Directorate General of Civil Aviation (DGCA) to operate in India. For over a billion population, and more specifically a healthy number of millionaires and billionaires, this indeed is a dismal figure.
But wait, those numbers are fast changing, considering the market wind which is blowing in the BRIC (Brazil, Russia, India and China) countries.
In its 21st annual Business Aviation Outlook, Honeywell is forecasting nearly 10,000 new business jet deliveries worth about $250 billion from 2012 to 2022.
Spots on the horizon for Middle East business jet market
The business jet market in the Middle East has been growing at a remarkable pace over the past decade and has continued to progress (albeit at a slow pace) despite the global economic downturn and the severe conditions that continue to envelope some of the major economies worldwide.
Aviation Guide spoke to a few of the top players in the Middle East business aviation industry and following are the views of the leaders on the sector and their performance, plus the continuing strategies and plans to perform well in the market and keep ahead of the competition.
Human factors and CRM training in a multi-cultural environment
By Dr Nicklas Dahlstrom, Human Factors Manager, Emirates Airline
It is at Emirates Training College where Crew Resource Management (CRM) training and other Human Factors training for the pilots of Emirates Airline is carried out. Responsible for this is the Human Factors Office, manned by Rocky Heemstra, Gareth Lloyd-Evans and Dr. Nicklas Dahlström (author). Together with pilot colleagues awarded with the additional role as CRM Instructors, they develop and deliver this training.
With pilots from a hundred countries and cabin crew from an additional thirty it is almost an understatement to say that the crew they work with is multi-cultural. It would be reasonable to expect that this cultural diversity places unique demands when it comes to CRM and Human Factors training; especially as culture is not something that is only manifested by values and traditions, it also provides context and guidance for action in daily life. The concept of culture is, however, not restricted to that of national culture but also involves that of professional and organisational culture. Together these different aspects of culture can blend into a combined culture, in which the daily operational challenges are managed safely; i.e. a ‘safety culture’.
Turbulence in commercial aviation in India
The financial year 2011-12 has been a turbulent year for commercial aviation in India. Airline losses have been mounting rapidly and one well-known brand Vijay Mallya’s Kingfisher Airlines has bitten the dust, so to speak, with its license being suspended. The approximate losses for airlines have been over 16 billion USD, even though there has been significant passenger growth.
The year also saw the Government approving 49 per cent foreign direct investment (FDI) by foreign airlines in Indian carriers. Whether this will be a game-changer,
Aerospace industry in the Middle East
Founded in the 1980s, the aerospace industry has developed unequally in the Middle East region. Its development was based on opportunities (offsets programs), the needs of the involved countries, the resources in qualified labour and the government strategy of each country.
United Arab Emirates
The first aircraft maintenance company set up in the UAE (in1987), GAMCO (Gulf Aircraft Maintenance Company), was axed on the maintenance of the airframes and engines of Gulf Air fleet. It also provided a support to the UAE Air Force.
Defence aviation industry buoyed by strong Mideast demand
The defence aviation sector is considered essential in modern
warfare and is placed right after land and naval force services in
the armed forces defence structure. The air forces of several states in the MENA region are strategic assets that are attracting big shares of annual defence budgets.
Like any other sector, the aircraft industry has been affected by the financial and economic crisis. This crisis has been with us for almost a year. For several months now both passenger and freight traffic have fallen significantly. Reductions in investment seem to be inevitable. And we have to accept that the space industry is also in line for an inexorable and wide-ranging reduction in activity.
Middle East airports look to ease travel
Airports in the Middle East are investing in technology to reduce bottlenecks for travellers and speed the turnaround time for check-in and boarding aircraft, according to travel industry IT provider SITA. While
airports in the region trail the rest of the world in terms of the roll out of this new technology, they are gaining ground fast. Like the rest of the world, airports in the region face pressure to implement new technology
that will simplifytravel and reduce wait times. 'The Middle East is behind Jihad Boueri, Regional Vice President, Solution Line, SITA Middle East & North Africa compared to other parts of the world, but there are a lot of
new airports in the region, which is very positive, and a lot of airlines are doing major changes in their infrastructure. It is one of the most active regions,' says Jihad Boueri, Regional Vice President, Solution Line,
SITA Middle East & North Africa.
The MENA Challenge:Coping with Growth
For 2011, IATA expects a fall in global pro tability to $5.3 billion from the $8.9 billion that airlines are expected to make in 2010. IATA expects MENA carriers to follow the trend with a reduced 2011 regional pro t of $300 million. The small pro t will be partially driven by an expected capacity expansion of 10.6% outstripping demand growth of 10.4%. Bisignani has highlighted four challenges of growth for the region: Safety: The region’s hull loss rate for Western built aircraft slipped from zero accidents in 2006 to 3.32 accidents per million ights in 2009. “At 4.6 times the global average of 0.71, that is a concern. The region’s rapid growth must be accompanied with a strong safety record,” said Bisignani who challenged MENA’s governments to adopt IATA’s two safety audits—the IATA Operational Safety Audit (IOSA) and the IATA Safety Audit for Ground Operations (ISAGO)—as part of national requirements. Egypt was the rst government in the world to mandate IOSA, joined later by Lebanon, Syria and Bahrain, and soon Jordan.Today, 35 MENA carriers are on the IOSA registry, including all 26 IATA members. MENA has also taken a leadership role on ISAGO. Lebanon will make it mandatory for ground handlers from June 2011 and 13 ground handlers in the region are already on the registry.
Infrastructure:
The MENA region is planning airport construction totaling $100 billion, which includes at least eight new runways in the Gulf region.
A New Beginning
RAK Airways’ CEO, Omar Jahameh talks about his company's new approach and initiatives to reach every corner of the world
What drove the government to re-launch the airline?
RAK Airways is seen as a major element in the ambitious vision of H.H. Sheikh Saud bin Saqr Al Qassimi, Crown Prince and Deputy Ruler of Ras Al Khaimah, for boosting tourism in the emirate. Committed to realising the latent potential of Ras Al Khaimah, H.H. Sheikh Saud has focused on improving the sectors in which the emirate has a comparative advantage: tourism, real estate, and manufacturing.
Since 2003, H.H. Sheikh Saud has implemented wide-ranging organisational and economic reforms to promote local businesses, while attracting a steady flow of foreign investment. The emirate is aiming to quadruple tourist numbers by 2012, and plans to push the number of five star hotel rooms up from 1,400 to 7,500 and have at least 30 hotels.
Productivity and ecological responsibility are top priorities for ME airports
“The Middle East’s burgeoning aviation industry is becoming more and more concerned about improving productivity and implementing environment friendly technologies, and this trend points to the region’s development as one of the most sophisticated aviation hotspots across the globe”, said Juergen Strommer, Managing Director at Cavotec Middle East. The Dubai-based company is engineering group Cavotec MSL. “We see our customers all over the region seeking productivity, demand for environment-friendly, the changing trend in the aviationindustry in particular.
Earlier on, the practice was to consider systems which were already installed and utilised in other regions of the world such as Europe. Now, however, we can definitly see that this region is becoming the first in world to adopt new designs and products based on many other parameters to suit the local weather conditions”, Strommer continued. A classic example is the newly developed Cavotec Pre-Conditioned Air system (PCAir).
RAK International Airport -Picking up pace
As Ras Al Khaimah (RAK) International charts out its ambitious growth plan into the highly competitive Middle East market, CEO Roland Blaney says he is confident of the airport’s ability to take on established regional players and be recognised as a truly world-class facility with services difficult to match.
Think for a moment about the image of airports for many passengers....excitement, glamour, far away destinations; indeed, holiday passengers often say that holiday starts at the airport. Is this the reality offered by Ras Al Khaimah International Airport? With unprecedented facilities and attractive investment opportunities, RAK International offers it all. The airport is fully functional and equipped to offer a wide range and high frequency of regional services with ideal connections to major international destinations across the globe. Earlier this year, Gulf News reported that tourist numbers in Ras Al Khaimah have steadily increased and are expected to hit 2.5 million in 2012, and the emirate's airport is set to play a crucial role in achieving those projections. To actively capitalise on anticipated growth in tourism, Ras Al Khaimah is undergoing facility enhancement infrastructural development. To make things better, RAK International’s terminal facilities are under constant review and improvement. Recent developments include upgrading the runway with new lights, refreshing the terminal and initiatives to handling more VIP flights as well as developing aircraft maintenance facilities.
