+
Indian aviation industry suffers over Rs 240 bn loss in 2020-22
AVIATION & AIRPORTS

Indian aviation industry suffers over Rs 240 bn loss in 2020-22

India's aviation industry suffered a loss of over Rs 240 billion in the last two financial years during 2020-22.

As per the Union Ministry of Civil Aviation, the industry in FY 2020-21 suffered a loss of Rs 124.79 billion and in FY 2021-22 it was Rs 116.58 billion.

In a reply at the Lok Sabha, the Ministry said the Centre has taken various initiatives to support the aviation industry. The reduction in VAT on Aviation Turbine Fuel (ATF) was taken up with state governments and union territories levying high VAT on ATF. As a result, VAT on ATF has been reduced by 17 states and UTs.

The reply said that the GST rate has been reduced from 18 per cent to 5 per cent for domestic Maintenance, Repair and Overhaul (MRO) services.

The Ministry further informed that the Airports Authority of India (AAI) and other airport developers have targeted a capital outlay of approximately Rs 980 billion in the next five years for the expansion and modification of new and existing terminals as well as the strengthening of runways, among other activities.

The Centre has also approved the Emergency Credit Line Guarantee Scheme (ECLGS) to the aviation sector, according to the Ministry.

Based on the industry demand, the scope of ECLGS has been enhanced to provide credit support to these companies upto 100 per cent of their total credit outstanding (both fund based and non-fund-based outstanding) as on reference dates, subject to a cap of Rs 15 billion per borrower, whichever is lower, it said in its reply.

Also Read
Tata Power and AutoGrid collaborate to expand Mumbai's energy system
Power Min informs 39 hydro projects being implemented, 9 stalled

India's aviation industry suffered a loss of over Rs 240 billion in the last two financial years during 2020-22. As per the Union Ministry of Civil Aviation, the industry in FY 2020-21 suffered a loss of Rs 124.79 billion and in FY 2021-22 it was Rs 116.58 billion. In a reply at the Lok Sabha, the Ministry said the Centre has taken various initiatives to support the aviation industry. The reduction in VAT on Aviation Turbine Fuel (ATF) was taken up with state governments and union territories levying high VAT on ATF. As a result, VAT on ATF has been reduced by 17 states and UTs. The reply said that the GST rate has been reduced from 18 per cent to 5 per cent for domestic Maintenance, Repair and Overhaul (MRO) services. The Ministry further informed that the Airports Authority of India (AAI) and other airport developers have targeted a capital outlay of approximately Rs 980 billion in the next five years for the expansion and modification of new and existing terminals as well as the strengthening of runways, among other activities. The Centre has also approved the Emergency Credit Line Guarantee Scheme (ECLGS) to the aviation sector, according to the Ministry. Based on the industry demand, the scope of ECLGS has been enhanced to provide credit support to these companies upto 100 per cent of their total credit outstanding (both fund based and non-fund-based outstanding) as on reference dates, subject to a cap of Rs 15 billion per borrower, whichever is lower, it said in its reply. Also Read Tata Power and AutoGrid collaborate to expand Mumbai's energy system Power Min informs 39 hydro projects being implemented, 9 stalled

Related Stories

Gold Stories

Next Story
Infrastructure Urban

KONE Opens India's First Digital Experience Centre in Pune

KONE, a global elevator and escalator manufacturer, has inaugurated its first Digital Experience Centre (DEC) in India, located in Pune. The facility aims to showcase how artificial intelligence (AI), connectivity and data-driven technologies can enhance customer experiences and improve building operations.The centre was inaugurated by Jussi Herlin, Executive Vice Chair, KONE Corporation; Philippe Delorme, President and CEO, KONE; and Nandan Nilekani, Co-founder and Chairman of the Board, Infosys.Designed as an interactive customer environment, the facility demonstrates digital solutions cover..

Next Story
Infrastructure Urban

CII GreenCo Launches Circularity Guidelines for Indian Industry

The Confederation of Indian Industry (CII) GreenCo Council has launched the CII GreenCo Circularity Guidelines – Pilot Version at the 17th CII GreenCo Waste & Resource Management Summit 2026 in Chennai. The initiative aims to strengthen resource efficiency, waste reduction and circular economy practices across Indian manufacturing and process industries.The guidelines introduce a structured framework with circularity indices covering raw materials, consumables, packaging and other resource inputs. These indicators will help industries assess existing practices, identify opportunities to ..

Next Story
Infrastructure Energy

Global Electronics Association Launches IPC-1783-CO2E Standard

The Global Electronics Association has introduced IPC-1783-CO2E, a new international standard aimed at improving consistency, transparency and comparability in product carbon footprint reporting across the electronics manufacturing industry.The standard, titled International Standard for Data Collection and Reporting of CO2 Equivalent (CO2e) Emissions for the Electronics Manufacturing Supply Chain, provides industry-specific guidance for collecting, estimating and reporting carbon emissions data.With increasing regulatory requirements and customer expectations, electronics manufacturers face c..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code