Opinion: Beyond Runways: The Next Chapter For Tier-2 And Tier-3 Aviation
India's regional aviation sector is experiencing rapid infrastructure growth, yet many routes under the UDAN scheme struggle to remain viable once subsidies expire. The article argues that future success depends on shifting from simple route-based planning to integrated networks that align with existing economic corridors and appropriate aircraft selection.
Why it matters
As India becomes the world's third-largest aviation market, optimizing regional connectivity is critical for national economic integration and the long-term sustainability of the aviation industry.
India's domestic aviation market is now the world's third largest. Airlines have ordered more than 1,500 aircraft. The number of airports has more than doubled since 2014, from 74 to 159. By the usual scorecard, this is a remarkable success.Look closer at what those assets actually do, and the story becomes more nuanced. Of the 669 routes launched under UDAN, the flagship scheme to connect smaller cities by air, only about half are still flying. An audit by the Comptroller and Auditor General found that once the subsidy supporting a route ends, about one in ten routes continues on its own.The easy explanation is that India's regional aviation market simply is not ready. But almost everything else moving between tier-2 and tier-3 cities is booming. Trains run close to capacity. Highways carry more traffic than planners expected.
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