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Rediff.com  » Business » Boeing to revise India forecast in June

Boeing to revise India forecast in June

Source: PTI
March 20, 2006 18:29 IST
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Boeing on Monday said it will revise its forecast for Indian civil aviation market in June and expects the aircraft needs of the country will be definitely less than that of Airbus, its trans-Atlantic rival.

"We will be revising our forecast for the country in June. According to the Airbus forecast, the requirement here is 900 airplanes valued around $90 billion. Its more than triple of our last year forecast and I believe the actual requirement would be somewhere in between," Boeing Commercial Airplane senior vice president (sales) Dinesh A Keskar told reporters in Mumbai.

According to Boeing's last year forecast, Indian carriers will buy 492 aircraft for about $36 billion over the next 20 years.

Meanwhile, according to Airbus forecast last month, the European airplane maker had said the Indian civil aviation market would need about 900 aircraft valued $90 billion.

This was probably based on AAI estimates of 19 million passengers who travelled by air in 2005.

In 2005, Boeing had bagged orders for 98 airplanes including a firm order for 68 aircraft from Air-India, valued Rs 35,000 crore (Rs 350 billion). Jet Airways and SpiceJet have also placed firm orders for 30 Boeing aircraft in 2005.

Keskar said Boeing was in discussion with Jet Airways for selling its most modern 747-8 airplanes.

"We are negotiating (the deal) with Jet Airways. We expect orders from them for 747-8, which is our latest airplane. Air-India is also interested in the same aircraft, but it will take time for A-I to place another order," he said.

About the $100 million investment in the country to set up maintenance, repair and overhaul (MRO) facility, Boeing said it was scouting for a partner for the project.

"We are looking for a partner. We have A-I, Jet Airways, and SpiceJet here. Perhaps we will tie up with somebody for the MRO facility. We are negotiating that with all the

stakeholders, nothing has been finalised," Keskar said.

The US aerospace firm has received proposals from six Indian states to set up the MRO facility.

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