Air transportation in India is still at a growing stage and has much less market share in terms of volumes and revenue than other conventional modes of transportation such as roads and railways. This is primarily because air travel is still perceived to be a rich man’s mode of transportation. However, this low rate of penetration in itself presents immense potential for growth. Moreover, a number of low-cost airline carriers have recently emerged on the scenario, making air travel much more affordable than before. At the same time, the present high costs of aviation fuel have proved to be a major deterrent to the development and expansion of air transportation in India. Most of the Indian airline companies are running at a loss which has led to the entire industry becoming temporarily unprofitable. Going ahead, more government support and a stable fuel pricing policy should go a long way towards ensuring a brighter future for the industry. Hide this