The order would be worth tens of billions of dollars and it would probably take a decade for the delivery of the jetliners by the companies Airbus and Boeing. The agreement may easily overshadow American Airlines’ more than ten-year-old purchase for 460 Airbus and Boeing aircraft. This directive would support the prime minister’s estimate of creating a $5 trillion Indian economy.After being acquired by the TATA Group in January 2022, the airline is making progress toward resuscitation. The deal is now almost finalised and there is anonymous news stating that the order includes as many as 400 narrow-body jets and 100 or more wide-bodies including Airbus A350s and Boeing 787 and 777u2019s.Looking at TATA’s previous agreement with Vistara Carriers, it appears that TATA Group is specifically trying to reclaim the majority of traffic to and from India that is currently dominated by foreign airlines, specifically Emirates.Image source – asia.nikkei.comAir Indiau2019s deals also portray that the airline is looking forward to grab the bigger share of domestic market as well as the regional international traffic competing against rival IndiGo in both the spheres.A number of challenges have been identified that Air India must overcome if it is to once again lead the world. Fragile local infrastructure, a lack of pilots, and the potential for fierce competition with well-established Gulf and foreign carriers are a few of these challenges.TATA, Airbus, or Boeing have not yet given this agreement their formal seal of approval. If this agreement is made, it will greatly benefit both the country as a whole and Indians searching for reasonably priced air travel. What are your views over this massive decision by Air India? What are your expectation from the TATA group?
