With the business jet and general aviation industry clocking a two per cent negative growth last fiscal, consolidation seems to be the only way out to make the business economically viable, the new head of an operators’ body said today.
Business Aircraft Operator Association’s newly-appointed president Jayant Nadkarni told the news agency that the process has already begun, though at a smaller scale, as people have realised that flying an aircraft and setting up a company with a non-scheduled operator permit (NSOP) are not conducive.
“Consolidation has already started but it is happening in a small way. When consolidation happens, slowly growth takes place, it gives you economy of scale besides making your business more focused,” he said.
Nadkarni, who is also the co-founder and chief operating officer of the Mumbai-based air charter company Invision Air, said the jet operators need to adopt aircraft management business model, in which several NSOP holders collaborate with one operator, for a long-term viable business.