Civil Aviation Minister Kinjarapu Ram Mohan Naidu announced on Thursday that India’s aerospace market is expected to grow from just over $30 billion in 2025 to $61 billion by 2035, a near doubling in a decade. The growth will be driven by a projected increase in the domestic commercial fleet from 1,050 aircraft to about 2,050 by 2035, creating a large supply‑chain opportunity for Indian manufacturers and micro‑, small and medium enterprises (MSMEs).
Naidu highlighted the success of India’s auto‑component and mobile‑phone sectors as models for aerospace. He cited that MSME exports rose from roughly ₹4 lakh crore in 2021 to ₹12.4 lakh crore in 2025, with more than 173,000 MSMEs now exporting directly worldwide. He stressed that 80 percent of the skills and capacity needed for aerospace already exist in the country, and that the remaining 20 percent can be developed through regulation and support.
The minister also pointed to the current order book of 1,640 aircraft, which translates into an estimated 80 crore parts and components that must be manufactured domestically. Passenger traffic in India is projected to grow 8.9 percent year on year through 2035, the fastest rate among major economies. With global orders from Airbus and Boeing exceeding 15,000 commercial aircraft, the sector offers a unique combination of a booming domestic market and international OEMs seeking diversified supply.
The government plans to expand the ecosystem through the Modified UDAN scheme, adding 100 airports and 200 helipads with a budget of nearly ₹29,000 crore. The Airports Authority of India noted that Indian MSMEs already supply more than ₹18,000 crore worth of aircraft components annually. Boeing lists 300 Indian supplier partners, 25 percent of whom are MSMEs, underscoring the potential for rapid scaling and innovation within the country’s aviation infrastructure.“}
