Delegates have begun to arrive for the annual International Air Transport Association (IATA) summit in India, which represents more than 300 airlines and over 80pc of global air traffic, and which will hold its annual three-day meeting from Sunday in New Delhi.
The aviation industry is facing rising cost pressures and supply chain bottlenecks despite a post-pandemic recovery in travel demand.
The summit, hosted by India’s largest carrier IndiGo, comes as the world’s third-largest air passenger market rapidly expands its aviation industry, and as air travel growth in Asia is expected to outstrip Europe and North America for the next few decades.
India’s recent hostilities with neighbour Pakistan, which is causing Indian airlines to take large, expensive detours around Pakistani airspace, highlight how conflict zones are an increasing burden on airline operations and profitability.
An unpredictable trade war and daunting environmental targets are on the agenda for global airline CEOs at the annual International Air Transport Association (IATA) summit in India.IATA has increasingly been warning that airlines will struggle to meet their sustainability goals,
and that it is not clear how the transition to sustainable aviation fuel (SAF) and new technologies will be financed.
The broader aviation sector agreed in 2021 to target net-zero emissions in 2050 based mainly on a gradual switch to SAF, which is made from waste oil and biomass and costs more than conventional jet fuel.
IATA Director General Willie Walsh has in recent weeks said the industry will need to re-evaluate the commitment, though no change to industry goals is expected at the New Delhi event.
Airlines are at odds with energy companies over scarce supplies of SAF, while also pointing the finger at Airbus and Boeing over delays in delivering more fuel-efficient jets.
Governments are also likely to get some flak when Walsh delivers his characteristically punchy address to airline CEOs on Monday.
