North East India undergoes transformation due to air infrastructure developments
The North-Eastern region of India, comprising of eight states – Assam, Arunachal Pradesh, Sikkim, Tripura, Meghalaya, Mizoram, Nagaland, and Manipur – is experiencing a significant economic boost, thanks to the development of airport infrastructure and increased investment in the aviation sector.
The number of operational airports in the region has almost doubled since 2014, with the addition of three new greenfield airports in Arunachal Pradesh and one each in Sikkim, Nagaland, and Tripura. This development has not only bolstered the air operations but also opened up opportunities for the region's farmers, agriculture, and tourism sectors.
Air operations in the North East have seen a 36% increase from August 2017 to August 2022, a trend that is likely to continue with heavy government spending on aviation augmentation and corporate investment. Reliance Industries Chairman Mukesh Ambani plans to increase his investment in the North-East Indian states from INR 300 billion to INR 750 billion in the coming years, while another industrialist, Gautam Adani, has pledged INR 1 trillion investment.
These investments aim to boost regional connectivity, enhance economic development, and promote tourism in the area. The Government of India has also launched the Krishi Udan scheme to enable cost-effective and time-bound air transportation of agricultural produce from hilly areas, tribal regions, and North-Eastern states, with a full waiver of various charges.
The improved airport infrastructure has not only benefited the farmers but has also opened up the region as a gateway to Southeast Asian countries. A start-up named North East Farm Sales Promotion recently sent organic food items from North East India to Vietnam using the newly started flights.
The North-Eastern region's proximity to Southeast Asia positions it as a strategic location for trade and cultural exchange. Jyotiraditya Scindia, Union Minister of Development of North Eastern Region, stated that the North-East will be transformed into a hub of connectivity, trade, and innovation.
The development of airport infrastructure has also created jobs and reduced dependence on rail or road transport in the region, as stated by Mark Martin, CEO of Martin Consultancy. All-weather airports are ensuring that perishable items are transported in time, preventing transportation lags.
The Government of India allocated INR 56 billion in this year's annual budget for the development of North Eastern airports, an increase of 47% from the previous year. The UDAN (Ude Desh ka Aam Nagrik) scheme by the Government of India facilitates regional air connectivity in North-East Indian states and with other cities.
The economic growth and improved connectivity have attracted more tourists to the North-Eastern states. The number of tourists visiting North Eastern states has surged and is expected to increase by 25% year-on-year, with 11.8 million domestic and 100,000 foreign tourists visiting in 2022.
The report titled 'Unlocking the Economic Viability and Potential of North Eastern Airports' states that the development of North Eastern airports presents a promising avenue for economic growth, tourism promotion, and cultural exchange. With the ongoing investments and focus on the region, the North-East is poised to become a significant contributor to India's Act East Policy.
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