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Market Analysis – Russian Aviation Industry
Synergyst, Oct 2006, Pages: 49
The Russian aviation industry was seriously afflicted by the market reforms carried out by the Russian Government during the 90’s. Starting 1990, government subsidies to industry were reduced, procurement of new aircraft, equipment and spares were cut significantly, and as a result the factories have been operating at only a fraction of their capacity. The state-owned airline Aeroflot was further divided into the International carrier and numerous local airlines. Without timely replacements, aircraft and equipment suffers from aging and up to 95% of the fleet consists of aircraft designed in the 1960s and 70s.
Nonetheless, Russia remains a country with tremendous market for aviation services. Huge proportions of the country will inevitably require more domestic air traffic. Moreover, after decades of restrictions on traveling abroad during the Soviet period, many Russians are now using the opportunity to travel extensively on business and as tourists in ever increasing numbers. In order to cater to this demand Russian airlines and aviation industry need to overcome the current crisis and develop an improved aviation infrastructure. However, the available resources are insufficient for such a comprehensive task.
This Market Analysis on the Russian Aviation Industry focuses on this dynamic industry and analyzes the industry right from the basics to a more in-depth focus on the Russian aviation industry. The report covers the historical background of this industry and traces the developments which affected the industry through the years. Key market and industry trends, growth drivers, export/import scenario, competitive landscape, an analysis of the leading players in the industry, and more are covered in-depth in this report.
It is inevitable that air transport in Russia will acquire due importance, as the economic conditions in the country stabilize. Huge distances, unsatisfactory railroad services and highway infrastructure will ensure that the role of air transport will consistently grow. This Market Analysis – Russian Aviation Industry focuses on this incredibly lucrative industry and tracks the growth of the industry for global decision makers.
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