Explained: Why The World Observes International Civil Aviation Day

It would be hard to imagine the state of the current world with airplanes. Other than the obvious travel part of it, globalization would not be as we know it today. But apart from the facilities, it has gifted humanity, the aviation industry has a tremendous social and economic impact on the world we know today.

Aviation generates about 4% of global GDP and supports more than 65 million jobs around the world. According to Forbes, ¡°If aviation were a country, it would rank 20th in size by GDP. That equates to the GDP of Switzerland or Argentina¡±.

Aviation contributes to the global economy in a variety of ways, including direct employment for the on-air crew, ground crew, and corporate staff, as well as indirect employment for engineers, navigators, suppliers, cargo logistics, and manufacturing. Aviation also helps other sectors in aspects of supply, transportation and is associated with some other sectors like tourism.

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Countries dependant on aviation

Aviation also helps tourism, and in some countries, such as the Maldives and Seychelles where tourism accounts for a substantial amount of their GDP, the sector's importance is evident. Global aviation contributes more to global GDP than the automobile or pharmaceutical manufacturing industries combined.

Aviation makes an almost incalculable contribution to global trade and economic development by providing vital connectivity links. Aviation has provided a means for high-value, perishable items to be transported efficiently and swiftly around the world. An aircraft transports 0.5 percent of global products. It does, however, transport 34.6 percent of the value of goods and services. The enormous value and frequency of commodities transported by air transportation reflect the sector's importance in the global economy.

Aviation industry in India

India's aviation industry is growing at a rate nearly four times faster than the international average. The Aviation Industry in India has placed the biggest order for aircraft globally. India's aviation industry accounts for roughly 69 percent of all airline traffic in the South Asian region.

In India, according to the Aviation Benefits Beyond Borders 2018 report, 404,000 jobs were generated by the Aviation Industry directly in India. In addition, the sector generates further 1496000 jobs indirectly. Foreign tourists arriving in India by air are anticipated to contribute an additional 4.3 million employment by spending their money in the local economy. Air transport and visitors coming by air support a total of 6.2 million jobs.

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According to the same report, the air transportation business, which includes airlines and their supply chain, is predicted to contribute $13 billion in GDP. Foreign visitor spending contributes another $22 billion to the country's GDP, bringing the total to $35 billion. Inputs to the air transport sector and foreign tourists arriving by air account for 1.5 percent of the country's GDP.

Aviation in a globalised world

Apart from its contribution to economics, the Aviation sector has had an impact on the social aspects of the world. While airplanes played a decisive role in the second world war, it played no lesser role in post-war globalization. Commercial civil flights with time became a norm in the world.

Travel became cheap and convenient with these flying beasts. With this convenience in travel came more people-to-people interaction among citizens of different countries. While the culture, traditions, cuisine, fashion like others traveled from one part of the world to another, the world became what we today call a global village. With the development of this sector regions and places considered far-flung nationally and internationally became connected to the rest of the country and world. And the transportation of goods became easier than ever.

Revenues for the industry were $328 billion in 2020, up 40% from the previous year. That's the same as it was in 2000 in nominal terms. For years to come, the industry is projected to generate less revenue. According to estimates, one cannot expect traffic to rise to 2019 levels before 2024.

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Keeping in view the social and economic importance of civil aviation, the United Nations observes 7th December as International Civil Aviation Day. The purpose of the commemoration of this day according to the UN is ¡°to help generate and reinforce worldwide awareness of the importance of international civil aviation to the social and economic development of States, and of the unique role of ICAO(International Civil Aviation Organization) in helping States to cooperate and realize a truly global rapid transit network at the service of all mankind¡±.

According to the UN website, ¡°The global Air Transport sector supports 65.5 million jobs and USD 2.7 trillion in global economic activity, with over 10 million women and men working within the industry to ensure 120,000 flights and 12 million passengers a day are carried safely to their destinations.

The wider supply chain, flow-on impacts and jobs in tourism made possible by air transport show that at least 65.5 million jobs and 3.6 percent of global economic activity are supported by the aviation industry according to research by the Air Transport Action Group (ATAG)¡±