Various Business Associations of Ludhiana seek resumption of air services from Ludhiana

Ludhiana, March 20, 2015: Various business associations have written letter to Civil Aviation Minister demanding resumption of air services from Ludhiana and conversion of Ludhiana airport to International level.

The letter states, “As you may be aware that Ludhiana is the largest district of Punjab with around 34 lakhs (12% share) of population. The Ludhiana is the vibrant industrial hub for cycle, auto parts, woolen & hosiery, machine parts and industrial goods, among others. Ludhiana is Asia’s largest cluster for bicycle/its parts manufacturing (around 8 million cycles per year). Ludhiana produces 60% of India’s tractor parts and a large portion of auto and two-wheeler parts. Many parts used in German cars like BMW and Mercedes are exclusively produced in

Ludhiana to satisfy the world requirement. It is one of the largest manufacturer of sewing machines. Hand tools and precision industrial equipment. The apparel industry Ludhiana is famous all over India for its woolen sweaters and cotton T-shirts; most of the top Indian woolen apparel brands are based in Ludhiana.

Even data shared with minister reveals, “Ludhiana contributed around Rs.29772 Cr (i.e. 14.7%) in 2010-11 to the NGDP of Punjab economy. The total exports from Ludhiana as per state government estimate was to the tune of Rs.15740 Cr (73% of the Punjab) in 2011-12. Ludhiana provided 19.1% jobs out of total 35.62 lakhs jobs in 2012-13 of Punjab. The Ludhiana district constitutes large number of NRIs, their active interface and remittance. It has Asia’s biggest Punjab agricultural university. It is a major Industrial Centre of north India and as per NCEAR it is one of the 20 cities to watch for. In 2009 the World Bank rated Ludhiana as best city for business environment. The huge population including NRIs, several thousand industries base and high economic importance have made Ludhiana a natural candidate for a major airport.”

The airport need at Ludhiana was first felt in way back in 1962, during the time of Punjab Chief Minister Pratap Singh Kairon, promoted a Flying Club and eventually became the Sahnewal/Ludhiana airport. The airport is spread over an area of 124.27 acres, terminal has the capacity to handle 20 flights and dimension of runway is 4800ft by 100fts. The O&M of the airport is with Airport Authority of India. The airport is operational w.e.f. 1972 with interruptions of flights from Jam air, then Vahudoot, then Indian airlines and lately of Air India three days a week, which was discontinued since 1st June 2014 due to reasons other than traffic Volume via-a-Vis viability. In fact, the list of existing operational airports of India suggest that there are several cities of less overall importance having lesser traffic volume than Ludhiana continue to have air connectivity or planned to have it.

The dire need of not only resumption of the flight service form Ludhiana but also up-gradation of the Sahnewal airport to international level is well recognized by all the stakeholders including the Punjab and Central government. In absence of this critical facility, most of the by-air passengers are compelled to travel by road to Chandigarh (100kms) for catching flights to Delhi, Mumbai etc. or else board in the 1st class of trains to Delhi; the total diverted passenger load would run into several hundred. As a consequence, all the executive (1st) class seats of Ludhiana bound trains are always under acute shortage for travelling to Delhi. The entire by-air passenger segment comprising of families of Ludhiana region; industrialists; executives of producers, buyers and sellers; NRIs; government officials; etc. and cargo transport continue to suffer due to non-availability of air services from Ludhiana. This grim scenario is contrary to the conventional wisdom, which says air service  generate multiple opportunities and there is a strong causal link of air services with faster & better air traffic leading to economic growth and job creation. Thus Ludhiana is continue to lose opportunities by not able to unlock its untapped potential and restricting its advancements in all economic activities.

In the latest survey prepared by IMRB on Ludhiana airport in 2009, it was brought out that from Ludhiana and adjacent areas a total 1.46 million air passenger traffic travelled to and fro in 2007-08. It has potential traffic of 3,75,500 passengers mostly to Delhi and Mumbai.

Ludhiana has a strong case for developing it as an international airport. In fact, potential for international traffic is 3 times more than the domestic traffic. Subsequently, DPR is stated to be prepared by Bengal Aerotropolies projects limited for this airport and submitted to PSIDC with favorable recommendations.

It is welcoming to note that the Government of India is embarking upon setting up of greenfield industrial zones with the initiative of States and support of GOI for specific purpose (Information Technology Industrial Region-ITIR under Deity Department with 40 sq. kms land and external infrastructure including airport is to be created by Central Government as viability gap funding in PPP mode) and common purpose (national Industrial Manufacturing Zone-NIMZ under DIPP Department with min 5000 hectares of land and external infrastructure including airport is to be created by Central Government as viability gap funding in PPP mode).

However, such initiatives should succeed to the brown-field requirement of critical/basic facility of a fully operational international airport for a long established and high earning and large scale job providing industrial zone at Ludhiana. This need becomes more important and urgent in view of the fact that GOI is considering setting up of Amritsar-Ludhiana-Kolkata Industrial corridor.