Low-cost airports can be the answer to aviation challenges: KPMG

According to a Press Trust of India (PTI) report, non-operational and low cost airports could be the answer to the challenges faced by the aviation sector in the country as they not only enhance connectivity, but aid in rationalising costs incurred by airlines and decongest traffic at regular airports. A study released by audit and advisory firm KPMG pointed out that these airports will also provide much-needed relief for Low Cost Carriers whose financial position has been negatively impacted by rising aviation fuel prices and operational costs in the Indian airports.

The study has an optimistic outlook towards the future of airport retail as well. It suggested that the takers for airport retail are spread across industries and service providers. The food and beverages players have shown the maximum interest in creating a presence in airports, and are closely followed by fashion houses and consumer durable players. Most international luxury brands also consider setting up shop in Indian airports as a definite part of their global strategy. The findings also said that despite the aviation sector witnessing one of the worst turmoil of recent times