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Published: Feb 4, 2023
Updated: Feb 4, 2023

India Enters $2.7 Billion Global Market with Exports of Aviation Gasoline

Indian Oil Corporation (IOC) has made history by becoming the first Indian company to export aviation gasoline, a fuel used in unmanned aerial vehicles (UAVs) and small planes. The move marks India's entry into the global market for aviation gasoline, which is estimated to be worth $2.7 billion.

Aviation Gasoline: High-Octane Fuel with Superior Performance and Quality Standards

The first consignment of 80 barrels of aviation gasoline was shipped from Jawaharlal Nehru Port Trust (JNPT) to Papua New Guinea over the weekend. Each barrel contains 16 kiloliters of aviation gas.

According to IOC Chairman SM Vaidya, the indigenous production of AV gas 100 LL will not only save foreign exchange but also make training in domestic flying schools more economical for aspiring pilots. The fuel is certified by the Directorate General of Civil Aviation (DGCA) and will benefit around 35 flying schools in the country.

Unmanned Aerial Vehicles and Defense Preparedness

The development also has implications for India's defence preparedness, as UAVs are increasingly being used in modern warfare. After meeting domestic demand, IOC plans to tap into markets with high demand for aviation gasoline in regions such as South America, Asia Pacific, West Asia, Africa, and Europe.

Production of Aviation Gasoline at Vadodara Facility

IOC began production of aviation gasoline at its Vadodara facility in September 2022 and is currently the sole manufacturer of the fuel in India. The facility has an annual capacity of 5,000 tonnes.

Global Market of Aviation Gas Expected to Grow at 5% CAGR

The global market for aviation gasoline is expected to grow at a 5% CAGR, while aviation traffic in India is expected to grow at a 7% CAGR. With superior performance, quality standards, and competitive prices, IOC Chairman believes India will be able to secure a significant market share in the global market.