India, June 3 -- India's ambition to become a global aviation hub could take a hit unless it brings clarity and consistency to its taxation framework, Willie Walsh, director general of the International Air Transport Association (IATA), said on Tuesday.

Speaking on the sidelines of an IATA event held in India after 42 years, Walsh said taxation has long been an obstacle in airline operations and remains one of the biggest challenges to growth.

"When we talk about India, taxation is always one of the items on the agenda," he said. "India has a very complex tax system, and it's been a feature of our industry for many years; it's not a new issue."

Walsh said the solution does not lie in eliminating taxes altogether, but in creating a more...