Why Was India’s F1 Track Abandoned?

3 Min Read
PC: Rush Lane

India’s F1 Track, the Buddh International Circuit in Greater Noida, was inaugurated in 2011, and it was the first and only F1 track in India. It was designed by the renowned architect Hermann Tilke and was celebrated for its technical complexity and world-class facilities.

The track hosted the inaugural Indian Grand Prix on 30 October 2011, and over three years, from 2011-2013, the circuit experienced thrilling races and attracted global attention. Sebastian Vettel won all three editions and clinched his fourth world title at the venue in 2013 as well. Despite its initial promise and capacity to seat over 100,000 spectators, the track was dropped from the F1 calendar after 2013.

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Why Was India’s F1 Track Abandoned?

Why Was India’s F1 Track Abandoned?
PC: IBTimes

The primary reason for the abandonment of India’s F1 track was a combination of high taxes, lack of government support, and financial unsustainability. F1 was classified as “entertainment” rather than a sport, resulting in heavy taxation and customs issues, making it hard to reach for organisers and teams.

The most significant factor was the tax dispute with the Uttar Pradesh government (the local state government), which levied heavy taxes on the event. Moreover, the Jaypee Group, which built and operated the Circuit, struggled to recover its massive investment of over $400 million and faced mounting losses.

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Additionally, the group defaulted on payments to the Yamuna Expressway Industrial Development Authority, leading to the cancellation and sealing of the circuit. The lack of government support further escalated the issue, resulting in the abandonment of India’s F1 track.

Record-Breaking History Of India’s F1 Track

 

During its brief stint, India’s F1 track was a technical marvel. The Indian Grand Prix generated immense excitement, attracting top celebrities and millions of motorsport fans with an attendance of over 85,000 in its debut year. The event put India on the global F1 map and showcased the nation’s ability to host world-class events. However, despite the surge, the high costs of hosting fees, which were about $40 million per year, led to the event’s discontinuation.

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There has been an ongoing speculation about a possible return of F1 to India, especially given the circuit’s continued use for local racing and its maintained infrastructure. However, a comeback would require relaxation on taxes and the government’s support. While the track remains ready, an F1 return seems uncertain for now.

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