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THIRUVANANTHAPURAM: The Water Resources Minister, Mr T.M. Jacob, has urged the Union Civil Aviation Ministry to set up a budget airline to cater to the needs of passengers in the Gulf sector.

An official spokesman quoted the Minister as saying in a memorandum submitted to both the Prime Minister and the Civil Aviation Minister that the passengers had not received any benefit from the State Government's decision to slash sales tax on aviation fuel. This, he said, could be attributed to the negative stand taken by Air India and Indian Airlines on the issue.

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