Financial Daily from THE HINDU group of publications Wednesday, Dec 22, 2004 |
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Airlines Govt may stipulate 5-year flying norm for pvt airlines to go abroad Ashwini Phadnis
New Delhi , Dec. 21 THE international air traveller could have more choices the next time they fly with the major private Indian carriers being on the verge of offering regular flight to-and-from the country. The Government is to soon stipulate that only those domestic airlines which have flown for a minimum of five years within India be allowed to operate to more international destinations. Currently, the Government allows the two existing major private sector airlines - Jet Airways and Air Sahara - to operate to the six SAARC countries. The new proposal is expected to be taken up by the Union Cabinet shortly, official sources said. In effect, the Cabinet nod would mean that both Jet Airways and Air Sahara could start flying between India and Singapore, Kuala Lumpur, Bangkok and London among others. However, the Cabinet nod will also mean that other players in the domestic market, including Air Deccan and the proposed start up airlines like Kingfisher, will have to wait a bit longer before being allowed into the international skies. Official sources told Business Line that though the "current thinking" among the top echelons in the Government is to allow only those airlines having five years of domestic experience to fly abroad there was a possibility that the minimum period of domestic operations could be relaxed to three years. The private sector airlines will, however, have to wait a bit longer to operate to the Gulf region. The Government will allow only Air India and Indian Airlines to operate on the Gulf routes for at least three years after private airlines are allowed to operate to more international destinations. The move not to allow private airlines has already seen some differences cropping up within the Government. The Ministry of Tourism has already written to the Ministry of Civil Aviation protesting the move. "The opening of international routes for private airlines would not be done in phases but in one go. They will also be allowed to operate to places where both IA and AI fly except for in the Gulf," senior Government officials said. However, even after Cabinet nod is given, it is likely to take the private sector airlines a few months to start regular operations to these international destinations. The Air Sahara President, Mr Rono Dutta, had earlier told Business Line that if the Government permission were given, it would take the airline about four months to start operations to Kuala Lumpur, Bangkok and Singapore.
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