The Hindu Business Line : Cabinet clears India, Australia revised air services pact

The Union Cabinet today approved a revised air services agreement between India and Australia, aimed at designating as many airlines as the two nations wished for.

The agreement, revised during bilateral civil aviation consultations in September 2004, would lead to opening up of the sky between the two nations enhancing the number of air services to a significant extent.

Announcing this after the Cabinet meeting today, the Parliamentary Affairs Minister, Mr P.R. Dasmunshi, told reporters that under the new agreement, both countries would have "the right to designate as many airlines as they wish". The designated airlines of each side would mount agreed number of services and on agreed routes between the two countries as decided from time to time.

The agreement would terminate after one year of the date of receipt of notice by the other party, unless the notice is withdrawn by mutual consent of the parties before the end of this period, he said.

The revised agreement signifies an important landmark in civil aviation relations between India and Australia and had the potential to spur greater trade, investment, tourism and cultural exchange between the two nations.

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