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Import of aircraft, helicopters made easier

Our Bureau

Trade policy to make India centre for aviation services

New Delhi , April 7

The annual supplement to the foreign trade policy unveiled a host of measures that should provide a boost to the aviation sector including making the import of aircraft and helicopters less cumbersome.

The Government will now treat supply of stores including beverages and food as also refuelling of long distance flights on an equal footing with other exports.

New policy

The policy seeks to do away with the need of obtaining a licence from the Director-General of Foreign Trade

for importing an aircraft or helicopters to a host of agencies including Air India, Indian Airlines and any person granted permission by the Ministry of Civil Aviation to operate scheduled or non-scheduled air transport services.

The policy also liberalises the import of reconditioned/second-hand aircraft spares, by allowing Air India, Indian Airlines, Vayudoot, Pawan Hans Ltd and scheduled domestic private airlines among others to import without a licence, certificate or permission on the recommendation of the Director-General of Civil Aviation.

Foreign airlines will also be eligible to import reconditioned/second hand spares without a licence, certificate or permission but on the recommendations of the DGCA.

Equal treatment

Addressing a press conference, after unveiling the policy, the Minister for Commerce and Industry, Mr Kamal Nath, said the decision to treat supply of stores including beverages and food as also refuelling of long distance flights on an equal footing with other exports would enable India to offer fuel at competitive prices and attract mid-route stops of international airlines.

"Currently, most airlines replenish supplies or refuel in Thailand, Malaysia or Singapore since these supplies were not treated as exports in India," said Mr Nath.

There was, however, a division among the domestic industry on who would benefit from today's policy announcements.

"On the whole, we believe that the announcements will increase traffic and a quality of services being offered at the airport. The state will also benefit as the number of passengers increases," said Mr T. Srinagesh, Chief Operating Officer, GMR, Hyderabad International Airport Ltd.

Domestic airline officials, however, felt that the policy would only benefit the oil companies.

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