Showing posts with label Foreign Nov 2011. Show all posts
Showing posts with label Foreign Nov 2011. Show all posts

Wednesday, November 30, 2011

Male Airport: MPs lash out at India's GMR over development charge

MPs today lashed out at India's GMR over its management of Ibrahim Nasir International Airport and the US$25 development charge it plans to collect from departing international passengers commencing January.
Speaking on the resolution submitted by Villufushi MP Riyaz Rasheed against the Airport Development Charge (ADC), Kulhudhuffushi-South MP Mohamed Nasheed said the people can "still cut off the wings of these people [GMR]" through collaborative efforts.
Nasheed said the agreement made by the government and GMR was not a fair deal under which the losses incurred exceeds the income.
"And I believe GMR is a way by which the influence of the Indian government and its economy will reach the Maldives. I believe GMR is a large company in India and plays a major role in the Indian economy, which in return have a major influence on the country's national security. India will, without any doubt, prioritise matters of its national security," he said.
The former Information Minister said GMR is currently receiving all the funds from airport handling.
"They received an airport operating with a huge influx of cash into its drawers. Their income increased when they raised the charges. The reality today is that they are receiving the airport handling charges and is bringing an end to the operations of duty free [shops] owned by Maldivians," he said.
Nasheed noted that Airport Reps have told him that they have been asked by GMR to "leave the airport".
"Their concern is that GMR officials will escort tourists from the time they reach the jetty in speedboats and to the check-in counters commencing January and that they will escort arriving passengers from the arrival hall to the speedboat. Two days has not passed since a person, who has been working at the airport for 22 years, told me that," he said.
Riyaz said the Indian company is increasing charges without developing the airport and is taking over duty free shops and bonded warehouses owned by Maldivians.
29/11/11 Ahmed Hamdhoon/Haveeru

GMR's Male airport expansion may face political hurdle

Mumbai: Bangalore-based GMR Group could face hurdles in expansion of the Male airport in Maldives.
A local political party has threatened to file a case in a civil court in the country against GMR's proposal to levy $25 as airport development from January.
The group, which runs Delhi and Hyderabad airports, won the bid to maintain and modernise the Male airport last May. The group also runs the Istanbul airport.
In the second quarter of 2011-12, the group's airport sector recorded 71 per cent growth in revenue and 90 per cent rise in operating profit. However, the sector made a loss of Rs 42 crore because of non-finalisation of tariff for the Delhi airport.
According to a report in Haveeru Online, a Maldives publication, the Dhivehi Qaumee Party will file a case to prevent GMR from collecting airport development fee and $2 as insurance charge from passengers. The party has alleged that GMR failed to develop the airport according to the agreement with the government and the levy violates a local law.
30/11/11 Business Standard

Aviation ministry proposes foreign airline FDI in local carriers

Mumbai: The aviation ministry has proposed allowing foreign airlines to invest under 26 percent in Indian carriers and the final decision will be made by the cabinet, civil aviation minister Vayalar Ravi told news channel CNBC TV18.
India allows up to 49 percent foreign investment in Indian carriers but bars foreign carriers from owning stake.
With most carriers suffering losses due to high costs and debt in a crowded and competitive aviation market, the government is now mulling a change in regulation.
"FDI (foreign direct investment) is acceptable till a limited point. That limited point is still under debate," Ravi said in the televised interview.
"The proposal of my ministry is less than 26 percent," he said, adding the final decision will be taken by the cabinet. He did not give a timeline.
The Department of Industrial Policy and Promotion and the Civil Aviation Ministry differ on the quantum of stake that foreign airlines be allowed to pick up, government sources told Reuters in October.
29/11/11 Times of India

Air India, Jet Airways: Seven flights to London cancelled

New Delhi: Seven flights moving to London have been cancelled by Jet Airways and Air India on Wednesday against the general strike made by several British unions followed by other staff.
As per the sources, Jet Airways has cancelled three flights which include: Two flights from Mumbai, One flight from New Delhi
While, Air India has cancelled four flights from Delhi and Amritsar to London.
According to the UK Civil Aviation Authority, All the airlines have to face the affect against this 24-hour strike and this would crash the incoming flights and could extend the delays.
29/11/11 Parda Phash

Government not approving applications to fly overseas: Rahul Bhatia, IndiGo

New Delhi: Hitting out at the government, co-founder of India's most successful airline IndiGo has said that the governmnet is not approving applications to fly overseas. Rahul Bhatia said IndiGo has applied for 30 international departures every day.
Rahul Bhatia, who floated IndiGo airlines with Rakesh Gangwal five years ago said that the government should not change current FDI policy in aviation. "The success formula of the carrier is low operation cost, low fares and more customers," said Bhatia.
Bhatia said that IndiGo's focus will be in India and reiterated that Air India would end up as a loser if foreign airlines are allowed to buy into domestic carriers. In the coming years, air traffic in the country is set to jump and the opportunity it will create should belong to Indian carriers.
29/11/11 Economic Times

Monday, November 28, 2011

Qatar Airways CEO eyes further Indian expansion

Qatar Airways is looking for further expansion opportunities in India for both passenger flights and cargo, the airline's CEO has said.
Akbar Al Baker said he was keen to develop more routes in India, stressing the importance of the "strong market".
He said: "This is a market that is strong and full of confidence. We are eyeing more opportunities here in India and look forward to developing our footprint further to give the travelling public a wider choice of services they deserve, and the cargo community more flights to ease the flow of goods, produce and other shipments to and from India."
Qatar Airways currently operates a total of 110 flights a week in India, a four-fold increase from just a few years ago.
"Having launched flights to Goa, Amritsar, Bengaluru and Kolkata over the past 24 months, our new routes have facilitated growing demand for more capacity to and from India," Al Baker added.
Qatar is India's largest supplier of liquefied natural gas (LNG) while exports from India to Qatar centre on food, machinery, chemicals, jewellery and textiles.
Al Baker said India played a key role in Qatar Airways' infrastructure. The airline is a key employer of Indian nationals, who represent around 25 percent of the state-backed carrier's 20,000-strong workforce.
27/11/11 Andy Sambidge/Arabian Business.com

Despite protests, EU goes ahead with emission cap for airlines

New Delhi: From January 1 all airlines flying in and out of the European Union will need to meet a specific carbon emission requirement. Though protests have been voiced from various countries, the European Union is going ahead with the emission caps for the airlines.
A senior oil industry official said, “We are at present producing jet fuels which meets the specifications laid out. Currently, there is no communications for any change in these specifications like was in the case of auto fuels – up gradation to Euro I-IV.”
However, tomorrow if there is any change proposed then the refiners will need to upgrade the quality. The refiners also export jet fuel. In 2010-11 the refiners exported 4.48 million tonne of jet fuel.
The norms are more for the airline than the refiners, industry sources say. Indian carriers operating to Europe are likely to see their costs rise by €50-60 million annually. “This figure is likely to rise as airlines expand operations to more countries in Europe,” said a senior airline official.
This is because from January 1, the legislation to include aviation emissions in the Emissions Trading Scheme (ETS) comes into force. Emissions from aviation currently account for just 2-3 per cent of global greenhouse gas emissions but they are set to grow very rapidly.
27/11/11 Richa Mishra/Ashwini Phadnis/Shishir Sinha/Business Line

Kandahar hijack plotter was idol for IM men

Bhopal: The mastermind of December 1999 Kandahar hijack Mohammad Masood Azhar, was role model of the alleged Indian Muhajideen (IM) operatives who are facing the charges of treason and have been lodged in different jails at Bhopal and Jabalpur.
The 1300-page charge sheet submitted by the state's Anti Terrorist Squad (ATS) comprises contents of audio tapes and videos of Azhar, the maker of most-feared terrorist organisations in Jammu and Kashmir — Jaish-e-Mohammad — confiscated during the crackdown on alleged SIMI/IM operatives Abu Faisal and seven of his accomplices.
The tapes have Azhar's voice narrating how Osama bin Laden's al-Qaeda hijacked Indian Airlines jetliner IC-814 to Kandahar, Afghanistan, on the Christmas eve of 1999 to secure his release.
"Jub muje chhorne Jaswant Singh aaya or mere baju se gujra, uski nigaheen zameen par thi" (when Jaswant Singh (the then Indian foreign minister) came to release me, and walked past me, he looked at ground) — this was one of the Azhar's line quoted in the charge sheet as contents of the audiotapes.
Another audiotape, which is part of the charge sheet, contains Azhar's story of jail term in India after getting arrested in February 1994, while travelling to Srinagar from New Delhi. The JeM commander narrates the treatment given to him in custody by the Indian army.
28/11/11 Daily Bhaskar.com

Bulgarian Parliament Chair Finally Makes It to India

Speaker of Bulgarian Parliament Tsetska Tsacheva has paid her tribute to the Raj Ghat monument to Mahatma Gandhi in Delhi Sunday.
Her official visit to India was delayed when Friday her delegation, including MPs and Minister of Education Sergey Ignatov and Minister of Health Stefan Konstantinov, missed their scheduled flight, allegedly by fault of Sofia Airport personnel.
Monday India and Bulgaria will sign intergovernmental agreements for cooperationi in the fields of health and medicine, and science and technologies.
A number of high-rank meetings will also be carried out Monday, including with Indian Parliament lower chamber Speaker Meira Kumar and Minister of State for External Affairs Prinit Kaur.
27/11/11 novinite.com

Sunday, November 27, 2011

Govt may review ground-handling policy for private airlines

The Government could take a relook at the ground-handling policy and consider setting up an international route authority to provide some relief to private airlines.
This emerged at an hour-long meeting that the Prime Minister, Dr Manmohan Singh, had with the owners and operators of private sector airlines here on Saturday.
The meeting had been called in the background of the industry expecting to post a loss of about Rs 3,500 crore during the first six months of the current year.
Official sources indicated that the Prime Minister gave the delegation a patient hearing and told them that all their genuine grievances would be looked into, but no specific assurances were given.
The Centre for Asia Pacific Aviation (CAPA) estimates that at the moment India has bilateral air services agreements with 108 countries and 72 foreign airlines operating to and from various cities in India. In comparison, there are currently only five Indian carriers operating flights abroad. The CAPA estimates that as of April 2010, Indian carriers were eligible to sell 711,356 seats per week on flights to various countries but they utilised only 170,914 of this.
Despite repeated fervent appeals of industry, the Government is said to have made it clear at the meeting that nothing would be done on aviation turbine fuel (ATF) issue.
26/11/11 Business Line

Pak businessman arrested with live cartridges

Amritsar: A Pakistani businessman was arrested today for allegedly carrying live cartridges at the Rajasansi Airport here. Sheikh Arif Mohammed (66), a resident or Sialkot, was arrested while he was boarding Air India (AI-187) flight for Delhi, police said. Sheikh was carrying seven live pistol cartridges of .32 bore in his luggage which were detected during the x-ray scanning. The incident occurred last evening at around 9.30 pm when he was heading to board the flight for Delhi.During interrogation it was revealed that it was not a deliberate act as he has a licensed revolver and had mistakenly brought bullets of his weapon in his luggage.
26/11/11 IBN Live

UK Strike: AI cancels four flights

New Delhi: Air India has cancelled four flights to and from London scheduled for Wednesday when a majority of public sector employees in the UK are going on a strike.
"In anticipation of strike by the public sector employees at London on November 30 (Wednesday), Amritsar-Delhi-London (AI-115), London-Delhi (AI-116), Delhi-London (AI-111) and London-Delhi (AI-112) flights have been cancelled," an Air India spokesperson said today.
The move comes as over 7.5 lakh employees out of 26 lakh voted for the strike across four sectors ? health, civil service, education and local government.
Immigration officers at Heathrow and other UK airports are also due to join the next week's strike action against planned pension reforms.
"Passengers of the cancelled flights have been rebooked on flight AI-115 and AI 116, AI-111 and AI-112 departing from Delhi and London on December 1 on involuntary basis," the spokesperson said.
26/11/11 PTI/Economic Times

Saturday, November 26, 2011

DIPP raises alarm over desi airlines’ survival

New Delhi:The department of industrial policy and promotion (DIPP) has said that unless foreign airlines are allowed to invest in desi ones, many cash-strapped domestic carriers may shut down. This serious push comes despite reservation against the proposal from airlines like Jet and IndiGo.
The note prepared by DIPP for the cabinet committee of economic affairs (CCEA), which proposed allowing up to 26% foreign carriers' stake in domestic airlines, said that "private airlines are in dire need of funds for their operation and service upgradation to compete with global carriers. Denial of access to foreign capital could result in collapse of many of our domestic airlines, creating a systemic risk for the financial institutions".
DIPP said that from January 2000 to August 2011, total FDI inflow into the air transport sector was $422.7 million - a 'negligible' 0.29% of the total FDI inflow into the country. "The reason for such a low level of investment in the sector is the lack of interest by private equity fund in a risky business like airlines. The prospective investors can be only from civil aviation industry itself," the note said.
26/11/11 Saurabh Sinha/Times of India

PM meet to discuss high tax on ATF, liberal overseas permission

New Delhi : High tax on aviation turbine fuel (ATF) and allowing Indian carriers to fly liberally on international routes form two major issues airlines are planning to raise in their first such meeting with Prime Minister Manmohan Singh tomorrow.
The proposed conclave comes after the PM called all the heads of the country’s airlines for a discussion in the government’s bid to help cash-strapped carriers and resolve other industry issues. Among those slated to attend the talks are Jet Airways’ Naresh Goyal, InterGlobe Aviation’s Rahul Bhatia and Kingfisher Airlines’ Vijay Mallya.
Other matters that also could find place in the discussions are higher airport charges and allowing foreign airlines to buy stake in Indian carriers. “A major concern for us is the high taxes on jet fuel,” according to an executive of a full-service carrier. “That is one of the major reasons for our cost increase. This cost can only be controlled if the taxes on ATF are rationalised,” he told Business Standard.
The average tax on jet fuel in India — at 24 per cent -- is the world’s second highest, just next to Bangladesh (27 per cent). The airline companies have been demanding to bring ATF under capital goods category that will fix the taxes on ATF at 4 per cent. Recent increase in crude prices, also contributed by depreciation of rupee, has made the cost on fuel around half of their total cost, from two-fifth of the total cost a year earlier.
26/11/11 Business Standard

Bulgarian MPs' India Delegation Misses Airplane

The President of Bulgaria's parliament, Mrs Tsetska Tsacheva, ministers and MPs missed an airplane flight from Sofia Airport. The Bulgarian delegation was supposed to take off at 10:55 a.m. with a flight of Austrian Airlines for Vienna. From Vienna the delegation was scheduled to take a flight for India. The Bulgarian delegation which had to visit India on a state visit arrived at Sofia Airport at 10:00 a.m. But they were asked to for the flight at 11:00 a.m. "While we were on the small bus driving on the airport runs we saw how the airplane was taking off for Vienna," stated MP Dr. Vanyo Sharkov.
26/11/11 Standart

Air India flies rare anacondas

Chennai: National carrier Air India transported four baby anacondas on board its flight from Colombo to Mumbai via Chennai as cargo on Thursday evening.
Known for its expertise in carrying different types of special cargo, the airline had carried a rare endangered female Tomistoma crocodile on its flight from Chennai to Ahmedabad last year.
On Thursday, AI flight 274 from Colombo carrying the four green-coloured baby anacondas landed at 5.50 pm in Chennai and left for Mumbai at 6.40 pm.
The two male and two female anacondas were originally to have reached Chennai by a Sri Lankan Airlines flig-ht and later transported by an Air India flight.
“But due to downgrading of the Sri Lankan Air-lines flight, the cargo containing the rarest species of anaconda was carried by an Air India flight to Chennai.
However, the cargo was not offloaded in Chennai. It continued its journey to Mumbai, from where it travelled by road to reach the Kamala Nehru Zoological Park in Ahmedabad,” said an AI spokesperson.
26/11/11 Deccan Chronicle

Friday, November 25, 2011

US firm sees India among key markets in aerospace sector

Bangalore: US electrical components company Eaton says it sees plenty of opportunities for itself in the country's unfolding civil and military aerospace story.
Thanks to increased aircraft purchases by the military and domestic airlines, among other factors, India looks set to be one of Eaton's key markets in the coming years, two senior officials said in email responses to Business Line.
Eaton's aerospace division globally supplies hydraulics and fuel systems that go into flight control devices of Airbus, Boeing aircraft and many domestic and global military planes.
Mr Joe-Tao Zhou, APAC President, Aerospace Group, Eaton Corporation, said, “India is expected to emerge as one of the largest aviation markets in the world and is likely to be a key market for Eaton's aerospace products and solutions.”
“India has a significant defence budget. Over the next five years, we see opportunities for Eaton in enabling development of new indigenous platforms and modernisation or replacement of its ageing fleet,” said Mr Einar Johnson, VP – Customer Service & Solutions, Aerospace Group. As domestic carriers looked set to grow, “we see a great opportunity in the commercial segment.”
24/11/11 Madhumathi D.S./Business Line

Dnata forays into Indian corporate travel sector

New Delhi: Service provider aims to be among top 3 companies in the segment Dubai-based Dnata, a global air service provider has forayed into India. The company proposes to tap booming corporate travel space that is estimated to be around $20 billion.
Dnata has tied up with the UK-based Hogg Robinson Group (HRG) that has been in India for over five years. HNG that was hitherto in a tie up with Sita travels has severed its links with the latter.
“India is an important strategic market for us. Corporate travel market is very fragmented. We are hoping to get big chunk of this market. Our aim is to be among the top three travel companies in India in next five years,” said Gary Chapman, president, Dnata.
However, Dnata does not intend to get into other segments such as ground handling, cargo handling and in-flight catering in India. “For us, to get into a segment, we should be able to offer quality services that we are known for and also it should be profitable. We will evaluate opportunities in future. But at this point we will focus only on corporate travel,” said Chapman.
24/11/11 Shruti Verma Khare/mydigitalfc.com

Air France welcomes 1 millionth Premium Voyageur passenger

Mukesh Chawla, an Indian businessman travelling on a corporate trip to Mumbai, was presented with two return tickets for flights to India and a number of branded items, including a red suitcase from the Air France by La Tanneur range.
Mr Chawla said he travels exclusively with the airline and appreciates the privacy of the Premium Voyageur cabin, as well as the large seat trays.
The premium economy class offers benefits including 40% more space than in Voyageur (economy), priority ground services and nearly 400 hours of audio and video on demand via a 26cm personal screen.
24/11/11 Opodo

Navy pilots to go to Russia for carrier-based training

New Delhi: Ahead of proposed induction of Admiral Gorshkov aircraft carrier by end of next year, the Navy will be sending a team of 10 pilots to Russia for training in operations of MiG-29K fighter planes from the warship. India had signed a deal with Russia in 2004 for purchasing the carrier along with 16 MiG 29Ks. As per the understanding between the two countries, a team of 10 pilots will be in Russia around three months before the scheduled induction of battleship in December next year, Navy officials told PTI here. Russia has given the assurance to train Indian pilots for arrested carrier landings and deck take-offs, they said.
24/11/11 PTI/IBN Live

Thursday, November 24, 2011

Fuel import decision to be for all, not just Vijay Mallya's Kingfisher

New Delhi: A decision to allow Kingfisher to import fuel directly will be a part of the overall package for the airline industry and not just for the troubled airlines, the government has said.
The struggling airlines has sought permission from the Directorate General of Foreign Trade to import fuel directly to avoid the steep sales tax levied by states. "When I examine the (Kingfisher's ) proposal I will naturally ask myself why I should do it only for it and not the others," Commerce Secretary Rahul Khullar said.
"A policy decision on the issue will be taken that would apply on all airlines," he added. Khullar confirmed that the DGFT received a letter from Kingfisher seeking permission to import aviation turbine fuel, or ATF, on their own instead of getting it through IOC. "The DGFT is looking at it at the moment," he said.
The levy from the states ranges from 4% to 30%. The DGFT has written to Kingfisher seeking more cost-related information, another official said. The Foreign Trade Policy 2009-13 includes ATF in the list of restricted products that cannot be imported by individuals and can be sourced only through canalising agencies, in this case Indian Oil Corporation.
24/11/11 Amiti Sen & Deepshikha Sikarwar/Economic Times

Finmin may back DIPP proposal on airline FDI

New Delhi: The finance ministry is likely to support the proposal from the industry department for allowing foreign carriers to buy up to 26% equity stake in Indian airlines. The ministry’s inclination to endorse the move, also backed by the civil aviation ministry, was confirmed to FE by senior officials.
The development is significant since two of the top private carriers — Jet Airways and IndiGo — have opposed the move arguing domestic airlines are financially weak compared to foreign carriers and hence it could trigger hostile take-over of Indian companies.
Vijay Mallya-promoted Kingfisher Airlines has been lobbying hard with the government for relaxing the foreign direct investment (FDI) hoping it would help them access funds from foreign airlines like British Airways.
“Opening up the sector will be beneficial as more competition needs to be encouraged and will improve efficiency.
24/11/11 Nirbhay Kumar/Himani Kaushik/Financial Express

Lessors Set to Grab Kingfisher Planes

Airplane-leasing companies are preparing to repossess planes from India's Kingfisher Airlines Ltd. if the troubled carrier's finances deteriorate further, said an executive at one of the companies.
The executive said that at least two lessors have agents at Kingfisher's offices copying documents relating to their planes. These agents also are monitoring the debt-laden airline's planes to ensure that parts aren't removed in ways that violate lease terms.
Kingfisher spokesman Prakash Mirpuri said in an email that "all leasing companies have the contractual right to access the documents for all their aircraft on an 'as needed' basis."
Every commercial aircraft has reams of records about its use and maintenance. If the information is missing or incomplete, an otherwise usable jetliner could be grounded for safety reasons. Copying documents is a precaution in case the planes are repossessed and it is impossible to recover their accompanying records, aviation officials said.
Kingfisher, which is controlled by Indian business mogul Vijay Mallya, has been hammered by increasing costs, including high interest payments on its nearly $1.3 billion in debt and a 70% jump in fuel prices in the past year. It recently canceled flights on some routes to cut costs and reported a loss of $92.4 million in the quarter ended Sept. 30.
23/11/11 Daniel Michaels and Megha Bahree/Wall Street Journal

India plans to retaliate against EU's emission cap for airlines

New Delhi: India is considering taking multi-pronged retaliatory measures against the European Union over the latter's carbon-emission-cap norm from January 1, 2012, for all airlines operating within and into the EU.
This is because the new emission caps would result in increased costs for airlines, including those from India such as Jet Airways, Kingfisher Airlines and Air India that have flights to the EU, leading to increased airfares.
The proposed retaliatory measures by India could include litigation over the issue, annulment of some bilateral agreements, challenging the issue at the World Trade Organisation and raising the issue during the talks on the United Nations Framework Convention on Climate Change, official sources told Business Line.
23/11/11 Arun S/Business Line

Commercial aviation to soar by 9%

Dubai: The commercial aviation sector in India and the Middle East is expected to achieve overall annual growth of 9 per cent and 10 per cent, respectively, for several years to come and will account for 11 per cent of the total aircraft deliveries worldwide over the next decade.
A new report by aviation intelligence firm OAG and UBM Aviation, reveals a striking contrast of opportunities and challenges in two of the world's fastest-growing travel markets.
The OAG India and Middle East Aviation Market Analysis bases its projections on the consistently growing demand for air travel, a surge in aircraft orders, steadily increasing inbound tourism, spectacular airport development plans and the enthusiasm of investors for the sector.
"However, both markets face immense challenges in meeting the expected future growth in passengers and aircraft operations, which require massive expansion of infrastructure and high-performing aviation systems," the report said.
In India, the government's open-sky policy has enticed many foreign aviation leaders to enter the market, spurring rapid industry expansion boosted by the growing population and increased demand for international travel and trade, as well as an increasing VFR (Visiting Friends and Relatives) market, the report said.
However, airlines must contend with insufficient infrastructure and challenging political bureaucracy in India.
23/11/11 Express India

Qatar Airways bats for 26% FDI in Indian carriers

Kolkata: If the UPA government allows 26 per cent stake by foreign airlines in Indian carriers, it would go a long way in drawing the latter out of the financial mess they are in, thereby taking domestic aviation industry to the next level, said Akbar Al Baker, CEO, Qatar Airways.
Al Baker’s comment came in the wake of the Union Commerce Ministry’s recently proposed 26 per cent foreign direct investment (FDI) by foreign airlines in domestic carriers.
At present, foreign companies, other than foreign airlines, are allowed to invest up to 49 per cent in the domestic passenger airlines. Non-resident Indians can invest upto 100 per cent.
Al Baker, who was here in connection for launch of Qatar Airways’ flights from Doha to Kolkata, said that carefully planned mergers and acquisitions and FDI inflows are the way forward for cash-starved India carriers. “It is a very good move by the government. Although the ideal cap for FDI would have been 49 per cent as it would have enabled the foreign players have a greater say in policy matters. The airline industry is very capital intensive and I don’t think the private Indian carriers have the funds to achieve the growth they desire,” he said.
23/11/11 Ritwik Mukherjee/mydigitalfc.com

Outcome Of ICAN Conference

The 4th ICAO Civil Aviation Negotiations (ICAN) Conference was held last month in Mumbai. During her inaugural speech, the President, Smt Pratibha Devisingh Patil had mentioned that emphasized the importance of aviation in the economic development of countries. She had called for evolving innovative and flexible business modules for enhancing connectivity. She mentioned that governments must continually negotiate new bilateral treaties to allow for and expand access to new and emerging markets for their carriers.
ICAN 2011 attracted high attendance by 64 States and four regional bodies. During the conference, more than 370 bilateral meetings (nearly 600 hours) were held between air service negotiators from all regions of the world which led to the signing of over 120 agreements and arrangements. In so far as India is concerned, talks were held with 37 countries; MoUs/ agreed minutes were signed with 22 countries.
A special Africa session was held on the inaugural day which included participants from the African Union, ICAO, Ministry of External Affairs and the Ministry of Civil Aviation. During the ICAN, India was able to sort out with Kenya the provisions of 5th freedom rights. The provisions of code share/domestic code share were also sorted out with Scandinavian countries, Republic of Korea, Canada, Australia, Finland, Ethiopia and Turkey. New ASAs were initialed with Mozambique, Dominican Republic and Uganda. Model texts of the ASA were handed over to Lao PDR, Botswana and Macedonia with the aim to finalise the ASA as early as possible.
Through ICAN 2011, substantial progress has been made to broaden the framework for increasing the connectivity either through direct services or through code share operations and many issues which were pending clarification were resolved. The event enabled aviation negotiators from different countries to conduct bilateral air services negotiations and consultations at Mumbai.
23/11/11 Press Information Bureau

Finnair to select passengers' ideas to improve quality

New Delhi: Meat-free on Mondays, in-flight karaoke and airport speed-dating may seem unconventional in today's aviation business but these are some of the ideas given by air travellers to make Nordic carrier Finnair's trips more comfortable.
"We are inviting people to share their innovative ideas and encourage out-of-the-box thinking and active discussion," Finnair marketing innovations director Antti Nieminen said in a statement.
According to him, some of the ideas would be incorporated. "Our aim is to make air travel as convenient and pleasurable by actually changing things," he said. The joint initiative by Finnair and Helsinki Airport is open to all the travellers, who can submit their ideas on qualityhunters2.com until Nov 29.
"Helsinki Airport and Finnair will then narrow the list down to the most potential submissions and the winning idea will be chosen by public vote," the statement said.
23/11/11 IANS/Economic Times

Pak may have inspected Indian chopper: Antony

New Delhi: It is possible that the Pakistani authorities examined an Indian Army helicopter that strayed into their territory a month ago and was returned the same day, Defence Minister AK Antony informed the Rajya Sabha on Wednesday.
The Cheetah helicopter from the Indian Army's aviation corps carrying three officers and a Junior Commissioned Officer from Leh to Bimbhat in Drass sector of Jammu and Kashmir strayed into Pakistani territory on October 23 and landed in Skardu along the Line of Control inside Pakistan-administered Kashmir.
The chopper was in the Pakistani Army's custody for over four hours before Pakistan allowed it to return to Kargil with the four Indian Army personnel later in the day.
23/11/11 IANS/ZeeNews

Wednesday, November 23, 2011

DIPP proposes 26 % FDI in domestic airlines

New Delhi: The Department of Industrial Policy and Promotion (DIPP) on Tuesday moved a Cabinet note, proposing 26 per cent foreign direct investment (FDI) in domestic airlines, which are in crisis and need immediate infusion of funds.
The note is contrary to the proposed move by the Civil Aviation Ministry, which has stuck to 24 per cent FDI in domestic carriers. The move comes at a time when several domestic airlines, including Kingfisher, are in complete financial mess and struggling to maintain their day-to-day operations.
“Private airlines are in dire need of funds for their operations and service upgradation to compete with other global carriers. They need immediate infusion of funds,'' the note circulated has stated. The Cabinet note has been sent to various ministries for their inputs before being placed before the Union Cabinet.
“Investor with 26 per cent or more holding is considered strategic, as he can have a say in the policy decision of a corporate entity under the Indian company laws.
22/11/11 The Hindu

Corruption Alleged in Air India-Singapore Firm Deal

Thiruvananthapuram: Employees of a transport services firm employed at Thiruvananthapuram airport have approached the Central Vigilance Commissioner alleging corruption in the manner in which Air India was trying to hand over ground handling and cargo handling to the Singapore Airport Terminal Services Ltd (SATS).
Since 2004, the Air India Air Transport Services Ltd (AIATSL), a wholly-owned subsidiary of Air India, is doing ground handling at the Thiruvananthapuram airport here.
In a letter addressed to the CVC, the AIATSL employees said that Air India earns a revenue of around 43 crore every year from ground handling at the airport here.
After meeting the annual expenditure of 36 crore, Air India earns a profit of 7 crore from the Thiruvananthapuram station alone.
"We request you to conduct an enquiry to find the corrupt hands involved in this. We also request to enquire whether proper tender procedures/bidding process were done before declaring SATS as the joint venture of the national carrier for the Thiruvananthapuram Airport," reads the petition.
22/11/11 IANS/Silicon India

Honeywell Develops Flying Competition to Educate Next Generation of Indian Aerospace Engineers

New Delhi: Honeywell has conducted India's first Aero Club flying competition at the Air Force Bal Bharti School (AFBBS) in Delhi, to train the next generation of Indian aviation enthusiasts and engineers on the science of model aircraft design and air worthiness capabilities.
Launched in July 2011, the Aero Club at AFBBS is an extension of Honeywell Hometown Solutions' Science and Math education focus, a series of programs created to inspire the next generation of innovators by improving science, technology, engineering and math education around the world.
The Aero Club competition affords students the real-world opportunity to do what few other young students ever get to do.
It challenges students to design and build their own wood and paper aircraft, and flying it in a designated circuit.
Aircraft design must be based on students' learning and understanding of aerodynamics and principles of flight.
Students are provided with kits specially designed by Honeywell Aerospace.
Students are asked to challenge each other on their respective theoretical and practical knowledge by flying aircrafts to test the air worthiness, speed and handling capabilities.
23/11/11 PRNewswire/The Sacramento Bee

TV actor, stand-up comedian Swapnil Joshi detained at airport

Mumbai: Television actor Swapnil Joshi and two others were detained at the international airport on Tuesday for carrying Indian currency beyond the permissible limit while returning from Bangkok.
Customs officials, led by assistant commissioner of police Sameer Wankhede, stopped Joshi, stand-up comedian Vijay Pawar alias VIP and a woman when they were passing through the green channel.
Joshi and Pawar had Rs1 lakh each in their possession, while the woman was carrying Rs40,000.
Joshi, Pawar and the woman had reached Mumbai on Tuesday afternoon in a Jet Airways flight. They had gone to Bangkok perform at a private party where Joshi and Pawar were paid Rs1 lakh each.
Joshi and Pawar were fined Rs48, 000 each and finally let off. “We are innocent. We were not aware of the Customs rules. We did not do this intentionally,” Joshi told DNA.
22/11/11 Daily News & Analysis

Tuesday, November 22, 2011

Air Lease Corp. signs lease agreements for 13 additional aircraft.

Los Angeles-based Air Lease, which buys commercial aircraft and leases them to airlines through customized aircraft leasing and financing programs, said it has placed the following new aircraft from its order book: two Embraer 175s leased to Belavia, Belarus; four ATR 72-600s leased to Passaredo, Brazil; and two Airbus A320-200s leased to S7 Airlines, Russia.
It also leased the following aircraft from its fleet: one Boeing 737-800 leased to Caribbean Airlines; one B737-800 leased to Transaero of Russia; and one Boeing 737-800 leased to Sun Country.
In addition, two aircraft were acquired on lease: a Boeing 737-800, leased to Spicejet of India, and an Airbus A320-200, leased to Interjet of Mexico.
21/11/11 Bizjournals.com

Monday, November 21, 2011

Security concerns may ground foreign investment in aviation

New Delhi: Security concerns could again derail the Government's plans of allowing foreign airlines to pick up a minority stake in Indian carriers.
“There are still concerns in certain quarters about allowing investment from some countries. We cannot be selective about allowing country ‘A' to invest in a domestic airline but shooting down the proposal of country ‘B'. In the given scenario, the proposal to allow a foreign airline to invest in domestic carriers is likely to hit a road block at the moment,” a person in the know said.
Recently, the Department of Industrial Policy and Promotion moved a proposal to allow foreign airlines to pick up a minority stake in domestic airlines. At the moment, foreign airlines are barred from having a direct or indirect stake in a domestic carrier. A final decision on whether to allow or disallow foreign airlines to pick up equity in Indian carriers will only emerge after the Cabinet either accepts, rejects or keeps the proposal in abeyance.
20/11/11 Shishir Sinha/Ashwini Phadnis/Business Line

Top CEOs to discuss airport development

Dubai: The inaugural Emerging Market Airport Suppliers Conference (EMASC 2011), scheduled next month, will talk about opportunities for suppliers in emerging markets’ airport developments worth $160 billion, according to its organiser.
The first edition of the conference, which will be held on December 11-12, 2011, will generate new business leads and contracting opportunities for airport suppliers, while creating an efficient, effective mechanism for airport developers to identify qualified new vendors.
Khalifa Al Zaffin, Executive Chairman of Dubai World Central – Dubai Aviation City Corporation, who will be the keynote speaker, opening the conference on the first day, said: “EMASC 2011 is a good event to be held in Dubai and I applaud the organisers for reaching out to the global airport supplier’s with a spirit of building cooperation and partnership between them and us.” Thirty chief executive officers will provide insights into airport projects in emerging markets at the event. Diverse suppliers are encouraged to register for an upcoming conference that will help them make connections with some of biggest airport projects under construction in the Emerging Markets worldwide and Middle East region. ?“Dubai World Central — Dubai Aviation City Corporation sees this conference as an excellent platform to decipher ideas on new technologies, services and develop a business relationship with the global supplier community. Also he added that this conference provides an opportunity to us to share our vast experience in airports development, proven effective methods, achievements, addressing the issues, sharing our expertise with the global airports community,” ?Al Zaffin said.
20/11/11 KhaleejTimes

Daily direct flight deal to Melbourne under attack

An agreement has been signed for a daily Air India flight between Melbourne and the Indian capital of New Delhi, but the direct flights have not started.
The Government-owned Air India is facing a restructure and is yet to put Melbourne on its booking schedule.
NSW Premier Barry O'Farrell last week visited India and met airline officials.
He told them there was a better business case to fly to Sydney.
State Tourism Minister Louise Asher has fired back, saying Melbourne was a more multicultural city with no airport curfew.
Ms Asher said a memorandum of understanding had been signed for a daily direct flight from New Delhi to Melbourne and the State Government was having continuing discussions with Air India about flights.
Foreign Affairs Minister Kevin Rudd was surprised there were no direct flights between Australia and India, saying it would deliver a tourism and economic boost for both countries.
21/11/11 Phillip Hudson/Herald Sun

Sunday, November 20, 2011

2 new international flights from Jaipur from New Year

Jaipur: In a development which will cheer up the travel industry, at least two new international flights beginning the New Year will start services from the 'underutilized' Sanganer airport here.
"The Thai Orient airlines based in Thailand and the Silk Air of Singapore have showed keen interest in operating from the Pink City," Sanganer airport director R K Singh said.
Both the airlines have already completed their preliminary survey on the feasibility of this market.
They found that a good number of Jaipur-based businessmen settled in South Asian countries. In the absence of any direct flight, they travelled either from Delhi or Mumbai to reach Thailand and Bangkok.
Both the operators are low-cost airlines and have extensive experience in providing air service among the South Asian countries.
20/11/11 Times of India

Airport Suppliers Encouraged To Attend The EMASC 2011 Conference

Diverse suppliers are encouraged to register for an upcoming conference that will help them make connections with some of biggest airport projects under construction in the Emerging Markets worldwide and Middle East region.
The first edition of Emerging Market Airport Suppliers Conference (EMASC 2011) will be held on 11th & 12th December, 2011 at the Al Bustan Rotana Hotel in Dubai (UAE). The event will generate new business leads and contracting opportunities for airport suppliers, while creating an efficient, effective mechanism for airport developers to identify qualified new vendors.
Approximately 400 delegates are expected to attend the conference to maximize their opportunities to do business with the major airport projects under expansion or construction in the emerging markets worldwide and Middle East region. It is estimated that these markets have allocated more than US$160 billion for airport development projects over the next few years.
20/11/11 Middle East Events.com

Saturday, November 19, 2011

Air India unfazed by ATA lawsuit

New Delhi: Officials of Air India say the debt-laded state-owned airline is unperturbed by a lawsuit opposing $3.4 bn extended by the US Exim Bank to buy the B-787, better known as the Dreamliner, as the loans are backed by a guarantee from the government.
The Air Transport Association of Amercia's or ATA had charged US Exim of providing loans "without considering whether Air India is able to offer assurances of repayment."But a top Air India official said the premise of the lawsuit was flawed because of the sovereign guarantee.
The airline has also said that it has never defaulted on any of its US Exim loans till date. Of the total loans guaranteed by US Exim, a sum of $ 593 million has been repaid till date from 2007 onwards, it said in an emailed response.
19/11/11 Anindya Upadhyay/Economic Times

Aviation Ministry says no to prosecution of official in Airbus case

New Delhi: The civil aviation ministry has refused CBI sanction to prosecute a former joint secretary who, along with five other officials, was allegedly responsible for not availing of $175 million worth of concession from Airbus Industrie. The case relates to the 2006 purchase order of 43 aircraft from Airbus for Indian Airlines.
An Empowered group of ministers (EGOM) had negotiated $175 million worth of concessions before finalising the order. CBI says these concessions were not extracted from Airbus.
The civil aviation ministry's letter, written last week, urges CBI to 'review' its decision to seek clearance for prosecuting former joint secretary MP Vijay Kumar, who is now a member of the Airport Economic Regulatory Authority (AERA).
"We disagree with the fundamental principle on which CBI is basing its case because the investment that Airbus is supposed to make in India is not Indian Airlines specific. They are ready to invest in India anyway and they are not going back on that commitment. We have written to CBI to not investigate this case at all as it is flawed," the official told ET.
CBI cannot register a regular case unless it gets the parent ministry's consent to probe the role of an official of the rank of joint secretary and above. In all likelihood, CBI will resend the request to the civil aviation ministry to grant sanction to prosecute Kumar.
19/11/11 Devesh Kumar/Economic Times

U.S. Officials Sacked for Frisking India’s Former President

Two Transportation Security Administration (TSA) officials involved in the recent frisking incident of former Indian president Dr. A.P.J Abdul Kalam at a U.S. airport have reportedly been sacked, according to an Indian national daily.
Though there are no confirmed reports of the lay-off either by TSA or U.S. Government, the Hindustan Times reported Thursday that the U.S. authorities had fired the executives for "exceeding their brief" as they made former Kalam, who is also an eminent scientist, face security checks a second time after he had boarded his aircraft.
India's Ministry of External Affairs (MEA) said in a statement Nov. 13 that Abdul Kalam went through the prescribed private screening procedure at the John F. Kennedy airport in New York Sept. 29, before boarding an Air India aircraft to fly back home.
18/11/11 IBTraveler

O'Farrell bid to land new flights from India

Direct flights from India could land in Australia as soon as March, and Sydney is making a pitch for them to land at Kingsford Smith instead of Tullamarine.
Melbourne appeared to have the flights all stitched up with in-principle agreements on a Delhi-Melbourne route from the state-run carrier, Air India, and the country's civil aviation ministry.
But the NSW Premier, Barry O'Farrell, has just concluded a five-day visit to India that has included meetings with Air India, the privately owned Jet Airways, and civil aviation authorities. The pitch was received positively, the Herald understands.
Over the past half-decade, Mr O'Farrell said, the number of people travelling between India and Australia had jumped from 400 to 6000 a month.
Direct flights would boost tourism, improve business relations and help strengthen educational links, he said.
''It's a difficult time for Indian aviation. It's a difficult time for aviation around the world, but the Indian carriers we've spoken to have all recognised the growth in movements between both countries,'' he told the Herald.
''And there is no doubt that if there is to be direct flights to Australia, I'd like them to be to Sydney, not only because it is my state, but to me, the business case model, for putting flights into the jurisdiction with the highest number of Indian students, the most people of Indian background, and the financial capital services of Australia … is a no-brainer.
19/11/11 Ben Doherty/Sydney Morning Herald

Friday, November 18, 2011

FDI in aviation: No takers for Indian carriers?

With the government considering allowing foreign carriers to invest in Indian airline companies, CNBC-TV18 reached out to international carriers to check if they would get on board an Indian carrier if the FDI rules changed.
Unluckily, the answer was not positive.
CNBC-TV18’s Swati Khandelwal Jain says there may not be too many takers for India's bleeding carriers.
Emirates Airlines has the money but not the inclination to invest in an Indian carrier. The airline saw a 52% jump in its net profit despite a challenging business climate and declared a net profit at USD 1.5 billion for the year 2010-2011. But, it only wants to focus on its core business.
“Emirates has no plans to acquire a stake in another airline. We are busy focusing on the many aspects of our own growth including the launch of flights to seven new destinations in the next four months,” the company said in a statement.
Singapore Airlines, which explored a tie up with the Tata's in the past, is also not on the look out. “There are no immediate plans to acquire a stake in an Indian airline,” the airline said.
Queries to Qatar Airways, Lufthansa and British Airways are still awaited.
British Airways had in March told an Indian news paper that it would be interested in picking up a stake in an Indian carrier if the FDI rules were relaxed.
But airline companies are confident of attracting strategic players.
18/11/11 CNBC-TV18/moneycontrol.com

Govt to study Kingfisher's turbine fuel import 'proposal'

New Delhi: The Directorate General of Foreign Trade (DGFT), under the ministry of commerce and industry, is not keen on relaxing the norms to import aviation turbine fuel (ATF) by Kingfisher Airlines, before it examines the issue properly.
The Director General of foreign trade Anup K Pujari has denied receiving any formal request, even as the airlines’ boss Vijay Mallya earlier said he has approached the government to directly import ATF or jet fuel.
“The proposal has not yet reached me … DGFT has the power to relax the norms, provided certain stringent conditions are met as laid out in the Foreign Trade Policy (FTP), which categorically mentions there has to be a genuine damage in the event of which this relaxation can be given,” Pujari told Business Standard.
He said once they examine the issue, it would be taken up by the Policy Relaxation Committee (PRC) under his chairmanship, which will then give the go-ahead.
The FTP of 2009-2014, stipulates that import of ATF will be allowed through a particular state trading enterprise (STE) and in India it is only the Indian Oil Corporation (IOC) that can import jet fuel. Hence, if Kingfisher Airlines is allowed to import ATF directly, it would have to obtain STE status.
“I have to understand why a particular company wants to become a STE. Importing it directly would definitely save some costs, but the company has to prove it. After proper consultation and examination, we would be able to give any relaxation, else other companies might also request the same,” he said.
18/11/11 Nayanima Basu & Mihir Mishra/Business Standard

FDI in Indian aviation critical: AirAsia chief

Bali: Tony Fernandes, the chief executive of Southeast Asia’s largest budget carrier, AirAsia, feels it is “critical” for India to further open up its aviation sector to foreign direct investment (FDI).
“I think it’s critical,” Fernandes told Business Standard. “I think capital needs to go into the airlines industry and regulation needs to change. There have been some sounds from the (Union) minister of commerce (Anand Sharma) on this.”
His comments came a day when the civil aviation ministry proposed to allow 24 per cent FDI into the sector, subject to Cabinet approval, and close on the heels of beleaguered Kingfisher Airlines boss Vijay Mallya's pleas for opening up the industry to international strategic investors.
India currently allows for FDI up to 49 per cent in the domestic airlines sector, but not by foreign airline companies. Nonetheless, many Indian carriers remain short of cash, and permitting the entry of these foreign investors would come as a shot in the arm for the industry.
Fernandes also said he would be open to picking up a stake in an Indian carrier if the sector was opened up. "Yes, absolutely. I am of Indian descent, so my father would be very happy," the Indian-origin Malaysian quipped.
18/11/11 Devjyot Ghoshal/Business Standard

Where is our money: kin of AI crash victims

Almost 18 months after Air India Express flight 812 crashed near Mangalore, India, in 2010, relatives of victims continue to attend meetings and negotiations with senior Indian officials over compensation.
Indian Civil Aviation Minister Vayalar Ravi who was in Sharjah for the emirate’s International Book Fair on Wednesday, summoned relatives living here in the UAE for a meeting with the airline, the insurance agency and his ministry.
The end result of that meeting: the minister has once again promised to help victims and has called representatives of relatives living in UAE for a crucial meeting in Delhi today (Friday).
“We will continue to attend whatever meetings they call us to until they give us what is due. It has been more than a year and a half since the accident and we have seen enough games played by both the Indian Airlines and the insurance agency,” said Abdul Rahman, who lost all his family members in the accident.
The aircraft, a Boeing 737-800, flying from Dubai overshot the runway as it tried to land at Mangalore International Airport, killing 158 people on board.
Eight passengers survived the accident, which an enquiry later blamed on “pilot error”.
The relatives are demanding compensation of around Dh500,000 as stipulated by the Montreal Convention.
18/11/11 Joseph George/Emirates 24-7

Punjabi paper still dealing with Air India fallout

The Indo-Canadian Times still receives threats over its coverage 13 years after its publisher, Tara Singh Hayer, was gunned down and 26 years after the Air India bombing.
The leading Punjabi-language publication in North America has to take extra security precautions when it runs articles about the Air India bombing, the people who were behind the mid-air explosion in 1985 or what happened to the victims’ families, Dave Hayer, the son of Tara Singh Hayer, said on Thursday in an interview.
“We have to go the extra step with security, but I won’t go into that,” he said.
Tara Singh Hayer was shot dead on Nov. 18, 1998, in his garage moments after arriving home for dinner. A failed attempt to kill him 10 years earlier had left him a paraplegic. Although no arrests have been made, he is widely believed to have been killed for what his paper had published about the Air India case.
Mr. Hayer said he is disappointed that, after all these years, the RCMP still has not made any arrests related to his father’s death.
The RCMP have not spoken to him for about six months, he said. “They say they are working on the case. I believe they are,” Mr. Hayer said, adding that he would prefer to keep hoping the RCMP will eventually make arrests rather than give up all thoughts of justice.
17/11/11 Robert Matas/Globe and Mail

UK intervenes in airline fiasco, flights being arranged

Flights were being arranged on a British airline for passengers, most of them of Indian-origin, who have been stranded on the Birmingham-Amritsar route after sudden cancellations from the Austrian airline they were travelling on.
Scores of Indian-origin passengers with valid tickets on the Birmingham-Amritsar flight operated by Comtel were left stranded in the two cities after the company ran into financial trouble, and cancelled flights for this week.
The British aviation authority has now intervened in the matter and agreed to refund the charges the passengers will now pay for the flights being arranged for them.
Comtel Air had to cancel all its flights between Amritsar and Birmingham yesterday when a travel agency in UK did not make its due payments to the company and said it had filed for bankruptcy.
According to a BBC report, flights are being arranged on the British Midland International airline BMI to help passengers return home from India after the collapse of the UK-based travel agency Skyjet.
18/11/11 Economic Times

Jewellery in bags unsafe at Ahmedabad airport!

Ahmedabad: If you are flying from Chhatrapati Shivaji Domestic Airport, Mumbai to Sardar Vallabhbhai Patel International Airport (SVPIA), Ahmedabad, don't forget to check your luggage before you leave the terminal at either end. There is something fishy in the way passengers' luggage is handled at these two airports.
On Monday, when Kirti Shah, a Virginia based doctor, landed at Ahmedabad airport, he found $5,000 missing from his luggage. A complaint was lodged with the local Sardarnagar police station but the police have no clue where and how the theft occurred despite there being CCTV cameras keeping an eye on all activity at the airport.
"We are investigating the case but even after going through video footage we haven't got any clue about the theft. We believe it to be the handiwork of an individual but there could also be a bigger group involved in stealing valuables," said Sardarnagar police inspector VS Sarvaiya.
In fact, Shah was fortunate to have detected the theft at the airport terminal itself. There have been numerous cases in which passengers had discovered the theft only after reaching home or outside the terminal. In such cases, concerned airline hardly pays any attention to the complaint.
Earlier, Sunil Kumar, who works as a general manager with the Oman porcelain company, SAOC, had lodged a theft complaint against a private airline, GoAir, with Central Industrial Security Force (CISF) and the Director General of Civil Aviation (DGCA).
17/11/11 Satsh Jha/Daily News & Analysis

Foreign airlines may get to invest 24%

New Delhi: Kingfisher can breathe easy. The Cabinet is set to examine a proposal to allow foreign airlines to pick up equity in Indian carriers.
As of now, airlines are allowed to take in 49% foreign direct investment (FDI), but any investment by foreign carriers is banned.
An official source said the Ministry of Civil Aviation has mooted a 24% cap on investments by foreign airlines, whereas the Department of Industrial Policy and Promotion is pushing for 26%.
“The civil aviation ministry has proposed 24% investment by foreign airlines. The Cabinet is likely to take a call on the issue in a couple of weeks,” the source said. “Whatever decision the government takes, everyone will have to accept.”
A 26% cap would allow a foreign investor to have voting rights on the board of the Indian airline.
The proposal, if cleared, could help Kingfisher Airlines raise much needed cash. Indeed, it is the possibility of Kingfisher actually failing that has pushed the FDI issue to the fore. Barring IndiGo, all domestic airlines have been incurring losses due to high jet fuel prices, a depreciating rupee and fierce competition.
18/11/11 Sindhu Bhattacharya/Daily News & Analysis

Comtel Air Amritsar to Birmingham passengers to be helped

Austrian airline Comtel Air cancelled all its flights between Amritsar and Birmingham on Thursday when Skyjet in Essex said it had filed for bankruptcy.
The flight cancellations have left about 180 people stranded in India.
Passengers are now being offered special rates on BMI which the UK Civil Aviation Authority agreed to refund.
Nick Stevenson from the Civil Aviation Authority (CAA) said: "What we are doing with those people now is organising special fares on BMI flights back to England that they will be able to take and then claim money back from the Civil Aviation Authority to repay for that."
A Comtel Air flight travelling from Raja Sansi International Airport in Amritsar to Birmingham Airport was grounded on Tuesday when the plane stopped in Vienna to refuel.
Passengers said in order to continue their journey they were asked to raise up to £23,000 between them to help pay for the plane's fuel costs.
Lal Dadrah, who used his mobile phone to film the moment the crew asked for the money, said passengers had been "held to ransom".
He said: "It was surreal. I couldn't believe it was actually happening. It was something that would happen in a film, not in reality... forced to pay for the petrol for the aeroplane."
Comtel Air said it was owed money by Skyjet UK, one of its travel agents, and had not been able to pay its carrier for two weeks as a result.
18/11/11 BBC

Wednesday, November 16, 2011

India, US to sign Aviation Safety pact

New Delhi: In a move that could open up a huge market abroad for indigenously developed aeronautical products, India and the US would tomorrow formalise a Bilateral Aviation Safety Agreement (BASA) to provide for airworthiness certification of these items.
"BASA would encourage indigenous aircraft and aeronautical products industry and the US acceptance of Indian products would help their global acceptance," official sources said today.
At the India-US Aviation Summit here tomorrow, the two sides would sign the Implementation Procedures for Airworthiness (IPA) which provides for airworthiness technical cooperation between the US Federal Aviation Administration (FAA) and its Indian counterpart Directorate General of Civil Aviation (DGCA).
The IPA would address specific areas such as design approvals, production activities, export airworthiness approval, post-design approval activities and technical cooperation.
The BASA was initialled in July this year by Civil Aviation Secretary Nasim Zaidi and FAA Administrator J Randolph Babbitt, weeks after it was approved by the Union Cabinet.
16/11/11 PTI/Economic Times

Aviation fuel price 50% higher in India

New Delhi: Domestic airlines are paying 50 per cent more for aviation turbine fuel here than the price in West Asian and the European markets. Even flights on foreign routes pay more when they refill in India.
ATF accounts for nearly half of an Indian carrier’s operating cost, compared to 20-25 per cent globally. Ad valorem taxes of 20-29 per cent are making domestic airlines shell out nearly 52 per cent more for the fuel compared to the average global price. While international airlines are exempt from state-level taxes, they pay nearly 16 per cent more than the global average.
The domestic ATF price has moved up 40 per cent in a year, compared to an increase of 30 per cent globally. “With the increase in price, the component of tax also keeps rising, rendering the fuel even costlier,” said an aviation industry expert. While there is no basic customs duty on ATF, it attracts eight per cent countervailing duty and eight per cent basic Cenvat.
Following dismantling of the Administered Price Mechanism from April 2001, the price of ATF in India is based on international import parity prices, and directly linked to the benchmark of Platt’s publication of FOB Arabian Gulf ATF prices and do not relate to the actual cost of producing it in India. ATF prices for domestic operations include freight charges from the Gulf to India, domestic transportation and other charges, in addition to the margins for oil companies.
17/11/11 Business Standard

Aviation ministry seeks legal view on SWISS, Austrian issue

New Delhi: The civil aviation ministry has asked for the views of the law ministry on the replies of Swiss International Airlines (SWISS) and Austrian Airlines, owned by German carrier Lufthansa, on their ownership issue.
India had raised objections to the operations of these airlines on the ground that they had violated the substantial ownership and effective control (SOEC) clause mandated under the bilateral air services agreement between the countries. India had threatened to stop all their services stating the ownership of the airlines were not from their respective countries.
Lufthansa had acquired SWISS in 2005 and Austrian in 2009. The former has been operating in India since 2005, while the latter since 2010.
“The airlines have said they are owned by trusts based out of their respective countries. It has become a legal issue now, and we are awaiting the opinion of the law ministry,” said a senior ministry official, seeking anonymity.
He said the government would look into the details of the trusts to ascertain their ownership. “Not only the country of origin of the trusts, but also the country of origin of their members needs to be looked into. We will seek the external affairs ministry's view,” he said.
According to the SOEC clause, any airline can only utilise the seats quota of a particular country f the airlines’ ownership is from that country. The government also has the right to designate one or more airlines; however, its substantial ownership and effective control should be vested in the party designating the airline.
17/11/11 Mihir Mishra /Business Standard

EU emission caps for airlines to come into force next year

New Delhi: Despite protests from various countries, the European Union is going ahead with its carbon emission caps for airlines operating in and out of the region.
The Director-General of European Union for Energy, Mr Philip Lowe, said that the norm would come into effect from 2012 as planned. He, however, added that certain airlines would be given a grace period to meet the requirements.
“Allowances would be provided for the airline companies to come up with efficient and climate friendly aeroplanes,” he said, adding that “we presume that it would take airlines two to three years to make a start towards reducing emissions and by 2020 they should be in a position to use blend of fuel which is environment friendly and support use of aircrafts which are more fuel efficient.”
On the protests from Indian aviation sector, he said that some of the airlines such as Jet Airways and Air India have got a modern fleet which are sure to meet the requirement. At the moment, Kingfisher, Jet Airways and Air India are the airlines which have regular flights to Europe.
According to the norms, in the trading period from January 1- December 31, 2012, 85 per cent of the aviation allowances will be allocated free of charge to aircraft operators. For the period January 1, 2013, to December 31, 2020, this will be 82 per cent. The remaining 15 per cent allowances in each period will be auctioned and in 2013-2020, three per cent will be set aside in a special reserve for new entrants and fast growing airlines.
17/11/11 Business Line

Hundreds of passengers 'stranded in India' after seven flights cancelled

Comtel Air, an Austria-registered airline, has been accused of "holding passengers to ransom" after leaving the planes grounded on the runway because of a dispute with airport authorities.
Hundreds of passengers have now been caught up in the dispute, with four UK-bound flights cancelled - two last weekend and two this weekend.
The stand off is believed to involve thousands of pounds in unpaid landing fees and airport taxes.
A plane bound for Birmingham was due to carry 220 passengers back to the UK today.
But the airline said the flight would not take off from Amritsar airport until it received around £27,000 - or £124 from each passenger - from its partners to cover the bill for unpaid fees.
The passengers, whose flight has been delayed since the weekend, have been ordered off the plane and forced to make alternative travel arrangements, it is understood.
On Tuesday, a plane carrying 170 people to Birmingham was grounded at Vienna airport for six hours until the passengers raised £24,000.
The aircraft was held on the tarmac while those on board were taken to cash machines to find the money needed.
Kandra Bhupinder, managing director of Golden Air Group, which part owns Comtel, said it was a "dreadful situation" for the airline.
"What I need is the money to pay my pilots, to pay for the fuel - this is what is holding us up," he said.
"It is not my job to try and get this money. If we do not get the 10,000 rupees per passenger we cannot afford to fly with everyone on board.
"We plan to leave with or without passengers. This is a really bad situation."
A spokeswoman for Birmingham airport said a total of seven Comtel flights had now been cancelled.
She said the airport was not aware of any imminent plans for the plane on the runway at Amritsar airport to return.
17/11/11 Telegraph, UK

Foreign airlines' stake in Indian carriers will be a disaster: Oppn

New Delhi: BJP and CPI(M) today lambasted the government for considering allowing foreign airlines to invest in Indian carriers, saying it would bring "disaster" to the Indian aviation industry. "The decision is being taken in the backdrop of a few airline companies doing very badly. But such a move will completely annihilate the domestic civil aviation industry vis-a-vis foreign carriers," BJP leader and former Civil Aviation Minister Rajiv Pratap Rudy told reporters here. Government is likely to take a final decision on allowing foreign airlines to pick up stake in Indian carriers in a couple of weeks, with Civil Aviation Ministry proposing a 24 per cent cap as against 26 per cent recommended by the Industry Ministry. Maintaining that the move to allow foreign airlines was "fraught with lot of danger", Rudy said, "It is a calculated move by government to possibly benefit a few airlines. But, at the end of the day, it is going to bring disaster to our airlines and their network."
17/11/11 PTI/IBN Live

Philippine aircraft makes emergency landing

Nagpur: Just three days after a JetLite flight made an emergency landing at Dr Babasaheb Ambedkar International Airport here, an aircraft of Philippines-based Zest Airways made a similar landing at the city airport after it developed a major problem in its pressurization system.
The commercial aeroplane was on its way to Bangkok from Abu Dhabi after an overhaul. Only six crew members were on board.
The pressurization system pumps compressed air into the cabin to maintain a safe and comfortable environment for crew and passengers when flying at high altitude.
Pressurization is essential over 10,000 feet (3,000m) above sea level to protect crew and passengers from the risk of a number of physiological problems caused by the low air pressure outside. It also serves to generally increase passenger comfort.
17/11/11 Sachin Dravekar/Times of India

Fresh turn in AIE crash compensation claims

Sharjah: Indian Civil Aviation Minister Vayalar Ravi will meet families of Mangalore air crash victims in New Delhi tomorrow to discuss ways to reach an out-of-court settlement in their compensation claims.
Speaking at a press conference in Sharjah on Wednesday evening, Ravi said he has offered an opportunity for a face-to-face discussion with the members of the association of the crash victims’ families.
His latest promise to support the victims’ families comes days before one of the families is set to move the apex court in India in the one-and-a-half-year-old fight for justice which lately saw a court order against them.
“The meeting is not just to hear them…but also discuss in detail if we can come to a conclusion,” said Ravi, who was in Sharjah to attend the Sharjah International Book Fair at which he released a book written by his late wife Mercy Ravi.
“I tried to expedite the procedures (of disbursal of rightful compensation)…But then there was this case that caused the delay…I can’t assume or prejudge what the judgement (of the Indian Supreme Court) would be. Let’s see what we can do...the intention is to help them,” he said.
17/11/11 Sajila Saseendran/Khaleej Times

Passengers told: Pay up £20,000 and you can go home

More than 180 holidaymakers on the Comtel Air jet travelling from Armistar in India to Birmingham International Airport were "held to ransom" for six hours in Vienna.
Passengers were left stunned when their jet landed to refuel in Austria and staff told them to disembark — because the airline had "ran out of cash to fund the last leg of the trip".
It emerged the airline had racked up bills of more than £20,000 for not paying landing fees and taxes — with the company in dire financial straits.
A six-hour stand off on the tarmac only ended when travellers were frogmarched to a cash machine and forced to withdraw up to £130 each to get the plane home.
Some were forced to borrow from relatives - while others rustled up any euros they could spare to add to the pot.
The Comtel Air jet finally arrived at Birmingham Airport this morning.
Dalvinder Batra, 34, whose 80-year-old blind relative was forced to go without medicine during the ordeal, blasted: "It is absolutely disgusting how they treated us.
"There are still people stuck out there. We have been told that the company has gone bust mid-flight."
Rnanbir Dehal, from Wolverhampton, said: "We were escorted to the cash point to take out money.
"They said there was a deficit of nearly £20,000 and they gave us receipts.
16/11/11 Andrew Parker/The Sun

Airline denies demanding £20k from passengers for fuel

An airline has denied asking passengers to pay £20,000 towards the cost of fuel to complete their journey to the UK.
Passengers said they were asked for the money when a flight with Austrian airline Comtel Air from Amritsar in India stopped in Vienna to refuel.
Other passengers have been stuck in India after flights were cancelled.
The airline, which uses Birmingham Airport, said it hoped to get people back to the UK from India as soon as possible at not extra cost to them.
Bhunpinder Kandra, director of passenger services for Comtel Air, told BBC News that "there may have been some operational problem" in Vienna but denied people were asked to pay towards more fuel.
But the Press Association reported him saying: "I have heard what happened, it shouldn't have happened, and I will investigate why it happened.
16/11/11 BBC

Direct fuel import may not be easy for Kingfisher

New Delhi:Kingfisher Airlines chief, Mr Vijay Mallya, might end up buying more trouble if the Government actually accepts his plea to be allowed to directly import jet fuel.
High infrastructure and product transportation costs could negate the benefits which Mr Mallya is looking to gain from saving sales tax paid on the product.
Reeling under a severe financial crunch, Kingfisher had approached the Directorate-General of Foreign Trade for direct import of jet fuel to save sales tax.
Oil industry officials said that merely importing the product would not be enough. The company will need to spend a significant amount on building port/airport infrastructure, transport, facility to fuel the aircraft, and skilled manpower. For instance, the existing infrastructure, built years ago, had cost the oil companies around Rs 60-100 crore at each centre.
They wondered whether Kingfisher has enough resources, including land, to build the infrastructure. Also, oil industry sources wondered whether Kingfisher would be able to pay for the imports in dollars, when it is unable to clear its mounting domestic fuel bills.
16/11/11 Arun S Richa Mishra/Business Line

Airburs not aware of their own MRO in Mihan!

Nagpur: State chief minister Prithviraj Chavan's announcement about Airbus setting up its maintenance repair and overhaul (MRO) depot at Mihan in Nagpur maybe just another pie in the sky for local people. The European aircraft maker has categorically denied having any plans for such a facility in city.
Chavan had told newspersons at the sidelines of world economic forum (WEF) meet in Mumbai that Airbus MRO too will also be a part of international aviation hub at Nagpur. The hub he referred to is Mihan project being developed by Maharashtra Airport Development Company (MADC). Airbus' rival Boeing has already begun work on a MRO here.
Airbus executive president (marketing and contract) and president India Kiran Rao said there was little chance of the company setting up MRO in Nagpur. "Airbus is certainly going to come up with a MRO but it is not going to be in Nagpur. Details of project cannot be divulged at this juncture," Rao told TOI over telephone. Vice-chairman-cum-managing director of MADC UPS Madan also tactfully replied, "no formal request has been received from Airbus). Let's see, something is going on. We'll see once we get the request or demand (for land)."
Despite repeated attempts by TOI Chavan, who was on a tour to Ahmednagar, could not be contacted. His public relations officer Satish Lalit responded through a SMS saying the CM does not comment over telephone. MADC was also been wooing Airbus earlier during R C Sinha's regime but the deal did not work out.
16/11/11 Shishir Arya/Times of India

BJP warns govt against allowing foreign airlines equity in Indian companies

New Delhi: Alleging that government was clandestinely working on allowing foreign players 24 to 26 per cent equity in Indian airlines, BJP on Wednesday warned that such a step would destroy domestic aviation industry and asked the UPA dispensation to clear the air on the issue.
"What we are hearing about efforts to bail-out a particular loss making airline is not the full story. There are reports that government proposes to allow 24 per cent equity in Indian airline companies while department of industrial promotion and policy (DIPP) is suggesting 26 per cent," BJP spokesperson Rajiv Pratap Rudy said.
He sought a clarification from the government on the issue and claimed that this will lead to cartelisation.
"This policy may suit one company but the end-product will be cartelisation by foreign airlines. The day this is done, that too clandestinely, there will be complete annihilation of civil aviation industry in India," he said.
16/11/11 PTI/Times of India

Saudi Airlines Cargo to begin operations from Thiruvananthapuram

Thiruvananthapuram: Saudi Airlines Cargo is all set to launch bi-weekly freighter operations from the Thiruvananthapuram International Airport to Europe, Africa, America and West Asia. The operations will kickstart on November 16.
"Introduction of freighter from the state capital is a significant highlight in increasing our presence in India. The Indian freighter network, besides covering Mumbai, Chennai and Thiruvananthapuram also plans to operate from New Delhi by the first quarter of 2012," Saudi Airlines Cargo director (Indian subcontinent), Jonathan Collins said.
15/11/11 Times of India

Belgium honours Jet Airways chief Naresh Goyal

New Delhi: Belgium has conferred the 'Commandeur of the Order of Leopold II', one of its highest civilian distinctions, on Jet Airways Chairman Naresh Goyal for "meritorious service and efforts to foster business and cultural ties" with that country.
Belgian Ambassador Pierre Vaesen presented the medallion to Goyal at a ceremony here last evening in the presence of visiting Belgian Minister and President of Flanders, Kris Peeters, a press release said.
Named in honour of King Leopold II of Belgium, the order, conferred on the Jet chief by The King of the Belgians, is awarded for meritorious service to the Sovereign of Belgium and as a token of his personal goodwill.
The premier private carrier operates its international hub in the Belgian capital of Brussels, from where passengers travelling between North America-Europe and India are connected by it.
16/11/11 PTI/Economic Times

Tuesday, November 15, 2011

Commerce and aviation ministries agree on FDI from foreign airlines

New Delhi: The commerce and civil aviation ministries have agreed on allowing foreign airlines to pick up stakes in Indian airline companies but they still have to take a call on whether the FDI cap would be 24% or 26%. The two ministries are slated to discuss the matter soon.
Talking to FE, commerce and industry minister Anand Sharma said: "A proposal has come from the civil aviation ministry and it is receiving our active consideration. A (Cabinet) note will be circulated only after the inter-ministerial consultations."
Last month, the civil aviation ministry had written to the Department of Industrial Policy and Promotion (DIPP) agreeing to equity participation by foreign airlines in domestic carriers, proposing to allow foreign airlines to invest up to 24% in local carriers within the existing cap of 49% for foreign investors.
15/11/11 Timsy Jaipuria/Financial Express

'Inter-ministerial consultation very soon on FDI in aviation'

New Delhi: With cash-strapped Kingfisher Airlines demanding that foreign carriers be allowed to pick up stake in Indian airlines, the Industry Ministry Monday said it would "very soon" start inter-ministerial consultations on the issue.
"Yes. Suggestions have come from the Civil Aviation Ministry. It is attracting our active consideration. We will be seeking inter-ministerial consultation very soon," Commerce and Industry Minister Anand Sharma told reporters here.
According to official sources, the Industry Ministry is for allowing foreign airlines to pick up stake in domestic carriers but with a cap of 26 per cent -- a major move to liberalise the cash-strapped sector.
However, the Aviation Ministry, which was earlier opposing the move on the grounds that it was not a practice in many major countries like the US, has proposed 24 per cent, sources said.
Maintaining that no foreign player will be willing to invest in an Indian entity with a 24 per cent equity cap, sources said such a low stake might not be an agreeable option as that would not give a right to block a special resolution in a company.
14/11/11 PTI/Daily News & Analysis

US carriers unhappy with American aid to Air India

New York: Calling Air India "one of the most poorly-run airlines in the world", American carriers have opposed the US Exim Bank's USD 3.4 billion support to it to buy Boeing 787 Dreamliners.
The Air Transport Association (ATA), a trade group representing America's biggest carriers, has shot off a letter to US Export-Import Bank Chairman Fred Hochberg opposing the decision, saying Air India's financial ill-health should disqualify it from getting American help.
The US Exim Bank had last month decided to give loan guarantees of USD 1.3 billion to support Air India's fleet acquisition from Boeing and another USD 2.1 billion preliminary commitment to support future deliveries of the US aerospace company's planes to the Indian national carrier.
A decision to this effect was taken early October by the Board of Directors of the Export-Import Bank of the US.
In its response, Exim Bank's general counsel said the bank stood by its decisions and processes, though it would investigate some of ATA's assertions about its procedures, a report in the Wall Street Journal said.
"Air India's borrowing is backed by a sovereign guarantee of the Indian government and its business plan has been vetted by Exim Bank staff," the report quoted a US government official as saying.
14/11/11 PTI/Economic Times

U.S snubs India's request to exempt VIPs from security screening

According to the U.S authorities, if Former Indian President APJ Abdul Kalam makes a decision to fly to the United States anytime in the future he will be frisked again.
The aforementioned message was conveyed by the United States authorities in a regret note that was delivered to Kalam and the Foreign Ministry which only apologized for the fact that appropriate procedures for expedited screening of VIP’S had not been followed.
According to sources close to the government, the letter implied that the United States only regretted that Kalam’s security check was not completed at the airport, and the fact that United States officials had to get to the gate of an Air India aircraft to take away his jacket and shoes to screen them for explosives.
14/11/11 Oye! Times

Forget the frivolous 'frisk' incident: Kalam

Kolkata: Former President APJ Abdul Kalam today downplayed his frisking by US security officials at New York's JFK Airport, saying it was not worth talking about.
"Forget about it. It is not worth talking about," Kalam said while responding to a question on the sidelines of an IIMC event here.
80-year-old Kalam was twice frisked at the JFK Airport by security officials who even took off his jacket and shoes to check for explosives before he was to board an Air India flight on September 29.
14/11/11 Economic Times

Monday, November 14, 2011

More Honeywell APUs To Power Up GoAir A320s

Honeywell has extended its agreements with Indian low-fare airline GoAir for the installation and maintenance of Model 131-9A auxiliary power units on 10 more of the airline’s new Airbus A320s. The agreement calls for Honeywell to install the new APUs between 2012 and 2014. It builds on the company’s existing 10-unit APU contract with GoAir, and puts it in charge of APU maintenance across the entire GoAir A320 fleet until 2018.
13/11/11 Gregory Polek/AIN online

US apologises for Kalams frisking

New Delhi: A day after news emerged of former President APJ Abdul Kalam having been frisked at the John F Kennedy International Airport in New York on September 29, the United States issued a statement “regretting” the incident.
“We deeply regret the inconvenience that resulted for him (Kalam) as a result of the September 29 incident involving the security screening at JFK Airport in New York,” a statement from the US Embassy said. The US government had utmost respect for Kalam, the statement added.
The apology came after External Affairs Minister S M Krishna today spoke to the Indian ambassador to the US, Nirupama Rao, and directed her to take up the matter in writing at the “highest-level” in the US. India also threatened retaliatory action against US dignitaries unless such “unacceptable” practices were stopped.
14/11/11 Business Standard

Sunday, November 13, 2011

Jet Airways boosts Riyadh flights

Jet Airways, India’s premier international airline, will introduce new daily direct flights from Riyadh to Mumbai and the introduction of the additional flight from Mumbai to Bangkok will offer enhanced connections for flights from the Gulf, effective Dec. 14.
Jet Airways is the first carrier with twice daily frequency to Riyadh providing seamless enhanced connectivity to India over its Mumbai hub.
A third early morning service is being introduced between Mumbai and Bangkok.
Jet Airways is the only carrier with triple frequencies on the Mumbai-Bangkok sector offering unparalleled schedule flexibility for guests via Mumbai, as well as provide connectivity with flights from and to Bahrain, Doha, Dubai, Jeddah, Kuwait, Muscat and Riyadh.
13/11/11 Arab News

India set to buy 59 more Russian helicopters in $1 bln deal

New Delhi: India is close to finalizing a second contract with Russia for another 59 Mi-17V-5 tactical transport helicopters after the phased delivery of the first 80 of these choppers began this fall, The Times of India reported on Sunday.
"The 59 more Mi-17s, which will cost around $1 billion, will be ordered under the follow-on clause in the first contract. They will also be weaponized for combat operations like the first 80," the paper said, referring to a well-informed source.
In November, India took the delivery of the first batch of 80 Mi-17V-5 helicopters ordered under a $1.345 billion deal in 2008.
A senior official at the Indian Defense Ministry confirmed to RIA Novosti that India was negotiating the purchase of an additional 59 helicopters from Russia.
"The negotiations are, indeed, going on. Possibly, a contract on the delivery of this additional batch of Mi-17 helicopters will be signed already this financial year, i.e. before March 31, 2012," he said.
The helicopters are being built by Russian Helicopters' Kazan Helicopter Factory (KVZ) subsidiary.
13/11/11 RiaNovosti

India to take up Kalam frisking issue with U.S. at highest level

New Delhi: Outraged at former President A.P.J. Abdul Kalam being subjected to frisking for explosives at New York’s JFK Airport, India on Sunday threatened retaliatory action against U.S. dignitaries unless such “unacceptable” practices were stopped.
External Affairs Minister S.M. Krishna spoke to Indian Ambassador to U.S. Nirupama Rao and directed her to take up the matter in writing at the “highest level” with Washington after it emerged that Mr. Kalam was frisked in New York on September 29 before boarding an Air India flight.
Even after Mr. Kalam was seated, the U.S. security personnel forced the crew to open the door and took away the jacket and boots of the former President to check for explosives since they had forgotten to do so before his boarding.
Officials said the Minister has also sought a detailed report on the incident from its mission into the incident which they said was unacceptable. They further said that if this continues, there is a possibility of reciprocating as per diplomatic norms.
13/11/11 PTI/The Hindu

Abdul Kalam frisked again in NY as security measure

New Delhi: Former President A.P.J. Abdul Kalam was subjected to frisking at JFK Airport in New York at the end of September this year; his coat and shoes were taken from him even as he was already seated inside an Air India aircraft before departure, top government sources have confirmed to this newspaper.
The government has been informed about the incident by Air India and the Bureau of Civil Aviation Security (BCAS).
Sources said the matter should be taken up strongly with the United States. This is the second incident involving Dr Kalam, who was frisked two years ago at Delhi airport by a US-based airline. That incident had created a furore in Parliament.
Top sources said the latest incident occurred at the end of September this year when US security officials entered the Air India aircraft and insisted on taking away Dr Kalam’s coat and shoes for analysis.
An Indian protocol officer requested the US officials not to do so and pointed out that Dr Kalam was a former head of state of India, but the plea fell on deaf years.
Dr Kalam’s coat and shoes were later returned to him after a swab analysis. Officials said a swab analysis is done to detect any trace of explosives.
13/11/11 Pawan Bali/Deccan Chronicle

Work on MRO in India will be begin 'very shortly': Airbus

France: Amid CBI probing Airbus' parent EADS over the inordinate delay in setting up an MRO facility in India, its third largest market with over 70 per cent market share, the aircraft-maker has said the facility will come up in a very short while.
"The delay in setting up the MRO or Maintenance, Repair and Overhaul facility was due to our inability to find a partner. But I am telling you, we are very serious about this and the work on the proposed facility will begin in a very, very short time," Airbus executive VP for sales and marketing Kiran Rao told PTI at the Airbus headquarters here.
He added, "I just got some communication that we have got a private partner and we are soon to start work on the MRO facility. Accordingly, we have identified the location and we are going to start work very soon. We have to do it. It is a question of just beginning the work."
When pressed for a time-frame and the location, Rao, who earlier headed the India operations, said, "I cannot give the details as it is very confidential. All I can say is that it is on. And it is in the central part of the country. It is coming and in a very, very short time".
13/11/11 PTI/Economic Times

Saturday, November 12, 2011

India remains a key market for Airbus

Toulouse: From selling its first passenger aircraft to India way back in 1974, leading European aircraft manufacturer Airbus has come a long way with nearly 200 of its aircraft being in service today in India which has also emerged as the seventh biggest operator of Airbus planes worldwide. Leading the pack is the best seller single-aisle aircraft from Airbus — the A320 for which the erstwhile state-owned Indian Airlines was the launch customer in 1989 and now low-cost private operators — IndiGo and GoAir — have become the largest fleet operators of A320 airliners.
Confident of its future potential, Airbus is also launching a fuel-efficient, advanced version of A-320, called the NEO (New Engine Option) equipped with bigger wingtips ‘sharklets'. Airbus has already received nearly 1100 firm orders from 22 customers worldwide for the newer A320 version. Among the Indian operators, IndiGo and GoAir, have placed orders for A320 (NEO) which will result in 15 per cent fuel burn reduction translating into fuel savings of nearly $2 million a year for airlines.
The A320 has turned out to be the flagship aircraft from the European consortium and is the world's best-selling aircraft with 7,926 firm orders, 4,700 deliveries and a backlog of 2,900 aircraft, Joost Van Der Heijden who heads airline marketing in India and Southeast Asia, told a group of visiting Indian journalists at Airbus headquarters here.
IndiGo, India's largest low-cost carrier which has recently launched its international flights, will be the launch customer for A-320 NEO which would be delivered to it from 2016. The new version will also result in reduction of emissions and lower engine noise. While IndiGo has ordered 150 NEOs, GoAir has placed an order for 72 of such aircraft.
12/11/11 Vinay Kumar/The Hindu

Pan Am hijack: Indian victims still await justice

It has been 25 years since 21 passengers and crew members of the hijacked Pan Am Flight 73 were shot dead by terrorists at the Karachi airport. While American citizens aboard the aircraft have been compensated by the US, justice still eludes the Indian victims and their families.
The US government's decision to compensate only its citizens from a fund of over $ 1.5 billion received from the Libyan government headed by Muammar Gaddafi in 2008, came as a rude shock to the bereaved families. Their pain is exacerbated by the indifferent and insensitive attitude of the Indian government.
Over 120 Indian victims, including the families of 13 killed in the incident, have formed an association known as 'The Families from Pan Am Flight 73', to pursue their case with the Indian and US authorities.
They believe the US government has been "ungrateful" by denying compensation to the Indian victims from the Libyan corpus as it was largely because of the presence of mind and valour shown by senior flight purser Neerja Bhanot that many American lives were saved. The terrorists had support from the Libyan government which wanted to avenge US attack on its soil.
12/11/11 India Today

M'lore: Khader Urges Union Minister Vayalar to Permit Private Flight Operators on Dubai Route

Mangalore: After Air India Express (AIE) flight number IX 813 to Dubai was cancelled on Thursday November 10, MLA U T Khader on Friday November 11, urged the union minister of civil aviation Vayalar Ravi and Airport Authority of India (AAI) officials to restore the trust of passengers who are inconvenienced due to missed appointments and other issues as a result of this cancellation.
Speaking to Daijiworld, Khader said that some of the passengers who were to board IX 813 traveled to Bangalore on Thursday night and boarded the Dubai-bound flight there. He himself reached Dubai at 1.00 pm on Friday to keep his appointment. “Some of the passengers traveled by train to Kozhikode and boarded the Dubai-bound flight without an alternative. One passenger did not want to take a chance as his visa was likely to expire in a day,” he added.
12/11/11 Daijiworld

Bench averts grounding of high-flying career

Madurai: Sharanya’s is a strange tale of suffering coupled with determination. In June 2002, her father Santaan Naidu married her off to K Venkatesan, her maternal uncle, who was then double her age, at Melur in Madurai. As Venkatesan was employed in Singapore, she stayed with her parents in Mumbai and pursued her studies and landed a cabin attendant’s job in Qatar Airways, Doha.
“I was concentrating more on my work and was happy with how things were going, but the happiness did not last for long,” said Sharanya recalling how a phone call from her mother in June this year cut short her happiness. Her mother informed Sharanya that her maternal grandparents were ill. Believing this, she obtained ‘medical leave’ from her employers in Doha on June 24 and went to Melur only to find her grandparents healthy. Life turned for the worse as her husband and parents confiscated her passport, confined her and tormented her to quit her job.
As she did not report for duty after the scheduled ‘medical leave’ period, the Qatar Airways terminated her. After a series of painful events, her parents and husband allowed her to return to Doha to collect ‘important documents’ from the airline company.
On reaching Doha on July 25, she explained her situation to the higher management of Qatar Airways who reinstated her on August 22 after issuing a warning.
In the meantime, Venkatesan moved the High Court seeking direction to the Union Ministry of External Affairs, Indian High Commission in Qatar, Qatar Airways and others to trace his ‘missing wife’ and send her back to India.
Sharanya, however, wrote to the court Registrar through the Indian Embassy, pleading to dismiss the petition since “the only sole objective of my husband is to bring me back in India to face his absolute brutalities.” Considering that Sharanya was now a major, Justice Ramasubramaniam dismissed the petition.
12/11/11 New Indian Express/IBN Live

Friday, November 11, 2011

Kingfisher increases Sri Lanka presence

Increasing its presence in Sri Lanka, Kingfisher Airlines launched three new international routes to from key Indian cities into Colombo earlier this month.
Taking off from 1 October the carrier initiated services from Tiruchirapalli, Kochi and Thiruvananthapuram to the Sri Lankan city.
The carrier’s executive vice president Manoj Chacko said the new services strengthened the carrier’s route network and connectivity in and out of South India.
11/11/11 eTravel Blackboard

Thursday, November 10, 2011

Empire Aviation Group presents full range of services at Dubai Air Show

Empire Aviation Group (EAG), the Dubai-based private aviation specialist, will present its comprehensive range of services at the Dubai Air Show, where the company will host guests at its own chalet and show two of its managed executive jets on static display. EAG has become a one-stop shop for private aviation services (sales, management, charter) since launching in 2007, and also operates the region's largest fleet of executive jets with around 20 aircraft under management offering a wide range of choice to the corporate and leisure charter market.
EAG's success in the GCC has provided the foundation for its first overseas branch in Mumbai, India, which will open in 2011.
EAG will have two executive jets on static display at the Dubai Air Show - a Hawker 850XP and an Embraer Legacy 600. The company recently announced that it has become the first operator in the UAE to bring a new Embraer Legacy 650 under management - it will join another four Embraer Legacy executive jets on the fleet, making EAG the largest operator of this type of aircraft in the Middle East. EAG will also welcome a third Dassault Falcon 7X business jet to the fleet, in advance of the Dubai Air Show.
Paras Dhamecha, Executive Director of Empire Aviation Group, comments, "Dubai Air Show is one of the world's most important events for aviation and this includes private aviation, where all the major manufacturers will display their latest models. By the end of 2011, we will have added a further five business jets to our managed fleet, and the arrival of the UAE's first Legacy 650 will enable us to enhance services for our customers and expand our long-haul fleet. The demand for our private aviation services continues to increase in the region and our plan is to double the managed fleet over the next 18-24 months."
09/11/11 AMEinfo

Carbon Plan May Weaken EU Airlines’ Position, Deutsche Bank Says

The European plan to impose carbon limits on aviation could undermine the competitiveness of the region’s airlines as they may not be able to shift to passengers all the related costs, Deutsche Bank Research said.
The EU, which wants to lead the battle against climate change, decided in 2008 to include flights to and from the region’s airports in its emission-trading system as of 2012 after airline discharges in Europe doubled over two decades. The plan is under fire from airlines and governments outside the bloc, who claim it breaches international law.
“Fundamentally, emissions trading is an appropriate instrument to limit and/or reduce carbon emissions in aviation,” Eric Heymann and Joachim Hartel, analysts at Deutsche Bank Research in Frankfurt, wrote in a report dated yesterday. “However, the international orientation of the sector means that if the EU goes it alone on this issue the result will be competitive distortions to the detriment of European carriers.”
Carriers including American Airlines Inc. and United Continental Inc. are already challenging the law in an EU court, and China’s airline association said earlier this year the European initiative may prompt trade conflict. The United Nations aviation body adopted last week a non-binding resolution at the urging of 26 nations, including India, Japan and Russia, calling for the exemption of non-EU airlines from the cap-and- trade program.
Not Giving Up
The EU is not planning to give up or amend its plans in face of international opposition, Climate Commissioner Connie Hedegaard told a committee hearing in the European Parliament today. Her vow follows a non-binding opinion by an adviser to the EU court handling the U.S. airlines lawsuit that the bloc’s emissions measure is compatible with international law.
10/11/11 Ewa Krukowska/Bloomberg