Showing posts with label Foreign Sep 2013. Show all posts
Showing posts with label Foreign Sep 2013. Show all posts

Saturday, September 13, 2014

Delay in haj flights irks passengers

Vasco: The haj committee of India, Goa, has written to the ministry of external affairs and the aviation ministry complaining about the delay in haj flights leaving Dabolim.

Mohammed Iqbal, president of Goa state haj committee, said, "there have been delays in every flight, causing
trouble to the hajis and creating confusion in their scheduled package." The special chartered Haj flights are supposed to fly on Thursday, Friday and Saturday. There are altogether 613 hajis leaving for Saudi Arabia. They include Goans and non-Goans.

On Thursday, while the flight with 232 Hajis was supposed to leave at 3.30am, it left only at 8.30pm. Mohammed said, "though there were some problems due to the flight handling, yet the airport authority and the CISF were active in helping the hajis."
13/09/14 Times of India

Monday, September 30, 2013

Tatas have been superbly transparent: Tony Fernandes, Air Asia

Air Asia's Tony Fernandes can be a difficult man to pin down for an interview, preferring as he does to operate through Twitter to get his views across - in 140-character bursts of ebullience.
When asked for an interview, he said he'd not given one for "three months" but eventually agreed to answer ET's questions. Owner of Queens Park Rangers football club and former team principal of the Caterham Formula 1 team, Fernandes recently added to his resume by becoming a television anchor, helming the Asian version of The Apprentice.
What transpired at the board meeting? Things that you can share?
It was an excellent meeting. We discussed strategy and we are very focused on changing Indian aviation. I am not going to share any plans yet.
With Air Asia India getting its most important approval, and the rest expected to be a formality, how soon do you expect the airline to fly?
There is no schedule. We will finalise the schedule once we believe we can fly. But yes, we are getting closer.
30/09/13 Satish John & Anirban Chowdhury/Economic Times

Sunday, September 29, 2013

‘No issues with Tata-SIA venture’

New Delhi/Chennai: Tony Fernandes, AirAsia India’s largest shareholder, has said he has “no issues” with the Tata-Singapore Airlines project. AirAsia India is a joint venture (JV) between AirAsia, Tata Sons, and Telestra Tradeplace Pvt Ltd, for a new low-cost airline. The joint venture was announced in February. .
Then, earlier this month, Tata Sons announced another JV with Singapore Airlines, this time for a full service airline in India. Tata Sons will be the majority shareholder in this JV.
But Arun Bhatia of Telestra, who had raised questions on Tata Sons tying up with Singapore Airlines after agreeing to the AirAsia venture, was conspicuous by his silence.
28/09/13 The Hindu

Tata-Singapore Airlines JV: SIA taking another shot at India, despite barriers & restrictions

In the din that followed the unveiling of a partnership between Tata Group and Singapore Airlines (SIA) on September 19 to start a full-service airline in India, an announcement by South East Asia's biggest carrier five days later may have gone unnoticed. SIA and SilkAir, its wholly-owned regional offshoot, said they will increase services between India and Singapore to 107 times a week from 98 across 11 Indian cities, including a third daily service from New Delhi, from October 27, 2013.
Company officials say there is little to link two announcements, but there is no denying that both underscore the importance of India for SIA. Indian aviation has always been a lodestone for the Tatas, but the same is true for SIA. In each futile attempt the Tatas made in the past to enter aviation — creation of a joint venture in the 1990s and purchase of government-owned Air India in 2000 — their partner happened to be none other than SIA.
29/09/13 Binoy Prabhakar/Economic Times

Foreign tourist influx, festive season may see airfares soar this winter

Mumbai: Airfares will be sky-high during the festive season, especially on flights to and from Mumbai, as airlines have not planned to add many flights for the forthcoming winter schedule.
What is worse, the domestic flights' demand will be high as the weak rupee has turned India into an attractive destination this winter. Currently, the Mumbai airport handles 700 aircraft movements a day, ie that is almost 350 landings and an equal number of take-offs in 24 hours.
"During the winter schedule, from October end to March, the flight movements will go up to 750, which means 25 more flights out of Mumbai in a day," said an airport official. That roughly adds up to about 3,400 extra seats on departure flights per day, which is not a huge number for Mumbai during the Dussehraasshera, Diwali and Christmas X'mas weeks. Last winter, Kingfisher AirlinesBSE 4.99 % suspended its flight operations. The consequent drop in capacity has kept airfares high, except during the lean travel months of June and July.
29/09/13 Economic Times

IndiGo flight, foreign chartered plane had a near miss on Nagpur skies

Nagpur: An IndiGo Bangalore-Nagpur flight with 176 passengers on board and six crew members received a resolution advisory on September 23 morning while it was preparing to land. Resolution advisory is a warning given to aircraft by an inbuilt device called the traffic collision avoidance system (TCAS) when two aircraft come too close in the air and are in danger of collision.
The IndiGo flight 6E-435 was on its way to land at Nagpur's Dr Babasaheb Ambedkar International Airport when an internationally registered aircraft (no. ATR 72-500), which flew in too close to it, triggered off the resolution advisory. Both, the airline and the Nagpur air traffic control (ATC), confirmed the incident and said that the directorate general of civil aviation (DGCA) was investigating the matter.
29/09/13 Aparna Nair/Times of India

Jet in direct Indian route buzz

Etihad is eager for India's second-largest airline, Jet Airways, to consider direct flights between the subcontinent and Australia once it gains a cornerstone stake in the carrier.
The speculation about Jet Airways flying here comes a month after flag carrier Air India began the only direct services from Delhi to Sydney and Melbourne.
The entry of a second Indian airline would pose the biggest challenge to Singapore Airlines, which has the lion's share of the market between Australia and India.
Etihad chief executive James Hogan has talked privately about his interest in Jet Airways launching direct services to Sydney or Melbourne, according to two well-placed sources.
The Middle Eastern airline is awaiting final approval from Indian authorities to complete the purchase of a 24 per cent stake in Jet Airways.
It is expected to have a large influence over Jet Airways' future direction despite its holdings falling well short of control.
29/09/13 Matt O'Sullivan/Sydney Morning Herald

American with bullets denied bail

Bhubaneswar: A trial court here on Friday turned down the bail plea of American engineer William Michael Hurtubise, who was arrested by the CISF with bullets at Biju Patnaik Airport on September 18.
William was booked under Arms Act. "Since he is a foreign national and the police are yet to ascertain the source of the bullets, the judge rejected his bail plea," William's lawyer said.
A few days ago, the police sent the eight .22 mm bullets to state forensic science laboratory for ballistic test. "We have not yet received the report," DCP Nitinjeet Singh said.
28/09/13 Times of India

Saturday, September 28, 2013

FIPB likely to consider Tata-SIA airline proposal on October 18

New Delhi: The Foreign Investment Promotion Board (FIPB) is likely to consider the proposal of Tatas and Singapore Airlines for a new joint venture on October 18 entailing a foreign investment of USD 49 million.
"The application has been received and would be considered at the next meeting of FIPB on October 18," an official told PTI.
The FIPB, headed by Economic Affairs Secretary Arvind Mayaram, is an inter-ministerial panel for approving Foreign Direct Investment (FDI) across sectors.
In their new venture, Tata SIA Airlines Ltd, Tata Sons would hold 51 per cent stake and Singapore Airlines (SIA) 49 per cent.
The proposed venture would also require approvals from agencies like the DGCA and tax department besides other ministries and government departments.
27/09/13 PTI/Economic Times

Tata-SIA deal 'no issue for AirAsia India'

Tata Group and Malaysia’s AirAsia, lead partners in a proposed domestic low-cost airline, on Saturday said there were no differences among the shareholders over the former’s tie-up with Singapore Airlines (SIA) for lanching a full service carrier.
The board of AirAsia India, as the Tata-AirAsia venture is called, met in Mumbai on Saturday, a week after co-investor Arun Bhatia hit out at Tata Group for keeping him in dark regarding its SIA joint venture. Tata Sons owns a 30 per cent stake in Air Asia India, while AirAsia and Bhatia’s Telestra Tradeplace have 49 per cent and 21 per cent, respectively. A Tata Group spokesperson as well as Mittu Chandilya, Air Asia India’s chief executive, however, maintained that the issue of Bhatia's opposition to Tata-SIA partnership and his purported threat to buy Tata Sons’ stake in the carrier did not come up for talks in the meeting.
“It was a regular board meeting and we discussed operational plans. We have received a no-objection certificate from the ministry (of civil aviation). I am still aiming for a December launch, but it will be tight,” Chandilya said. He added the airline would not cut corners on safety issues and be prepared to delay launch.  28/09/13 Business Standard

For a Fistful of sky

They have fought toe-totoe over routes, ticket prices and a piece of the sky for over two decades. Now British Airways (BA) and Virgin Atlantic Airways are ready to slug it out in a new ring - India - with the two long-haul airlines looking to expand their offerings and increase their share of Indian travellers flying to Europe and North America.
"India is a strong focus for us and a big part of our strategy," says Virgin Atlantic CEO Craig Kreeger, who visited the country in late August. Close on the heels of his visit, Kate Thornton, Head of Product and Service at BA, came calling to reinforce the airline's position as the largest British carrier operating from India and to launch its 'To Fly. To Serve' global marketing campaign. "India is a competitive market and there is new competition coming in," she says. "As a brand we need to respond to the competition and this keeps us on our toes."
28/09/13 Manisha Singhal/Business Today

India’s Own MALE UAS Still in Development

India’s own medium-altitude long-endurance (Male) UAS has experienced another delay, with first flight now expected toward the end of next year. A senior official from the Defense Research Development Organization (DRDO) told AIN that the Rustom-2 project has suffered from lack of access to technology for sensors and engines. “Requirements for ISR are huge in India, given threats from the border. However, Hale, micro and nano UAVs require powerful algorithms. That is where we require help,” added V.S. Chandra Shekhar, associate director of the DRDO’s Aeronautical Development Establishment (ADE).
Shekhar said that taxi trials of the Rustom-2 are now scheduled for the middle of next year. The Indian Army has ordered 77. While government-owned Hindustan Aeronautics and Bharat Electronics will be taking the lead in manufacturing, the DRDO is also considering opening it to the private sector, Shekhar told AIN.
27/09/13 AINonline

MiG-29K Carrier Trials Complete

Flight trials of the MiG-29K on the INS Vikramaditya (formerly Admiral Gorshkov) in the Barents Sea have been completed. Deliveries of the naval version of the fighter to India continue, with the carrier to follow on November 15, and the Russian Navy will soon receive its first MiG-29K. The Russian defense ministry confirmed this month that its only remaining carrier, Admiral Kuznetsov, will be modernized to accept MiG-29Ks as well as the Sukhoi Su-25UTG light attack and Su-33 combat aircraft.
The latest series of flights, conducted in August and September, used two factory aircraft (a MiG-29KUB two-seater, side number 204, and a single-seat MiG-29K, side number 941). The dozen flights demonstrated takeoffs and landings at night, and with a maximum practical combat load specified by the Indian customer. These trials followed a previous series of 42 customer-specified missions from the same carrier between June and August last year.
27/09/13 AINonline

Air Arabia to operate Nagpur-Sharjah flight four times a week

Nagpur: In a welcome move for Nagpurians, Air Arabia has decided to increase the frequency of its Nagpur-Sharjah flight. From the earlier three trips a week, the frequency of the flight will be upped to four times a week.
Starting October 29, Air Arabia flights will depart from Nagpur on Tuesdays, Wednesdays, Fridays and Sundays at 4:50am (local time) to reach Sharjah at 6:50am (local time). Similarly, flights will depart from Sharjah on Mondays, Tuesdays, Thursdays and Saturdays at 11:10pm (local time) to reach Nagpur at 4:10am (local time).However, other airlines have made no changes in their winter schedule as of now.
28/09/13 Aparna Nair/Times of India

Qatar Airways serves up Indian cuisine

New York:Qatar Airways has started serving Indian cuisine on its flights in non-Indian routes thanks to the variety and popularity of dishes from the sub-continent.
"Airline's celebrated chef Vineet Bhatia, first Indian chef to receive a Michellin Star and his colleague Anuj Sood based in Doha, ensure that the best Indian cuisine- vegetarian and non-vegetarian are served to passengers in most international flights," said Qatar Airways officials.
The officials made the remarks while addressing journalists to celebrate five-star dining and comfort on board Qatar Airways Boeing 777-300ER at Washington Dulles International Airport tarmac.
The event was held to showcase the airline's award-winning Culinary World Menu.
28/09/13 Indian Express

Friday, September 27, 2013

US aviation regulator concerned over several vacancies in DGCA

New Delhi: US aviation regulator Federal Aviation Administration (FAA) has expressed serious concern over large number of vacancies in DGCA, including top posts of Joint Directors General and Deputy Directors General, at a time when air traffic in India was growing at a rapid pace.
Of the 427 posts sanctioned by the government in 2009 for various directorates of the Directorate General of Civil Aviation (DGCA), it is understood that around 350 posts have lapsed as they were not filled up in so many years.
The vacancies include top technical positions of two Joint Directors General, five Deputy Directors General and over 100 Directors, Deputy Directors and Assistant Directors.
27/09/13 PTI/Economic Times

India Removes Entry Barrier for Foreign Bizav Crews

Overriding a three-month-old directive that resulted in difficulties and delays in obtaining crew visas and temporary landing permits (TLPs), India’s Directorate General of Civil Aviation (DGCA) has authorized the nation’s consulates abroad to grant business visas to crew of nonscheduled and chartered flights. Not to be confused with the landing permit for the aircraft, the TLP permits customs to allow entrance into India by crewmembers of nonscheduled flights, the DGCA said. The TLP costs $40 per crewmember and should be issued within three days of submission, according to Universal Weather & Aviation.
This comes as a relief to U.S. and European operators that have in the past experienced numerous cancellations stemming from difficulties in obtaining crew visas, since there was no clear policy on what types of visa were to be issued to pilots. Also, crew visas can take up to five weeks to be approved by the Indian government.
26/09/13 Neelam Mathews/AINonline

Jet gets notice for aircraft lease rentals non-payment

Mumbai: Jet Airways (India) Ltd has defaulted on lease rentals of its Boeing 737s, highlighting the financial difficulties faced by the airline. Airfinance Journal, a publication dedicated to airline finance, has reported that Jet has been served a notice by International Lease Finance Corp (ILFC), the world's largest aircraft lessor by value.
Jet and its subsidiary JetLite have a fleet of 115 aircraft, which include a mix of narrow-body and wide-body planes. About 75-80 of its planes are on operating lease and in the last two-three years, the airline has been carrying out a sale-lease back of its plane to reduce debt.
According to sources, the notice pertains to four-five Boeing 737s, which have been inducted into the fleet over the last five-six years. The default amount could not be immediately confirmed. "The airline has been under pressure from lessors, but the default is serious. Other lessors, too, might start putting pressure," a source said.
A Jet spokesperson said Jet had a long and excellent relationship of leasing aircraft from ILFC. "Jet and ILFC are in discussions to reconcile their respective accounts to identify the exact dues. On completion of the same the accounts will be settled between Jet and ILFC."
27/09/13 Aneesh Phadnis/Business Standard

Thursday, September 26, 2013

Kentucky couple of Indian origin dies in Bolingbrook plane crash

The husband and wife from Kentucky who died in a Bolingbrook plane crash were remembered Thursday as extraordinary and passionate people, while investigators from the National Transportation Safety Board arrived on the scene and attempted to figure out why the single-engine plane went down in a bank parking lot.
Killed in the crash were Dr. Narayan Venguswamy, 63, and his wife, Jay, from Georgetown, Ky. Jay Venguswamy died at the scene. Narayan Venguswamy died Thursday morning at Loyola University Medical Center in Maywood.
The husband and wife worked at Georgetown Community Hospital, where Venguswamy was a general surgeon and his wife was his office manager. Venguswamy worked there for 27 years and was known as Dr. Vengu.
26/09/13 Tina Takouris/Chicago Sun Times

Tata-Singapore Airlines venture reaffirms India aviation potential

New Delhi: A new Indian airline planned by the giant Tata Group and Singapore Airlines reaffirms the nation’s long-term potential as an aviation market, despite the sector’s current financial turbulence, analysts say.
Tata Sons, the holding company of tea-to-software conglomerate Tata Group, and SIA said this week they were setting up a full-service airline after two failed joint bids to take to Indian skies.
“This investment affirms India’s reputation as a lucrative aviation market in the long-run,” Amber Dubey, aerospace head at global consultancy KPMG said.
The $100-billion Tata Group in 1932 pioneered air travel airline in India with Tata Airlines, later taken over by the government and rebranded Air India. It will hold a majority 51-per cent stake in the full-service carrier while SIA will hold 49 per cent as they seek to exploit one of the fastest-growing aviation markets globally.
26/09/13 Oman Tribune

Hope Tatas taste success with aviation this time: JJ Irani

The All India Management Association (AIMA), the national apex body of the management profession in India, held its 40th National Management Convention in Delhi on Thursday, 26 September. The event was attended by some of the biggest corporate leaders, who discussed several key issues facing the Indian economy currently. CNBC-TV18’s Ronojoy Banerjee and Rituparna Bhuyan gives a report of what the industry stalwarts had to say. The broad theme of the convention this time around was courage in uncertainty. In these times when the economy was going through uncertain times, various industry executives were wondering on how to take bold decision.
Tatas is one such group that showed a lot of courage of entering into aviation space. Industry veteran and an old hand at Tata’s Dr JJ Irani said. “The Tatas have always wanted to be in aviation. Two efforts made by them in the 90’s were foiled. However, this time I hope the two ventures that they have undertaken will succeed.”
26/09/13 moneycontrol.com

Govt may soon do away with overseas flying rules of aircraft

New Delhi: Government may soon do away with the rule that allows an Indian carrier to fly overseas only after it has flown within the country for five years and has a 20-aircraft fleet, with officials saying there was no justification for such norms to continue now.
A note for the Union Cabinet has been moved by the Civil Aviation Ministry some weeks ago and the matter may be taken up in the next few weeks, they said.
"There is no valid reason for such a rule to exist in the present context," an official, requesting anonymity, said.
At present, only airlines with at least five years of continued domestic operations, a minimum of 20 aircraft and paid-up capital of Rs 100 crore can fly abroad, under the rule that was approved by the Cabinet in December 2004.
As the Cabinet had then taken a decision on this issue, it would have to approve any changes made in it, the officials said.
25/09/13 PTI/Fianancial Express

Mont Blanc climber finds £205,000 worth of Indian jewels on glacier

Paris: It was an unexpected find for the young French alpinist as he approached the summit of Mont Blanc. Poking out of the ice and snow on the shoulder of western Europe's highest mountain was a metal box containing precious gems – including emeralds, rubies and sapphires – worth hundreds of thousands of euros that had lain hidden for about 50 years.
The precious stones, around 100 in total, were neatly packed into sachets, some marked with "Made in India". It soon became clear that the historic haul, which has since been valued by jewellers at up €246,000 (£205,000), had belonged to someone on one of two Air India flights that crashed in 1950 and 1966, killing a total of more than 100 people.
The climber carried the treasure down the mountain and straight to local police. The prefect's office is now contacting Indian authorities to see if it is possible to trace the owner or their relatives.
"You can say the climber who made this find is someone very honest," local gendarme chief Sylvain Merly said.
"He saw very well that what he had in his hands was something very valuable, realising straight away that it was precious stones that had been very carefully wrapped.
"He was a mountaineer, he knew the history of the two plane crashes here and realised that this find was likely linked to those crashes. "Maybe he didn't want to keep something that had belonged to someone who died. So he handed it in."
26/09/13 Angelique Chrisafis/The Guardian

Air India employees to complain to US regulator FAA on alleged violations

New Delhi: National carrier Air India and the country's regulator the DGCA could be heading for some serious trouble and embarrassment as a section of the Air India employees plan to approach the American regulator the FAA on the alleged violations being regularly committed by Air India. The union also threatens that if the matter isn't resolved within days they would not just report the matter to FAA but also stop serving meals in the entire length of the long haul flight. This comes at a time when the FAA after its security audit just recently has placed the DGCA on a notice period to correct the lapses. If the FAA is not satisfied by the corrective measures put in place by the DGCA then the Indian regulator could be downgraded and that could mean trouble in the form of security checks and restrictions for Air India and Jet Airways flights flying to the US.
The All India Cabin Crew Association talking exclusively to Headlines Today maintained that time and again they have tried to present the pending issues to the management but the matters have never been addressed. This the union maintains has demoralised the workers immensely. The union adds that violations have now become a regular in Air India and that the lives of the passengers and the crew are being put in danger. The union directly charges the management for the current situation.
26/09/13 Pankaj Upadhyay/India Today

CVC may close complaints of irregularities in Jet-Etihad deal

New Delhi: The Central Vigilance Commission (CVC) is likely to close complaints of alleged irregularities in the Rs 2,058-crore deal between Jet Airways and Abu Dhabi's Etihad Airways lodged by a BJP MP.
The Civil Aviation Ministry has submitted replies to the CVC on a series of allegations raised by Nishikant Dubey against the deal and clarified all concerns raised by him, official sources said.
Based on the ministry's reply, the complaints of alleged irregularities may be closed and no further investigation needs to be carried out, the sources said.
Dubey had written several letters to Prime Minister Manmohan Singh, CBI, CVC and the Ministry alleging wrongdoings in the deal and demanded a high-level probe in the matter, they said.
26/09/13 Economic Times

Direct flights from Macau to India soon

Macau: The Director of the Macau International Airport said yesterday that “most probably within this year” there will be direct flights linking Macau to India.  Speaking on the sidelines of the fourth Chinese and Portuguese-Speaking Countries Airports Conference – Macau 2013, António Barros revealed that the issue is “under negotiations, as the press have been reporting.”
The Guinea-Bissau national added: “The flights depend on the air carrier that is preparing them. The process needs a lot of planning, in order to avoid losses to the company.”
26/09/13 Macau Daily Times

Last batch of devout leaves from IGIA for Haj

New Delhi: Over 20,000 pilgrims headed for the annual Haj pilgrimage to Saudi Arabia flew out of Indira Gandhi International airport here this year, with the last batch leaving for Medina on Thursday.
Since the first batch of around 900 pilgrims departed from the airport on September 9, a total of 20,700 pilgrims, mostly from Delhi and adjoining areas, have boarded planes for Saudi Arabia, an IGIA official said.  Saudi Arabian Airlines was the designated carrier for Haj and it operated a total of 52 flights with Boeing 747, Boeing 767 and Airbus 330 type aircraft.
Airport operator Delhi International Airport Ltd (DIAL) had made arrangements in Terminal 2 for the pilgrims with eight immigration, 20 check-in and eight foreign exchange counters.
DIAL had also made special arrangements for the pilgrims to offer prayers and provided basic medical support for the Hajjis both inside and outside the terminal building.
26/09/13 ZeeNews

Sebi settles SpiceJet case with WL Ross for Rs 1.10 cr

Millionaire investor Wilbur Ross-headed global private equity group WL Ross has paid Rs 1.10 crore to settle long-running Sebi proceedings with regard to purchase of shares in Indian carrier SpiceJet. WL Ross had acquired controlling stake in low-cost carrier Spicejet in August, 2008, but later sold it to Kalanithi Maran-led Sun Group in June, 2010. As on June quarter, Marans held 52.14 per cent stake in the airline. Market regulator Sebi was probing suspected violations by WL Ross entities with regard to takeover norms, including alleged failure to make a public announcement to acquire shares of Spicejet and suppression of information from the regulator and the public at large.
26/09/13 PTI/moneycontrol.com

Two arrested for travelling on fake Indian passports

Pune: The Airport police on Tuesday night arrested two foreign nationals for using fake Indian passports to travel to Sharjah in the United Arab Emirates (UAE).
Police investigations have revealed that the duo hails from Myanmar.
The suspects have been identified as Ansari Mehboob Alam (24) and Gazi Najbul Hasan (23), both from Myanmar. The passport seized from Alam has the address of Bihar while Hasan's passport has an Andhra Pradesh address.
Police said the two men travelled from Pune to Sharjah on Saturday night. However, authorities at the Sharjah airport detained them suspecting the genuineness of their passports.
26/09/13 Times of India

Wednesday, September 25, 2013

Tata Group, Singapore Airlines say JV to create jobs, boost aviation sector in India

New Delhi: Making a strong case for approval of their proposed airline JV, Tata Group and Singapore Airlines have said that the joint venture (JV) would create significant job opportunities in India, boost aviation sector and would boost the country's image as an international investment destination.
The two partners have also listed out a number of other economic benefits for the country from their new venture, Tata SIA Airlines Ltd, where Tata Sons would hold 51 per cent stake and Singapore Airlines (SIA) 49 per cent.
"The brand 'SIA' is recognised worldwide and the expansion of the 'SIA' in India will signal the ability of the country to attract leading names from the international circuit to benefit the Indian market and customers.
"High foreign investment inflows would further strengthen the civil aviation sector," the two partners said in an application to the Foreign Investment Promotion Board (FIPB), while seeking approval for USD 49 billion worth FDI by SIA.
The two groups have also emphasised that investment from SIA and operations of the proposed JV would have the potential for significant foreign exchange earnings in India.
25/09/13 PTI/Financial Express

Will Tata Sons, Singapore Airlines fly high in Indian skies?

The Tata Sons, Singapore Airlines JV reaffirms the long-term potential of the Indian civil aviation and tourism industry. Both seem beset today with man-made problems like excessive taxation, poor infrastructure and cumbersome procedures. All these are likely to change as policy-making in India matures. The presence of Tata Sons, Singapore Airlines will speed that up. It will also give a boost to other leading global airlines currently engaged in conversation with prospective Indian partners.
The exit of Kingfisher Airlines created a void in the full service carrier (FSC) space. India now has only two full service domestic airlines—Air India (AI) and Jet Airways. The Tata Sons and Singapore Airlines JV will enhance options for passengers. The difference in fares on FSC and low cost carriers (LCC) is negligible. With the duration of most domestic flights being around 2 hours, the perceived luxury is for a very short duration. Both Jet and AI are relooking their business:economy seat configuration. Tata Sons and Singapore Airlines will therefore compete with both FSCs and LCCs and it’s all good for the Indian passenger who will now be wooed like never before.
25/09/13 Amber Dubey/Financial Express

Commercial pact with Etihad Airways not to override board powers: Jet Airways

New Delhi: Jet Airways and Etihad have submitted revised documents to the government seeking to allay the FIPB's concerns over control of their proposed venture, saying the commercial co-operation agreement (CCA) will not override powers vested with the company's board.
"We confirm that the CCA will not undermine the powers of the board of the company at any time to enter/exit from such commercial arrangement," according to a joint note submitted by Jet Airways and Etihad Airways to the Department of Economic Affairs (DEA).
Naresh Goyal-led Jet has also changed the shareholders agreement and amended the investment agreement and the articles of association, as suggested by the Foreign Investment Promotion Board (FIPB), headed by DEA Secretary Arvind Mayaram, official sources said.
25/09/13 PTI/Economic Times

More fallout ahead of ICAO meet

Reports say the US and Brazil may join India and China and resist any International Civil Aviation Organisation (ICAO) global scheme to reduce airlines' carbon emissions from 2020 that involves compliance with the EU's emissions trading system (EU ETS tax).
The European Commission wants an ICAO statement that allows the EU's regional scheme to continue operating until the end of this decade.
Brazil has described the inclusion of foreign airlines in the EU emissions trading scheme as "an affront to the principles of international law".
"Brazil understands that every country or region has the right to develop market measures for the aviation sector within its jurisdiction, but the
extension of these measures to foreign aviation operators violates the basic principle of international law regarding state sovereignty," said Moreira Franco, Brazil's minister of State and head of the secretariat for civil aviation.
25/09/13 MICEBTN

Japanese firm looks for tie-up outside HAL

Kochi: Even as a joint working group — set up in the wake of Prime Minister Manmohan Singh’s visit to Japan early this year — grapples with firming up modalities for possible cooperation and joint development of the Japanese ShinMaywa US-2 amphibious aircraft on offer to the Indian Navy, ShinMaywa Industries Ltd has intensified its search to identify an Indian collaborator, mainly for maintenance, repair, and overhaul (MRO) of the aircraft.
The company, however, wouldn’t want to partner with Hindustan Aeronautics Limited (HAL), as the public sector aerospace company “is too big and complicated for us.”
Having earlier shown interest in the Indian Navy’s requirement for nine such platforms, primarily to carry out search and rescue, the company, which has limited presence in the Indian civil aviation market for nearly 20 years, hopes to forge a strategic alliance with India in the larger context of the expanding Indo-Japan relations.
25/09/13 S. Anandan/The Hindu

Afghan national held with Rs one cr foreign currency at IGIA

New Delhi: An Afghan national was today arrested for allegedly illegally carrying foreign currency worth Rs one crore at international airport here.
Keeping a surveillance on passengers going to Gulf sector, a man from Afghanistan was intercepted at the departure hall of Indira Gandhi International Airport (IGIA) and on the search of his baggage foreign currency of different countries equivalent to Rs 1.03 crore was recovered, a customs official said.
25/09/13 PTI/IndiaTV News

Tuesday, September 24, 2013

20/5 rule to fly abroad not needed: Aviation minister Ajit Singh

New Delhi:  India is finally set to end the discrimination its airlines have faced to fly abroad, even as the red carpet was rolled out for foreign carriers to fly into the country. Aviation minister Ajit Singh has told TOI that the twin conditions that an Indian airline must be five years old and have 20 aircraft in its fleet to start overseas flights are both "unreasonable and not needed".
"This rule was wrong and possibly manipulated in the first place. The 20/5 conditions are not required. Indian airports need to become aviation hubs and our airlines should not face such restriction in flying abroad when foreign airlines do not face any such conditions," Singh said. The change comes as India is set to have a new low-cost carrier AirAsia India and a full service carrier Tata-Singapore Airlines.
The minister pointed out that Indian corporate leaders with one or two private planes can fly abroad whereas scheduled carriers face such hurdles. At present, Indian carriers' market share in international air travel to and from the country is about
24/09/13 Saurabh Sinha/Times of India

IndiGo beats market blues to deepen its green

New Delhi: The losses of Jet Airways and SpiceJet have been IndiGo’s gain, quite literally. Bucking the trend in the Indian aviation space, where companies have red ink splashed all over their ledgers, IndiGo, the country’s largest budget airline, has reported net profit of Rs 787 crore for the financial year ended March 31 — a five-fold surge from the previous year’s Rs 128 crore.
The company’s profit was pushed by a combination of increase in capacity — when other competing airlines were lowering their number of seats — and rise in yields through reduction in non-fuel expenses. The overall good show came despite fuel bills shooting up and a fall in the rupee’s value bumping up costs. Since IndiGo broke even in 2008-09, this was a fifth straight year of net profits for it.
In contrast, Jet Airways and SpiceJet, the two publicly-listed India airline companies, incurred losses of Rs 480 crore and Rs 191 crore, respectively, in the financial year.
IndiGo’s revenues increased 65.4 per cent to Rs 9,458 crore in 2012-13 from Rs 5,718 crore the previous year. The airline was a major gainer also in market share, which rose to 28.1 per cent from 22.2 per cent in 2012. Its Ebitdar (earnings before interest, tax, depreciation, amortisation and rent costs) margins stood at 18.6 per cent.
24/09/13 Business Standard

SpiceJet denies stake sale talks with Tigerair

Mumbai: SpiceJet has denied it is in talks with Singapore-based low cost airline Tigerair for a stake sale. The airline was reacting to a media report which said Tigerair along with private equity investors were were in discussions to pick up 40% in the Indian budget carrier.
 "We are extremely concerned at the repeated references in the media as regards SpiceJet's plans to induct a strategic investor. Many of these are speculative and misleading. While we are not averse to the idea of partnering with a reputed name in aviation, it will be improper to comment prematurely on the possibilities of a deal fructifying. That said, we also wish to categorically state that the report this afternoon suggesting that we are in the process of offloading a substantial equity stake to Tiger Airways is totally misconceived . There is absolutely no truth in that story. " said  SL Narayanan, Group CFO, Sun Group
 The airline which posted an annual loss of Rs 191 crore for last fiscal has been looking to raise funds for past several months. The airline was in talks with private equity investors and Gulf airlines for a stake sale but the talks did not lead to a deal.
24/09/13 Aneesh Phadnis/Business Standard

Tiger Airways gears up funds for SpiceJet bid : Srcs

Within days of the Tata Sons-Singapore Airlines joint venture for introducing a full service carrier being announced, Tiger Airways could be seeking alliance with SpiceJet  . The airline is gearing up for funds to invest in SpiceJet, reports CNBC-TV18's Kritika Saxena. After Jet Airways deal with Etihad and Tata's foray into aviation with Air Asia and Singapore Airlines, SpiceJet is next on the radar. The airline has reportedly been in talks with various investors for selling a minority stake in the company.
24/09/13 CNBC-TV18/moneycontrol.com

Crisis-hit KFA in talks with foreign investor

Bangalore: Criris-hit Kingfisher Airlines is in talks with a foreign investor for potential stake sale, its Chairman Vijay Mallya said today.
He, however, refused to divulge the investor's name.
"I expect this to take some form or shape in about 90 days. That is in my own estimate. It could be longer or it could be even earlier," Mallya told reporters after the annual shareholders meeting of the company.
Kingfisher Airlines has remained grounded for almost a year now under the burden of huge debts totalling over Rs 7,000 crore and accumulated losses of more than Rs 16,000 crore.
Asked about the investor's profile, Mallya said he is unable to reveal anything at this moment as it is something that would breach the confidentiality of agreement. "The investor is very sensitive to identity being revealed. Let us really give it a good try to get KFA started," he added.
24/09/13 PTI/Business Standard

Tata-Singapore Airlines joint venture to always remain under Indian control

New Delhi: The Tata group and Singapore Airlines have assured the government that control of their proposed airline venture would always remain in Indian hands, while seeking approval to offer passenger services on both domestic and international routes.
The new venture, proposed to be called Tata SIA Airlines Ltd, would have Tata Sons as the majority partner with 51 per cent stake, while Singapore Airlines would hold 49 per cent stake with $49 million of foreign direct investment (FDI).
The two partners have sought approval from the Foreign Investment Promotion Board (FIPB) for the FDI. The proposed venture would also require approvals from other agencies like the DGFT, DGCA and CBEC, besides other ministries and state government departments.
24/09/13 PTI/NDTV.com

'AirAsia stake not a hurdle for Tata Sons JV with Singapore Airlines'

New Delhi: Tata Sons' investment in AirAsia India is unlikely to cause a problem for the group's latest joint venture with Singapore Airlines in obtaining a flying licence, sources in Directorate General of Civil Aviation (DGCA) indicated on Monday.
“As long as the two airlines don't have the same board members and management team and the synergies in operations and maintenance are carried out under a proper commercial contracts, there should be no problem,” said a senior DGCA official. “It's not the first time that the same promoter will hold two airline licences. Naresh Goyal's Jet Airways hold's one licence under airline code 9W while its wholly owned subsidiary Jet Lite holds the licence under code S2.”
“The question of monopolising competition also doesn't come into play as these will be two new airlines,” the official added. “If the documents are in order, I do not see Tata-Singapore Airlines facing any major hurdles in obtaining a flying licence.”
24/09/13 Debabrata Das/Financial Express

Naresh Goyal to buy 1.11% stake in Jet Airways from Tail Winds

Mumbai: Jet Airways Chairman Naresh Goyal will purchase over one per cent stake in the airline from another promoter entity, Tail Winds, for up to Rs 45 crore.
In a regulatory filing, Goyal said that he would acquire 9,60,369 equity shares, accounting for a 1.11 per cent stake, in Jet Airways from Tail Winds on September 30.
Goyal currently holds 5,69,73,296 shares or 65.99 per cent stake in Jet, which would rise to 67.1 per cent after the proposed share purchase. On the other hand, Tail Winds holds 77,76,212 equity shares or 9.01 per cent stake in Jet, which would decline to 7.89 per cent stake or 6,815,843 shares after the proposed transactions.
24/09/13 PTI/Economic Times 

Missing flier: Cops unearth Sri Lankan link

Mumbai: More than a month after a Londonbound flyer mysteriously disappeared from the Mumbai International Airport minutes before boarding the flight, police say the passenger could have been a Sri Lankan national residing in the UK on asylum.
The security agencies, including the Customs and the Immigration, panicked when it emerged that the flyer, Christephen Vinod Raj, who was booked on a British Airways flight BA 198 on August 2, walked out of the airport while the airline officials checked his passport (UK bound flyer 'escapes' from airport (Mumbai Mirror, September 7).
The Immigration sources said that Raj was carrying a passport issued by a European nation, and the airline sources wanted to check its authenticity.
Compounding the mystery, a person named Christephen Vinod Raj flew to Kathmandu on Jet Airways flight 9W 266, the same day, using an Indian passport.
24/09/13 Bipin Kumar Singh/Mumbai Mirror 

India's domestic air traffic set to grow at 10%: Airbus

London: India's domestic air traffic is set to grow at the "fastest rate" of 10 per cent against the global average of about five per cent in the next two decades, triggering a demand for over 29,000 additional planes across the world, aircraft manufacturer Airbus said today.
Air travel till 2032 will be fuelled by traffic to and from emerging markets like India, Brazil and China, and world air traffic will grow at 4.7 per cent annually, requiring 29,220 new passenger and freighter aircraft valued at nearly USD 4.4 trillion.
In its latest Global Market Forecast for the next 20 years (2013-2032), Airbus said: "Domestic flows are set to rise strongly, with domestic India growing at the fastest rate (nearly 10 per cent), followed by China and Brazil (seven per cent)."
24/09/13 PTI/Economic Times 

Etihad, Cameroon Air Keen to Buy Air India Jets

New Delhi: Etihad Airways and Cameroon Airlines Corp. are among companies that have expressed an interest in buying five Boeing 777-200 long-range passenger jets from Air India Ltd., a person familiar with the matter said Tuesday.
Flag carrier Air India put the five planes up for sale after higher jet fuel prices and a dearth of demand from Indian travelers forced it to ditch plans to operate nonstop long-distance flights to North America. It tried to lease the planes in 2011 but found few takers.
Airlines, cargo operators and other interested parties have until Thursday to make an offer. The deadline has been advanced from the end of December because of the interest from Etihad and Cameroon Airlines, as well as from an unnamed leasing company, the person told The Wall Street Journal.
He said teams from Etihad and Cameroon Airlines have already inspected the planes.
24/09/13 Santanu Choudhury/Wall Street Journal

Etihad Airways recruits 200 cabin crew from India

Etihad Airways has hired 200 cabin crew from India as it plans major  route expansion in partnership with Jet Airways. The Abu Dhabi based airline held a recruitment campaign which attracted more than 1,000 applications.
 The drive was held  in Bangalore, Mumbai and New Delhi. Richard Hill, Etihad Airways’ Chief Operations Officer, said in a statement: “India will play an increasingly central part in the expansion of Etihad Airways and we are delighted that so many men and women are keen to join our ranks as members of cabin crew. Etihad has a total cabin crew strength of over 4,000 persons.
 Last week Etihad announced it would double its flights to Mumbai and Delhi by the end of December. This followed the Union Cabinet approving enhanced traffic rights between India and Abu Dhabi.
24/09/13 Aneesh Phadnis/Business Standard

CPI(M) targets Chandy over Kochi airport gold haul

Thiruvananthapuram: The CPI(M) Tuesday demanded a probe into the Kochi airport gold haul after a former staffer of Chief Minister Oommen Chandy figured on the Facebook contacts list of a smuggling gang kingpin."A NIA probe is the need of the hour to reveal if there's more in the relationship that has now surfaced between one of his (Chandy's) former staff and the arrested," demanded former home and tourism minister Kodiyeri Balakrishnan of the CPI(M)."It now appears that Chandy's office has become a place where the unscrupulous make merry as reports have surfaced of the relations that the now arrested person in the gold haul case had," CPI(M) state secretary Pinarayi Vijayan told reporters here.
Last week, the customs at Kochi airport nabbed two women who had arrived from Dubai and were possessing 20 kg of gold valued at Rs.6 crore.
24/09/13 IANS/Business Standard

Monday, September 23, 2013

Air India cabin crew file complaint to Oz aviation body to scrap long-haul flight

Mumbai: Air India's air hostesses and stewards operating the Dreamliner flights between India and Australia have written to the Australian civil aviation safety authority (CASA) in a bid to scrap the flight, as they do not get sufficient rest.
In their letter, the crew members have also stated that they will not be held responsible for flight safety violations or mishaps in Australia.
A fortnight back, the crew members wrote to the Directorate General of Civil Aviation (DGCA), demanding that they be allowed to rest in a scientific manner. The DGCA has yet to respond.
"A trip to Australia is tiring and saps us of energy. Since the DGCA officials have ignored our complaints, we decided to take up the matter directly with CASA. We have intimated the DGCA of our decision," said a crew member.
In a strongly-worded letter to the DGCA chief Arun Mishra of its decision to directly communicate with CASA, Air India's all-India cabin crew association said, "Are you acting as Air India's puppet to perpetuate these violations? We have no choice, but to take up the issue with the CASA."
23/09/13  Aditya Anand/Mumbai Mirror 

Tatas to nominate 4 of the 6 directors

New Delhi:The board of the proposed Tata SIA Airlines Ltd would eventually have six directors, Tata Sons and Singapore Airlines have said in an application to the Foreign Investment Promotion Board.
While four of the directors would be nominated by Tata Sons, the other two would be representatives of Singapore Airlines. The chairman of the board will always be a Tata nominee, the partners have said in their application. The chairman and at least two-thirds of the directors of the Tata-SIA board will be Indians, to conform with foreign direct investment guidelines.
According to the memorandum of understanding between Tata Sons and Singapore Airlines, the board of the proposed joint venture company is initially to comprise three directors. While Tata Sons will nominate Prasad Menon and Mukund Rajan, the third, Mak Swee Wah, is the initial director nominated by SIA. The board will be chaired by Menon. Subsequently, the board would be expanded to six.
Tata Sons and SIA are looking to leverage synergies. SIA would provide access to the new airline to its global network. SIA would additionally share personnel for developing the expertise in the JV company and aid in cost savings in procurement of aircraft, engineering services, spares and infrastructure from its own vendors.
23/09/13 Sharmistha Mukherjee & Surjeet Das Gupta/Business Standard

Tata Sons-Singapore Airlines to have a 6-member board, Tatas to be represented by Prasad Menon, Mukund Rajan

New Delhi: The proposed Tata Sons-Singapore Airlines venture will eventually have a six-member board consisting of four nominees of the Indian partner and two representatives of the foreign partner, according to a proposal submitted to the Foreign Investment Promotion Board on September 20.
The joint venture company will be called Tata SIA Airlines. Singapore Airlines has sought government permission to induct $49 million to hold a 49% stake in the venture. "Upon receipt of all necessary approvals from the FIPB under this proposal, the JV company shall be capitalised to the extent of 50 crore," said the application. The Tatas will hold a 51% stake.
The proposed airlines would fly within India as well as on international routes, the two partners have said in their proposal.
To begin with, the joint venture company will have a three-member board. While Mak Swee Hah will be Singapore Airlines' sole nominee, Tata Sons will be represented by Prasad Menon and Mukund Rajan. Menon will be the chairman of the company.
23/09/13 Rasul Bailay/Economic Times

Government to fast-track Tata-SIA airline

New Delhi: Desperate to shrug off charges of inertia, UPA II will fast-track the Tata-Singapore Airlines' proposal to set up a full-service carrier. While top government sources say clearances will be given without any unnecessary delays, the attempt will be to make the proposed airline take off within the remaining tenure of this regime.
The Tata-AirAsia proposal was cleared in about eight months and the Directorate General of Civil Aviation (DGCA) is expected to issue the licence by October-end and it can start flying by December. "If all documents are in place, Tata-SIA proposal will also be given the go-ahead by our government," said a source, admitting an "unnecessary and avoidable" delay in the other aviation FDI of Jet-Etihad.
Sources close to aviation minister Ajit Singh say he is keen to have strong players in India's otherwise cash-strapped airline industry. Also, Tata-SIA and Air India will launch direct flights from India to far-off places and help the airports in metros develop into hubs.
The government is upbeat on Tata-SIA and Tata-AirAsia taking wing as these ventures have very strong international airlines as key partners. While budget airline AirAsia India's 21% stakeholder, Arun Bhatia of Telestra Tradeplace, is reportedly upset due to the Tatas tying up with Singapore Airlines to form a full-service airline, the aviation ministry is not perturbed by the Tatas' holding in both the airlines.
23/09/13 Saurabh Sinha/Times of India

Tata-SIA tie-up: Servicing an under-penetrated market

New Delhi: The planned entry of Singapore Airlines into the Indian market through a tie-up with Tata Sons could provide the airline a foot-hold in one of the most under-penetrated markets globally.
One needs to step back a little to understand Singapore Airline’s need to find a partner in India. In April, India and Singapore concluded a successful air services bilateral exchange which increased the number of seats that designated airlines could operate between the two countries by 2,160 a week.
The exchange with Singapore was a drop in the ocean as compared with what was exchanged with Abu Dhabi – 50,000 seats in a phased manner over the next three years from the current level of 13,600.
All these developments came in the back drop of a July 2012 request by visiting Singapore Prime Minister Lee Hsien Loong to India when he asked India to further liberalise its air services agreement with Singapore.
Possibly a combination of these factors provided just that little push to Singapore Airlines to go ahead with the marriage with Tata Sons after three unsuccessful attempts over the last two decades.
23/09/13 Ashwini Phadnis/Business Line

Tata-SIA partnership can be a game changer in overcrowded aviation sector

Six decades after the Indian government divested the Tatas of their majority holding in Air India by nationalising the airline, the announcement by Tata Sons earlier this week for establishing a full-service carrier, in partnership with Singapore Airlines, with a combined investment of $100 million, has not only surprised the aviation industry but evoked tremendous interest.
The warm response to the announcement, which has the potential to be a major game changer, was only to be expected considering that it was the Tata Airlines that had heralded the birth of civil aviation in India in 1932. That previous attempts to enter the airline business had been effectively foiled by certain vested interests, prompting Ratan Tata to emphatically state that the Tata group was no longer interested in forming an airline, also add to the surprise element. Emotional factors apart, the announcement is bound to raise numerous questions in the coming weeks, particularly with regard to its positive and negative impacts on the Indian civil aviation industry.
While it is a foregone conclusion that the airline to be created by the two monolith business organisations -- one running a hugely successful international airline and the other having business interests across the industry spectrum -- will be a formidable one, a question that strikes one is whether the timing for entering the aviation sector is opportune.
22/09/13 Jitender Bhargava/Economic Times

SIA puts a premium on India

Mumbai: Singapore Airlines' (SIA) partnership with the Tata Group to start a new domestic airline in India declares its designs on Asia-Pacific in a way that its previous alliances and investments have not.
Dependent on international passenger traffic, SIA is trying to reduce its exposure to markets in the US and Europe. Premium travel saw a decline on the back of a weakened Europe. The stronger market of the US is also being served by competition such as Hong Kong's Cathay Pacific with a strategic geographical advantage. Asia-Pacific then, holds the most promise for SIA.
With its $ 49 million investment (49 per cent of the JV) in the full-service airline, SIA will attempt to tap the premium market in the country, dominated by Jet Airways after the collapse of Kingfisher Airlines, and create a hub in New Delhi, to link the Americas with Australia, one of its stronger markets. It would have to do this amidst increasing competition from Gulf carriers and low cost carriers (LCCs). SIA chairman Stephen Lee had hinted at its intention in July when he had said the airline was looking for investment opportunities in India, and that along with China, it was a key market.
23/09/13 Aneesh Phadnis/Business Standard

Tata JV revives interest in Indian skies

Mumbai: As the aviation industry awaits clarity on the proposed joint venture between Tata Sons and Singapore Airlines for a full-service carrier, and its eventual fallout on the three-way tie-up that the Tatas had earlier forged to operate low-cost airline AirAsia in the country, analysts believe that the twin proposals of the Tatas signal revival of confidence among international carriers looking to invest in India.
According to an industry consultant, who did not want to be named, two more foreign carriers, Emirates and Qatar Airways, were evaluating the market’s potential. “We are under an understanding that both Emirates and Qatar are estimating their entry in India,” he said. Jet Airways is already in a deal to sell 24 per cent stake to Etihad by the end of this month.
So far, few except Tata’s low-cost airline partner Arun Bhatia of Telestra Tradeplace, find problems with India’s biggest corporate group running two independent airline JVs for full-service and no-frills operations, respectively. However, nobody is quite sure how soon the SIA venture would take off.
22/09/13 Soumonty Kanungo/mydigitalfc.com

MHA opens window for foreign business jets

New Delhi:The ministry of home affairs (MHA) has started issuing temporary landing permits (TLPs) to air crew of foreign-registered business jets.
“The ministry of civil aviation and the directorate general of civil aviation (DGCA) had written to them (to restart doing so), as it was severely affecting the movement of foreign-registered business jets into the country,” said Rajesh Bali, secretary, Business Aircraft Operators’ Association (BAOA).
In May, the MHA had stopped issuing TLPs to air crew of non-scheduled operators (NSOPs) flying into the country, citing security concerns. NSOPs could only fly in with crew visas, which took up to five weeks to process, depending on the country of application. According to industry sources, nearly 60 per cent of the 24,000 general aviation aircraft movements registered every month had been affected due to the sudden change in regulatory norms. Most of these flights were coming from America, Canada and countries in Europe.
MHA, through the bureau of immigration, now issues TLPs for up to 72 hours for air crew of foreign-registered non-scheduled operators (NSOPs) to fly into the country. According to the norms notified this month, TLPs for up to seven days are being issued free of cost. Beyond the initial week, applicants would have to shell out $ 40 for extended stay.
24/09/13 Sharmistha Mukherjee/Business Standard

Airfares set to soar again on festive demand

Mumbai: After hiking fares by up to 30% in September, airlines may go for another round of increase next month during the festival season.
According to travel agents and officials of online travel portals, the move may be prompted to capture higher demand during the peak season and offset increase in operational costs.
“There are indications of fare hike in October, though the quantum is now known,” said a travel agent.
Airlines generally take a hike in fares during the peak festive season (October -December).
However, they were forced to raise prices in the start of September, in the range of 15-30%, owing to higher imports and continuous depreciation of rupee.
23/09/13 Yuga Chandran/Daily News & Analysis

MHA opens window for foreign business jets

New Delhi: The ministry of home affairs (MHA) has started issuing temporary landing permits (TLPs) to air crew of foreign-registered business jets.
“The ministry of civil aviation and the directorate general of civil aviation (DGCA) had written to them (to restart doing so), as it was severely affecting the movement of foreign-registered business jets into the country,” said Rajesh Bali, secretary, Business Aircraft Operators’ Association (BAOA).
In May, the MHA had stopped issuing TLPs to air crew of non-scheduled operators (NSOPs) flying into the country, citing security concerns. NSOPs could only fly in with crew visas, which took up to five weeks to process, depending on the country of application. According to industry sources, nearly 60 per cent of the 24,000 general aviation aircraft movements registered every month had been affected due to the sudden change in regulatory norms. Most of these flights were coming from America, Canada and countries in Europe.
MHA, through the bureau of immigration, now issues TLPs for up to 72 hours for air crew of foreign-registered non-scheduled operators (NSOPs) to fly into the country.
24/09/13 Sharmistha Mukherjee/Business Standard

AgustaWestland firm on expanding footprint in India

Kochi: Unfazed by the probe by the Indian and Italian governments into charges of corruption in the Rs. 3,727-crore contract for 12 AW-101 VVIP helicopters for the Indian Air Force, helicopter major AgustaWestland is keen to expand its footprint in the Indian military and civil aviation markets.
“Notwithstanding the current difficulties, we need to expand our presence in India,” said Jackie Callcut, Chief Executive Officer, AgustaWestland India.
Talking to The Hindu on the sidelines of India’s maiden Naval and Maritime Expo (NAMEXPO-2013) that got under way here on Monday, Ms. Callcut, who insisted the company was in India for a ‘long haul’, said AgustaWestland wished to make a mark in the civil aviation sector through its joint venture with Tata Sons to produce AW119 helicopters in India. “We are bringing more technologies into Indian civil aerospace market,” she said, adding India’s ‘troubled transport sector’ could benefit if the moneyed class made a shift to travel by helicopter.
23/09/13 The Hindu

Government rejects Ramdev's allegations on detention at UK airport

New Delhi: Government on Monday rejected yoga guru Ramdev's allegation that it had a role in his detention at UK airport saying "there was no truth whatsoever".
Commenting on Ramdev's detention at the Heathrow airport, the spokesperson in the Ministry of External Affairs said India's Mission in London acted upon request by Indian community leaders for assistance and took up the matter with UK border agency following which it was resolved.
It was for the UK border agency to respond to the reason behind Ramdev's detention, the spokesperson added.
22/09/13 PTI/ZeeNews

Sunday, September 22, 2013

Baba Ramdev mistaken as 'most wanted jihadist' at Hethrow airport

New Delhi: British Custom officials mistook Baba Ramdev for most wanted terrorists Mohammed Atef and Ayman Al Zawahiri, say our sources. Ramdev was detained and questioned at Heathrow airport for over six hours on Friday by British customs officials.
His resemblance to the most wanted jihadist confused the officials at the airport who compared his photographs with that of Al Zawahiri and Mohammed Atef. According to our sources, British officials even searched Baba Ramdev on google and found him to a known personality in India.
They are learnt to have also double checked Ramdev's profile with their counterparts in UK Embassy in India.
British officials even informed Baba Ramdev that both the terrorists are on terror alert.
Ayman al-Zawahiri is an Egyptian physician, Islamic theologian, and current leader of the militant Islamist organization al-Qaeda.
21/09/13 Dailybhaskar.com

Ramdev blames Sonia Gandhi for his detention at Heathrow Airport

New Delhi: Yoga guru Ramdev on Sunday targeted Congress President Sonia Gandhi by holding her responsible for his detention at the Heathrow Airport. He was allowed to go ahead with his programme in London after he was detained and questioned on Saturday. He said, "A foreign origin woman sitting in India was behind my detention at the Heathrow Airport." He was detained and quizzed by customs officials for over six hours on landing in Britain. According to sources, his questioning by airport officials was related to him travelling on a visitor's visa instead of a business one. Ramdev arrived at Heathrow Airport this evening with British Indian MP Keith Vaz to meet the chief immigration officer.
The immigration officer later gave Ramdev leave to enter the UK lawfully and carry on with his programmes. Emerging from the nearly 20-minute meeting, Ramdev claimed the Indian government may have had a hand in his detention.
22/09/13 CNN-IBN/IBN Live

The inside story of how Baba Ramdev was given a clean chit at Heathrow Airport

Even as Baba Ramdev was being questioned by the customs officials at the Heathrow Airport after they had detained him, a curious drama was being played out behind the scenes.
Sources reveal that at the time of Baba Ramdev's detention, senior BJP leader Venkaiah Naidu was in London and that it was he who got in touch with Indian Deputy High Commissioner Dr Virander Kumar Paul there and asked him to intervene in the matter.
By that time, other prominent leaders had also got in touch with the Indian Mission regarding the same issue.
In turn, the Indian Mission in UK took up the matter with the UK Border Agency and a Mission official was sent to the airport to sort out the matter with the UK Border Agency staff. The UK officials were told that Baba Ramdev is an important person in India and that his detention at the airport was causing concern back home. An official from the Mission was also present at the airport when Baba Ramdev returned to the airport.
Sources in the Ministry of External Affairs reveal that members of the Indian community acknowledged the presence of the Mission's official and also thanked the Mission officials for their cooperation.
21/09/13 Ritul Joshi/India Today

The three aces that could make the indian aviation deck heavy

Three established international carriers have announced their interest to enter the domestic Indian civil aviation space since the government decided, in September 2012, to further open up the skies. Fresh competition and a gradual shift towards rationalization of aviation turbine fuel by different state governments will mean more competition, more seats, and hence cheaper air tickets for Indian flyers in the near future.
The proposed move reaffirms the potential offered by the civil aviation market. These three deals, which  are in different stages of approval, could be the game-changer in a market which is staring at cumulative losses of $450 million in the July-September quarter.
Currently, Indian skies are not lucrative for aviation business because of the high cost of jet fuel, bureaucratic and political hindrances and a huge component of tax. Consider this. Indian carriers pay nearly `75,000 per kilolitre for ATF wherease it is sold at `45,000 a kilolitre in Singapore.
Still, the sheer numbers of Indians looking to fly make the sector lucrative for players who have the risk appetite. From a paltry 50.98 million in 2005-06, India’s passenger count is expected to go up to 321.28 million in 2016-17 (end of the 12th Plan).
22/09/13 Sharan Poovanna/New Indian Express

Saturday, September 21, 2013

Government may review 5/20 rule to let more Indian carriers fly abroad

New Delhi: India's cashstrapped aviation sector is celebrating an early Diwali this year with the arrival of deep pocket players like Singapore Airlines, Etihad and AirAsia on the scene. This sudden euphoria may see the government reviewing the current rule that an Indian airline must complete five years and have a fleet of at least 20 aircraft to start international flights.
"So far, low-cost carrier GoAir has applied for relaxation of the norm as it is over five years old but does not have 20 aircraft in its fleet. While we were favorably inclined to lower the 20-aircraft rule and retain the five-year bit, no final view has been taken so far. If the upcoming airlines also seek a review of the policy, we may have a comprehensive relook ," said sources.
21/09/13 Saurabh Sinha/Economic Times

Air India and Slovenia's Adria still hope for flights between India and Ljubljana

Air India is currently in talks with Slovenia's Adria Airways to enhance bilateral cooperation with the Slovenian carrier, which is waiting to be privatised. Talks between the two airlines come more than a year after it was announced the two would cooperate in order for Air India to reroute some of its flights to the United States via Ljubljana. Air India Chairman and Managing Director, Rohit Nandan, has been in Ljubljana holding talks with Adria’s management last week. "Air India continues to engage with major airlines in order to enhance bilateral cooperation and also continues to maintain dialogue with Star Alliance in an effort to expand its global reach and connectivity", Mr. Nandan said in a statement.
In 2011, Air India and Adria Airways signed a Memorandum of Understanding which was to see Air India codeshare on Adria’s regional flights, while in return the Indian national carrier would operate some of its services to the United States via the Slovenian capital.
21/09/13 Balkans.com

A MiG over the deck: Vikramaditya aviation tests passed

The INS Vikramaditya, the Indian Navy’s state-of-the art aircraft carrier has passed all tests and is returning from the testing area in the Barents Sea to Sevmash for an official handover ceremony.
All participants in the trials– the Indian and Russian crews, the delivery team, government commission members and observers – are expected soon at Severodvinsk, where the practically combat-ready ship is due to return after two-and-a-half months of sailing and passing tests on the Barents and the White seas.
“The trials programme has been completed, and we expect the aircraft carrier to dock at Sevmash on Friday, September 20,” the shipyard said in a press note, confirming unofficial press reports. “The weather has been less then cooperative, though”
21/09/13 Aleksandr Yemelyanenkov/Russia & India Report

Yoga guru Swami Ramdevji allowed to stay in UK

A spiritual leader who was detained at Heathrow airport for eight hours after arriving from India has been allowed to stay in the country.
Swami Ramdevji, 47, also known as Baba Ramdev, was stopped by officials at Heathrow Airport on Friday.
He arrived ahead of a 1,500-strong yoga class he was due to lead in Glasgow on Monday.
Ramdevji was given a 24-hour visa and instructed to return to Terminal Five on Saturday afternoon.
His supporters feared he would be told to leave but immigration officials ruled he could stay.
He arrived at the airport on Saturday with Leicester East MP Keith Vaz, and was mobbed by more than 150 supporters.
In the melee Ramdevji, who was dressed in sandals and an orange robe, nearly lost his clothing.
21/09/13 BBC

Detention at Heathrow Airport: Ramdev says never done anything wrong or illegal in my life

London: A day after he was detained and questioned here at Heathrow Airport by custom officials for several hours, Yoga Guru Baba Ramdev today said he was not given any explanation for the action by the authorities and claimed he was not involved in anything illegal.
"I have never done anything wrong or illegal in my life. I was detained for eight hours at the airport, but was not given any explanation. I asked them repeatedly to give me a reason for detention; but they told that they cannot disclose it to me," Ramdev said.
Ramdev's detention has drawn criticism from the BJP which urged the Centre to intervene. BJP President Rajnath Singh termed the detention of the yoga guru as "serious" issue and asked the Centre to take cognisance of the matter.
There was lack of clarity over the reason for his detention at the airport.
21/09/13 PTI/Financial Express

Gold smuggling up by 5-fold at IGI airport

New Delhi: Gold smuggling operations at IGI airport are getting bigger and smarter. The quantity of the metal being recovered from suspects leaving the Terminal-3 has gone up by 550% over the last one fiscal.
Officials say it is not only the undercover gold trade that is picking up, but the operators are also becoming better at hiding their trails, forcing law enforcers to exercise greater alertness and intelligence in order to catch them.
"What we have been seeing for the past few months is a dramatic changing of the profiles of the couriers. A few months ago, smugglers of a particular ethnicity carried gold. Then it was a middle class man from another region. The handlers changed the profile of the courier to women and the latest case was of a lower middle class person from UP," said an official on condition of anonymity.
The official said no one can predict what tactic the smugglers will now employ. "It's not one-way vigilance. Smugglers also profile us. They watch us examining people of a certain background and quickly change their modus operandi," another official said.
21/09/13 Saurabh Sinha/Times of India

Iranian woman dies at airport

A 63-year-old Iranian woman came all the way to Bangalore to undergo surgery for a vascular condition. The treatment was successful. But even she was all set to fly back home, she collapsed at the immigration counter of the Bangalore International Airport, and died.
Najma Ismael Abdul Rahmancame to India on September 7. Like for many others, India for her meant quality medical treatment at affordable cost, compared to her home country. She was accompanied by her daughter Niyaz Saeeb Azeez. Najma was admitted to Manipal Hospital on HAL Airport Road, where she successfully underwent surgery for an air embolism in her spine, a condition caused by a gas bubble, or bubbles, in the vascular system. After surgery, she showed normal recovery.
21/09/13 Manjunath Chandra/Bangalore Mirror

Friday, September 20, 2013

Tata-Singapore Airlnes pact was months in the making

New Delhi/Mumbai: Key executives familiar with the talks between the Tatas and Singapore Airlnes told ET that the plan for the new airline was first mooted soon after the government cleared 49% FDI in civil aviation in September 2012.
Talks started when Ratan Tata was at the helm and continued through the transition period when Cyrus Mistry took over. Tata gave way to Mistry in December 2012.
The Tata-SIA talks went full steam ahead within days of the FIPB clearing, on March 6, the AirAsia venture. Tata Sons has a 30% stake in AirAsia India. The Tatas had taken Malaysia's AirAsia BhD, the larger partner in the AirAsia India venture, fully into confidence about the Tata-SIA deal.
"Both sides have been comfortable with each other. Government policies delayed the partnership. Once policies became favourable, we started discussions again and closed the deal," said a person involved in the negotiations. A team headed by Tata group's brand custodian Mukund Rajan and the chairman-designate of the new venture Prasad Menon started the negotiations with SIA. "There were a series of meetings in Mumbai and Singapore. Finally, we agreed on a transaction a few days ago," said the person.
20/09/13 Binoy Prabhakar, Arijit Barman & Sabarinath M/Economic Times

Tatas apply for 'Tata SIA Airlines Limited' name

New Delhi: Starting the process of incorporating a new company for its proposed aviation venture with Singapore Airlines, Tata group has sought to register this entity as 'Tata SIA Airlines Limited'.
The application for registration of this name has been filed with the Registrar of Companies through submission of form '1A', which is the first step towards incorporation of a new company.
The registration is currently "under process" and can be approved soon, as per the latest information available with the Corporate Affairs Ministry. This would be followed by submission of various other documents, including the Article of Association, and details of the company's board of directors, share capital, business areas etc.
Going by the proposed name, the new company is expected to be a 'public limited company', which needs to have a suffix 'limited' to its name. The private limited companies need to suffix their names with 'private limited.
20/09/13 Economic Times

Analysts welcome Tata-SIA tie-up

Mumbai: The proposed full-service carrier of Tata Sons and Singapore Airlines (SIA) will increase competition in the West-bound routes from India, according to aviation analysts. Nearly 70 per cent of global traffic from India is West-bound – to Middle East, EU and Americas.
“With this venture, Singapore Airlines will get a play in the growing international travel from India. SIA can also operate direct flights to Far East and Australia from India or route them through Singapore,” Amber Dubey, Partner and Head – Aerospace and Defense, KPMG.
Aviation analysts have welcomed this move and said that the deal affirms India’s reputation as a lucrative aviation market in the long run, despite the short- term problems like excessive taxation.
This new joint venture comes on the heels of the Tata group’s partnership with Malaysian low-cost carrier AirAsia to launch a budget airline by the year-end. However, they are yet to get an NOC. “The biggest challenge before the Tatas will be in the boardroom with the two deals. There is likely to be a conflict of interest. But it is still not clear how the AirAsia-Tata joint venture will unfold,” Dubey added. The new tie-up has triggered speculation about a possible exit of Tata Sons from the deal with Air Asia. But Tata Sons maintains that both tie-ups are very much on.
19/09/13 Business Line

Tata-SIA joint venture bodes well for Indian passengers, say experts

New Delhi: The aviation sector in the country has turned out to be the biggest beneficiary of the relaxation in foreign direct investment (FDI) norms with three big international carriers announcing entry into the Indian market within a year of the norms being changed.
Of the three airlines, AirAsia and Singapore International Airlines (SIA) have tied up with the Tata Group for an entry, while the third, Abu Dhabi-based Etihad Airways has entered into a deal to purchase 24 per cent stake in Jet Airways.
The Tata-SIA joint venture will have an initial equity capital of $100 million and will be based out of New Delhi. Tatas will own 51 per cent while SIA the rest.
While the viability of a new airline in the already competitive Indian aviation market remains to be seen, analysts predict intense competition in the international sector.
20/09/13 Indian Express

Interest conflict likely in Tata airline deals: Ajay Prasad

Cyrus Mistry has given wings to Ratan Tata's long standing dream. The Tata Group will launch an airline in partnership with Singapore Airlines. The deal is staring at a lot of ‘regulatory unknowns'. Ajay Prasad, former civil aviation secretary says there may be a case of a conflict of interest as both airlines will operate in the Indian market. However, he also feels that Subramanian Swamy’s claims on violation of FDI rules in greenfield investment may not apply here.
Below is the edited transcript of his interview to CNBC-TV18.
Q: Do you see any regulatory challenges for the Tata-Singapore Airlines joint venture given the fact that the Tatas also hold a 30 percent stake in Air Asia India? Could that get in the way of an FIPB nod?
A: As far as the Civil Aviation policy is concerned on foreign direct investment, it permits any airline to come in with 49 percent equity as long as the Indian entities have a majority share. So, that conforms to this. There is suppose there is a likelihood of a conflict of interest because both airlines will be operating in the Indian market one as a low cost carrier and the other probably as a full service carrier. When they go the FIPB, some of these questions will have to clarified on how they intend to work out these arrangements. I am sure that they must have had some preliminary dialogue with Air Asia and with Singapore Airlines. They must be aware of this position and must have worked out some kind of a working arrangement the details of which we do not know as yet.
20/09/13 CNBC-TV18/moneycontrol.com

Tata versus Tata: Gear up for the dogfight

Mumbai: You have to give it to the Tatas. When everyone has written off the airline sector, the group lined up not one but two alliances in the country. Some might call it infatuation towards a sector that was taken away from them after they nurtured it (Air India was Tata Airlines before it was nationalized) while others might call it a shrewd business decision to invest in a sector which has mostly weak players left.
Whatever may be the reasoning for investment, what has taken everyone by surprise is the group tying up with two companies with completely different business models. While Air Asia, in which the Tata group will not be playing a key operational role, is a low cost airline, Singapore Airlines is a full-service airline.
An aggressive Tony Fernandes would not have let anyone else manage his show in the low cost airline as it requires micromanagement and a tight control of cost. This explains why the Tatas have only 30% in the company.
 However, the Tatas would be in the cockpit in its venture with the Singapore Airlines. Singapore Airlines had made it public that they will be focusing more in the Asia Pacific market rather than their earlier focus in America and Europe.
20/09/13 Shishir Asthana/Business Standard

Tata-Singapore Airlines & Jet-Etihad deal shows foreign companies are betting on long term potential

Singapore Airlines' decision to launch a full service carrier in India with the Tatas as its majority partner, following UAE national carrier Etihad Airways recent acquisition of 24% stake in Naresh Goyal's Jet Airways, signals the willingness of foreign carriers to do business in India, especially with a long-term perspective.
The Tata Sons-Singapore Airlines venture, where the Tatas will hold 51% stake and Singapore Airlines the remaining 49%, is an extension of the vision of the Tata Group, which forged a tripartite partnership with AirAsia and Arun Bhatia's Telestra Tradeplace for low-cost carrier AirAsia's entry into India.
It also shows that the Tatas want to follow the hybrid business model, of being present in both lowcost and full-service models. Analysts believe that this full-service venture will focus more on west-bound travel while the AirAsia JV will stick to ASEAN routes.
20/09/13 Rajesh Naidu/Economic Times

Doubts cloud AirAsia India

Tata said Malaysia’s Air Asia, its partner in the low-cost carrier (LCC) Air Asia India, is fully aware of its deal with Singapore Airlines. “Air Asia has no objection to the deal,” said a Tata Sons spokesperson.
The company said that the two ventures will have separate focus as the partnership with SIA will operate in the full-service segment, and not in the LCC space.
But some industry observers said they are concerned about the future of Air Asia India, considering the regulatory hurdles faced by it so far and the delay in starting operations.
“This announcement could play out negatively on Air Asia’s regulatory approval as Tatas have a 30% stake in the JV,” said Kapil Kaul, CEO, South Asia, the Centre of Asia Pacific of Aviation (CAPA).
20/09/13 Yuga Chaudhari/Daily News & Analysis

Tata-Singapore Airlines JV may leave AirAsia sanction turbulent

New Delhi: Tata-Singapore Airline JV is likely to put AirAsia India’s clearance from civil aviation in turbulence. The matter is already before Delhi Court who has asked government to reply to the charges filed by Subramanian Swamy.
Tata who gave India the first commercial airline service is back with a 51% stake in Singapore Airlines (SIA) to operate services within India. The JV will be based in the capital city.
Eighteen years ago, Tata Sons and Singapore Airlines (SIA) had planned a similar venture but with resistance from domestic carriers to foreign airlines entering Indian routes, the Government did not clear it. Tata has a 30% stake in Malaysia-based AirAsia’s Indian venture. Telstra of Bhatia has 21 %.
In AirAsia India, the Tata has only 30% stake leaving the control to AirAsia. This is a violation of FDI rules which says that only Indian investors should have executive control.
In SIA, the Indian company has a clear majority and before the FIPB, it has said that $100 million would be invested while for AirAsia, it is only $30 million.
Tata-SIA will have Prasad Menon of Tata Industries as Chairman and Mukund Rajan of Tata Sons on the board along with SIA VP(commercial) Mak Swee Wah.
20/09/13 Ayyappa Prasad/Truth Dive

Tata-Singapore Airlines' JV may hit turbulence over FDI

New Delhi: The Tata Sons-Singapore Airlines' proposed full service carrier (FSC) is unlikely to face any regulatory challenges but will face the same roadblock that the Tata-AirAsia JV is facing. The ongoing debate that the recent foreign direct investment (FDI) changes allow foreign airlines to invest in existing desi carriers or even go in for start-ups is going to haunt the latest proposal too.
The Delhi High Court on Wednesday admitted a petition filed by NJP leader Subramanian Swamy against the clearance given to Tata's JV low cost airline with AirAsia and asked the Centre to clarify this policy within four weeks. Swamy says the newly-relaxed FDI policy allows investment in existing carriers alone and not start-ups like AirAsia India. The government had recently allowed foreign airlines to hold up to 49% stake in Indian carriers.
"The ruling on this case will decide the fate of the proposed new Tata-Singapore Airlines JV. Otherwise there are no regulatory issues. We have some instances of common promoters having interest in airlines being run under different air operators' permit (AOP or licence)," said an official.For instance, Naresh Goyal has controlling stake in both Jet Airways and JetKonnect, both of which have a separate AOP.
20/09/13 Saurabh Sinha/Times of India

Tata airline to trigger fare cut: Mumbaikars

Mumbai: While there was jubilation among fliers following the news about Tata Sons starting a full-service airline in the country in collaboration with Singapore Airlines, they also feel the launch could mean the end of national carrier Air India.
Ashok Roy, a media consultant from Andheri, said, “It’s great news for air passengers, as the consumer will be the beneficiary in the end due to the availability of more options and bargains.”
Madhuri Vishwakarma, a medical professional from Borivli, adding, “Hopefully, it will help improve the standard of aviation in India and bring about a reduction in air fares.”
20/09/13 Daily News & Analysis

Indian aviation market would turn into battle-field: Experts

New Delhi: The Indian market would turn into a battle-field between Gulf and Southeast Asian airlines targeting the growing air traffic, with Jet and Etihad and start-up airlines like AirAsia India and Tata-Singapore Airlines also wooing Indian travellers, experts said today.
Almost all experts termed the Tata-SIA deal as a welcome development in the lucrative but under-penetrated Indian market and expressed hope that enhanced competition would make air travel more affordable.
"This is a very welcome development considering that the air market in India is under-penetrated and has tremendous potential for growth.
"Additional capacity will help linking more cities as well as adding more seats on existing routes, thus growing the market by making air travel more affordable for the common man," travel portal Yatra.Com President Sharat Dhall said.
20/09/13 PTI/Business Standard

Singapore Airlines may develop Delhi as long haul network hub

Mumbai: Singapore Airlines might develop Delhi as a hub for its long haul network, analysts and experts have said.
On Thursday, the airline announcing a joint venture (JV) with the Tata Group and would hold 49% in the airline.
“Singapore Airlines’ (SIA) latest investment with Tata Sons on an Indian premium carrier appears to be a double-edged sword. On the plus side, Singapore Airlines has the expertise to create premium products and this deal enables it to tap into India's growth in international travel,” said Hong Kong-based aviation analyst Daniel Tsang.
Furthermore, SIA could use New Delhi to launch new flights to North and South America alongside its Indian subsidiary, while picking up domestic feed traffic at the same time, thereby remedying SIA's network deficiencies, Tsang added.
Indian government rules do not allow airlines with less than five years of operations (within India) and 20 planes to fly abroad. There is a move to amend the rule but no decision has been taken yet.
20/09/13 Aneesh Phadnis/Business Standard

SpiceJet starts Pune-Sharjah flight; eyes pact with Air Arabia

Pune: Budget carrier SpiceJet, which Friday announced the launch of Pune-Sharjah flight from Saturday, said it is in talks with Air Arabia for an "interline arrangement". In aviation parlance, an "interline arrangement" is a deal under which the same ticket covers different legs of the journey flown by different airlines. "We are talking to Air Arabia for an interline arrangement (mutual transfer of passengers). The talks, however, are at a very preliminary stage," SpiceJet Commercial Head V Raja told reporters here.
Raja said once SpiceJet and Air Arabia arrive at an understanding, passengers of the two carriers will have a seamless journey to and from India. The Sharjah-based low-cost carrier Air Arabia flies across the Gulf Cooperation Council markets apart from other overseas destinations. Earlier, sources had said media baron Kalanithi Maran-promoted Indian carrier was in talks with Tiger Air of Singapore for a codeshare partnership.
20/09/13 PTI/IBN Live

Delhi airport may grow into a major global hub with Tata-Singapore Airlines

New Delhi: Even though Jet Airways’ is exploring possibilities to develop Abu Dhabi as an exclusive hub to connect destinations in the Americas, Africa and UAE, Delhi International Airport Limited (DIAL) now has a new savior with Tata Sons and Singapore Airlines (Tata-SIA) announcing plans to base its operations out of the airport.
 Tata-SIA will initially kickstart full-service operations on domestic turf, the airline company has evinced interest in commencing international operations out of India, if rules permit. At present, Indian government rules do not allow airlines with less than five years of operations and a fleet of 20 aircraft to fly abroad. There is a move to amend the rule but no decision has been taken yet.
 Amber Dubey, partner and head (aerospace and defense) at global consultancy KPMG said, "Our assessment is SIA is not coming only for the domestic routes. SIA's biggest strength lies on trans-continental long haul flights.  Nearly 70% of India's international traffic goes westward, most of which is cornered by the Middle East carriers. Once SIA comes in, they can compete on those routes on the Indian quota.” DIAL is currently utilising over 56% of its total capacity to handle 62 million passengers per annum.
20/09/13 Sharmistha Mukherjee & Aneesh Phadnis /Business Standard

Plea to shift towers in airport path

Durgapur: The Singapore government today requested the Bengal administration to help remove impediments in shifting electricity towers from near the Andal airport runway.
Lim Liang Song, the CEO of the Singapore government-owned Changi Airports International that is a stakeholder in promoter Bengal Aerotropolis Projects Limited (BAPL), sought the help of chief minister Mamata Banerjee and chief secretary Sanjay Mitra for a speedy resolution of the problem.
Six high-tension towers of the Damodar Valley Corporation (DVC) and the West Bengal State Electricity Transmission Co Ltd are coming in the way of the completion of the airport, which is part of the Rs 10,000-crore Airport City project near Durgapur. At least two towers are on the runway and have to be removed immediately.
Partha Ghosh, the founder-director and CEO of BAPL, said the company had appointed Larsen & Toubro to shift the towers. “L&T has to complete the relocation by December 15. I am hoping the airport will be operational by Poila Boisakh (mid-April),” he said.
19/09/13 Abhijeet Chatterjee and Sambit Saha/Telegraph

AirAsia’s traffic share from India to its south Asia base rises to 54 per cent

Mumbai:  Malaysian budget carrier AirAsia's share of traffic from India to its base has increased to 54 per cent this year from 44 per cent in 2012, a growth attributed by analysts to contraction of the total market as well as its smart network strategy and promotional fares.
AirAsia reached close to the 272,627 passengers it ferried on the India-Malaysia route last year, according to data released by the Sydney-based CAPA-Centre for Aviation.
However, its onward traffic originating from India to Indonesia, Singapore, Vietnam and Thailand has surged more than 10 times to 18,435 passengers this year.
The carrier competes with Thai Airways, Malaysian Airlines, Tiger Airways, Jet Airways and Air India.
20/09/13 Anirban Chowdhury/Economic Times

Wednesday, September 18, 2013

With Singapore Airlines, Tatas set to fill Kingfisher space

Mumbai: The Civil Aviation Ministry, on Thursday, said that it was up to the Securities and Exchange Board of India and the Corporate Affairs Ministry to clear the Tata Group’s new joint venture with Singapore Airlines.
Addressing reporters, Civil Aviation Minister Ajit Singh said: “Aviation rules do not bar Tatas from having two ventures. It is for SEBI and Ministry of Corporate Affairs to clear such ventures (in case of conflict of interest).”
In the mid-90s, the Tatas had partnered with Singapore Airlines to start a domestic airline but the Indian government rejected Tata’s proposal. There was also a move by the Tatas to participate in the proposed disinvestment of Air India and Indian Airlines, but various factors never allowed them to succeed and re-enter civil aviation.
“We would like to ensure that we are able to realise the original vision of launching a full-service, world-class airline that India can be proud of; the Tata group’s own contribution to the aviation industry in this country is also well known, and we hope to carry forward the legacy of having launched in past decades one of the world’s most admired airlines (Air India),” said a Tata Sons spokesperson.
Unlike the Group’s association with AirAsia India, Tata Sons will play an active role in the operations of this new airline, and will fully participate in the management and operations.
19/09/13 The Hindu

"Tata-Singapore Airlines Venture: AirAsia has no objection "

New Delhi: Nearly two decades after their first attempt to operate an airline in India fell by the wayside, Tata Sons and Singapore Airlines announced on Thursday that they have signed a Memorandum of Understanding to set up a full-service airline.
Asked whether the launch of the new airline would not lead to a conflict of interest with Tata Sons’ three-way joint venture with AirAsia and Telstra Tradeplace for a low-cost airline, a Tata Sons spokesman said: “The two airlines do not compete in the same space. AirAsia has been fully aware of this joint venture and has no objection to the partnership.”
Civil Aviation Minister Ajit Singh told newspersons that aviation rules do not bar the Tatas from having two ventures and added that it was a matter for the Securities and Exchange Board of India and the Corporate Affairs Ministry.
The proposed airline could still face some hurdles as the Ministry of Civil Aviation had earlier argued that the change in FDI policy was meant to provide a lifeline to existing airlines and not start new ones.
19/09/13 Business Line

Govt must return Air India to Tatas: Jitendra Bhargava

After AirAsia India, Tata group has now entered into an agreement with Singapore Airlines to start a full-service carrier in India . Speaking to CNBC-TV18, Jitendra Bhargava, former ED, Air India says it’s a welcome development considering Tata Sons are the pioneers who once created Air India. However, he says there are already too many carriers in India struggling to survive and therefore, the government instead of allowing a new carrier should allow Air India to be brough into the new entity. ”It would be in the fitness of things that Tata Sons get back what they created and second Air India will have a future with the new entity in place,” he adds. According to Bhargava, government must now consider the option of giving away Air India to its the new owners under Tata Sons as creation of new airline will only make survival difficult for the existing airlines.
19/09/13 CNBC-TV18/moneycontrol.com

Learnt about Tata-SIA venture in morning, says Ajit Singh

New Delhi: Civil Aviation Minister Ajit Singh Thursday said he came to know about the joint venture between Tata Sons and Singapore Airlines to start a full service carrier in India only in the morning. "I was just informed this morning through a courtesy call" by the Tatas, Ajit Singh told IANS. "They (Tata Sons and SIA) will apply to the FIPB (foreign investment promotion board). Apart from this, I cannot comment any further. The application will have to take its due procedural course."
Interestingly, in February Singh had suggested that Tata Group should start its own airline. He was then commenting on the tie-up between Tata Sons and Malaysian low-cost carrier (LCC) AirAsia and Arun Bhatia's Telstra Tradeplace to start a budget airline in India.
19/09/13 IANS/IBN Live

Tatas in cockpit again, tie up with Singapore Airlines

Mumbai: Tata Sons have tied the knot with Singapore Airlines (SIA) once again to form a full-service domestic airline based in New Delhi. The move comes 18 years after their last joint effort was scuttled by the government of the day.
The Tatas have already entered the low-cost carrier space in February this year after tying up with Tony Fernandes’ Air Asia. However, Tata Sons had made it clear that the airline would be run by Air Asia, which has 49% stake with the Bhatia family controlling 21%.
However, in the new venture (the groups are yet to announce a brand name), the Tatas will be the driving force with a 51% stake, with SIA taking the rest. And the two have made a commitment to the Foreign Investment Promotion Board (FIPB) to invest $100 million to begin with. In contrast, the initial equity investment in the Air Asia joint venture was only one-third at $30 million.
The three-member board of the Tata-SIA venture will consist of two Tata nominees -- Prasad Menon, director in Tata Industries, as chairman and Mukand Rajan, member of the group executive council of Tata Sons. Mak Swee Wah executive vice president, commercial of SIA, will represent the foreign carrier. The airline have made Delhi their operational hub because of the huge capacity constraints in the Mumbai airport and better infrastructure facilities at the Delhi airport.
Analysts are however apprehensive about the impact this new venture will have on the Air Asia JV. Sources in Tata group, however, said such fears were unfounded as the Malaysian company was aware of the negotiations from the beginning and have had no objections for the Tatas to go ahead with such a deal.
19/09/13 Business Standard