Saturday, September 29, 2007

India looking at open skies policy with EU

New Delhi: India and the European Union (EU) are negotiating a horizontal civil aviation agreement to treat the EU as a single entity rather than going for individual bilateral aviation pacts with each EU member.
As of now, India individually negotiates airline entitlements with each of the 27 EU countries while on other issues like market access, the EU speaks in one voice. In the case of the World Trade Organization (WTO) too, the EU acts as a single entity acting on behalf of all members.
Landing rights of airlines from each country are decided on the basis of bilateral aviation pacts. In the case of UK, India has a virtual open skies agreement, but negotiations are held periodically with other EU members to revise airline entitlements.
An open skies agreement with a country provides unlimited access to the designated airlines to any point of call in the territory of the two countries. It removes all restrictions and provides for greater operational flexibility.
In the ongoing discussion with the EU, the horizontal air service agreement would pave the way for simpler negotiations in case New Delhi decides to go in for open skies with European nations. Initially, India is expected to pitch for open skies agreement in cargo with the EU.
In any case, India does not restrict induction of cargo services by foreign freight operators.
29/09/07 Nirbhay Kumar & Amiti Sen/Economic Times
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