Public, private airlines of Bangladesh lock horns over deal with India

A deep rift has emerged between the country's public and private airlines over the new Indo-Bangla air services deal that allows more flights between the countries, but which Bangladeshi flag carrier Biman fears will undermine its long haul routes.
Hailing the agreement, which was signed in Delhi on February 13, private airlines said the deal offers new business opportunities for Bangladesh's aviation industry.
The pact allows Bangladeshi airlines to operate flights to 18 destinations in India and Indian airline Air India to operate flights from Sylhet for the first time.
Under the deal, the number of weekly flights between Bangladesh and India will be raised to 61 from 30. India also waived a royalty provision. Earlier, Bangladesh Biman had to pay $100 to Air India for carrying a passenger to any third country destination via India.
Biman Bangladesh officials however said the agreement will benefit India, not Bangladesh.
Terming the agreement as unwanted, the officials said India will get more advantages from the agreement as more passengers will be carried through India to Europe and the US.
26/02/08 Rashidul Hasan/The Daily Star, Bangladesh

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Categories: Air India - International Feb 2008, Foreign Feb 2008, NACIL Feb 2008