Thursday, June 19, 2008

New private airlines likely to get international wings

New Delhi: Domestic airlines may get some help in getting more passengers and business.
Sources in the Civil Aviation Ministry have told CNN-IBN that it is in favour of scrapping a clause which says an airline must have operated in the domestic market before it can go global.
If the proposal is accepted by a Group of Ministers, it will now allow airlines like Kingfisher, Spice Jet, Indigo and Go Air to operate flights abroad. This move will put these airlines, now operating at a loss, on the fast track road to profit as they can fuel at the international rate, which is 35 per cent lower than the domestic rate offered. They can also divert aircraft sitting idle due to saturation in some domestic sectors on the international route. Also there are many international low cost carriers which are coming to india and flying out Indian passengers. This new move will allow Indian carriers to keep the outbound Indian passenger.
Only Air India, Indian and Jet Airways currently meet the minimum eligibility criteria to operate international flights.
18/06/08 CNN-IBN
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