Wednesday, April 21, 2010

South Asia businesses and tourism hit by air crisis

Business and tourism in South Asia are increasingly being hit by airline inactivity caused by the spread of volcanic ash from Iceland.The export of garments and perishable goods from the region to Europe has been severely affected, as has the tourism industry in South Asia.No country in the region has escaped from the economic impact of the crisis.But officials say the priority is dealing with thousands of people across the region who are unable to fly.
Tourism in India, Nepal, Bhutan, Sri Lanka and the Maldives has also been badly damaged. For Nepal and Bhutan the crisis is even more serious because this time of the year is peak season.
At this time of the year tourism in the cooler north of India is also hugely popular.
According to figures from the Indian Directorate General of Civil Aviation (DGCA), 41,435 passengers have been affected by the flights crisis and it will take several days to clear the backlog.
All flights from India to London and Paris were cancelled on Monday, but Air India and Jet Airways resumed services to the US and Canada through Cairo and Athens respectively.
Many passengers whose visas have expired have been unable to leave the airport premises while several airlines are reported to have stopped paying for food and accommodation - arguing that they are not obliged to do so in the event of a natural calamity.
Meanwhile, exporters in Bangladesh, India, Pakistan and Sri Lanka have borne the brunt of exporting losses.
20/04/10 BBC.co.uk
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