New international flying rights to boost local carriers

The country's international traffic has traditionally been dominated by overseas carriers. National flag carrier Air India was the only local airline flying out of the country until about a decade ago.
India's airlines are likely to increase their share of the market of passengers flying abroad, with the aviation ministry granting them fresh flying rights to a number of overseas destinations. The new flying rights, which were on hold for up to eight months, were awarded last fortnight by the ministry, with the largest chunk going to Jet Airways India Ltd, said two people familiar with the development, who did not want to be identified. Until 2005, Indian airlines controlled 25-30% of overseas-bound traffic, which has increased to 40% now. These rights can help Indian carriers raise their share of the international traffic from India to 50% over the next two years, said experts. "There will be resumption of expansion this year. Except GoAir, every carrier will have some international operation," said Kapil Kaul, chief executive officer, South Asia, for the aviation consulting firm Centre for Asia Pacific Aviation (Capa). "The real thrust would be felt by fiscal of 2012-13."
The country's international traffic has traditionally been dominated by overseas carriers. National flag carrier Air India was the only local airline flying out of the country until about a decade ago. This began changing in the middle of the last decade, with Jet Airways expanding to South Asia and beyond. Naresh Goyal-controlled Jet Airways has been cleared to start new services to Europe, including flights to Rome and Amsterdam from Mumbai.
24/01/11 India Infoline

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Categories: Foreign Jan 2011, Low Cost General Jan 2011, New Jan 2011