New Delhi: The government’s unstated policy of shielding Air India from competition has held back overseas expansion programmes of domestic private carriers. This stance has led foreign carriers capture larger market share on various profitable routes that could otherwise have been shared between Indian carriers.
The civil aviation ministry has put in abeyance the applications of private carriers like Jet Airways and SpiceJet seeking permission to operate flights on sectors like Delhi-Paris, Kochi-Dubai, Mumbai-Riyadh and Delhi-Teheran.
Low-cost airlines IndiGo and SpiceJet are miffed over this stance as it indirectly gives government-owned Air India the right of first refusal whenever a case of granting traffic rights to private carriers for starting flights on international sectors come up.
Following the completion of five years of operation in the domestic market to become eligible to launch international flights budget carriers are planning to expand their networks beyond India.
18/08/11 Nirbhay Kumar/Financial Express
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