New Delhi: A question mark hangs over the bilateral air services agreement that India and the United Arab Emirates are hoping to conclude in Abu Dhabi on April 23.
The issue is on how many more seats India should exchange in the bilateral with UAE, so that airlines from both countries can operate more flights. There is no political consensus in the inter-ministerial group, comprising the Prime Minister’s Office and the Ministries of Finance, External Affairs, Commerce and Civil Aviation.
There is renewed interest in the bilateral agreement mainly because UAE’s Etihad Airways is in talks to pick up a significant stake in India’s private carrier Jet Airways.
At the moment India and Abu Dhabi allow their airlines to operate close to 14,000 seats a week between the two countries. The proposal is to increase the allocation of seats three-fold to over 42,000 a week.
Jet Airways is seeking an increase in the number of flights that it is allowed to operate to Abu Dhabi pointing out that it plans to link 23 cities in India to not only Abu Dhabi but also to provide passengers an opportunity to connect to cities in the Gulf region, Africa and the US.
22/04/13 Ashwini Phadnis/Business Line
