Air India Loses Exclusive Rights over International Flights


Air India Loses Exclusive Rights over International Flights

New Delhi, Feb 14 (PTI): Air India would no longer enjoy exclusive privilege over all bilateral air traffic rights with foreign countries as the government has decided to allow all Indian carriers to use these rights.

As Air India had since inception continued to enjoy exclusive right (Right of First Refusal) over foreign routes due to its historic monopoly over foreign routes, private airlines could operate only when the national carrier said it would not operate on them.

As a result, several routes and flying slots remained unutilised. However, Air India's operational plans would get due consideration when traffic rights and entitlements are allocated, new changes made in the bilateral policy show.

The Civil Aviation Ministry has now decided to allow all scheduled Indian carriers, including Air India, to utilise allocated bilaterals till they reach the maximum permissible limit under Air Service Agreements (ASAs) with various countries, an official spokesperson said.

The ASAs fix the maximum number of flights or seats to be operated by designated carriers of both countries each week. The allocation of traffic rights to Indian airlines would now on be done well in advance upto a maximum limit of five schedules, keeping in mind the demands from them, their capacities and capabilities, operational plans and other factors, the spokesperson said.

The utilisation of these rights by airlines would be regularly monitored and oversight maintained on them by the Ministry. In case of underutilisation or non-utilisation of these rights, the Ministry could cancel them and levy penalties on the airlines, according to the changes made in the policy.

While code-share operations between an Indian and a foreign carrier would be encouraged under the new arrangement, all steps would be taken to promote development of hubs to enable Indian airlines to carry Sixth Freedom traffic and attain a dominating position in the region, the spokesperson said.
Sixth Freedom is the global aviation right to carry passengers or cargo from a second country to a third country by stopping in one's own country. For example, a passenger is carried from London to Sydney by a Singapore Airline flight via Singapore.

The Ministry would regularly review the bilaterals to promote global connectivity keeping in mind the demands by the Indian carriers, international passenger traffic, trade, commerce and potential global and regional issues, the spokesperson said.

In order to cater to the travel, trade and commerce needs to countries which do not have Air Service Agreements with India, the Ministry would consider signing ASAs with them. The policy changes were carried out on the basis of the approach outlined in a discussion paper of an Inter Ministerial Group on the issue.

According to official estimates, private airlines have sought 50,000 international seats in 2011, over 40 per cent of which are for destinations in the lucrative Middle East. In Europe, Indian carriers use less than 10 per cent of the allowed capacity, leaving up to 90 per cent of the market share to foreign carriers.

Air India, Jet Airways and Kingfisher fly to France and Germany and no one flies to Spain, Denmark, Norway, Sweden or Switzerland. In the Asia-Pacific, foreign carriers have 55 per cent of the share.

  

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Comment on this article

  • Sylvester, mangalore/abudhabi

    Wed, Feb 15 2012

    Can anybody tell will this step enable jet/kf etc to operate a direct flights to mangalore from UAE???

    DisAgree Agree [7] Reply Report Abuse

  • Laveena, Dubai

    Wed, Feb 15 2012

    WOW. We can now hope direct fligts & Cheaper flights from Private Carrier to Mangalore.
    So we can hope of 2 Vacations in a year instead of 1.

    DisAgree Agree [7] Reply Report Abuse

  • Louis, Kuwait

    Wed, Feb 15 2012

    You are right Jane. Only in Manglore airport, Customs officers doing security check for passengers upon arrival. Screening of luggage is acceptable but why physical screening? Even hand bag with passport n purse. Often ladies forget to collect their hand bags with ornaments after screening. It's the same in Banglore airport too. While departure tension of luggage n excess hand baggage. During arrival customs tension. Those going on vacation to home country never have peace of mind. God save us.

    DisAgree [3] Agree [14] Reply Report Abuse

  • Dinesh Poojary, Kundapura/Bengaluru

    Wed, Feb 15 2012

    Mumbai - Bangalore Air India flight yesterday left all luggage of 80 passengers in Mumbai itself. People arrived in Bangalore airport found their luggage missing. Some people had even door key in the luggage. Some people had to travel to nearby places of Bangalore. Later Air India promised to get the luggage to the passenger's door step today..

    Just imagine the plight of the people. God save air India..

    DisAgree [2] Agree [11] Reply Report Abuse

  • Jane, Mangalore

    Wed, Feb 15 2012

    Daijiworld has done many wonders in various fields. However, considering the fact people travel from various parts of the world to mangalore, only to face nightmare on customs issues in the airport. Customs officials are so unprofessional and if i could use they beg. They have their own figures for various custom items. I think daiji should intervene and help travellers of this night mare.

    DisAgree [1] Agree [15] Reply Report Abuse

  • Hanif, Shirva - Sharjah

    Wed, Feb 15 2012

    Its a good news, Because this news is about Flights, I would like to bring another issue over here..I would like to request daiji to enquire about the probs occur to travellers at Airports from Custom Officers, I went around 5-6 times back to India from Mangalore & Mumbai ports I never went out without paying Bribe, Everytime I had to pay to the custom Officers.. They are so cheap, Even I saw officer beating a guy who refused to pay.

    DisAgree [3] Agree [15] Reply Report Abuse

  • Neville Fernandez, Mangalore/Antigua

    Wed, Feb 15 2012

    Finally see the government making some sensible decisions in aviation. How about reducing taxes and duties on ATF? The option to fly should not be only available to the middle class and the rich.

    DisAgree Agree [16] Reply Report Abuse

  • Joel, Sydney/ Mangalore

    Wed, Feb 15 2012

    i cant understand y people focus on mangalore when there are 1000 other airports in the country if u dont like a airline or a airport the idea is simple stop flying with them or into that destination choose something else.. Like for me this was the 1st time into Bombay airport and it ll be the last time as well.. now i have decided only Bangalore....

    DisAgree [18] Agree [4] Reply Report Abuse

  • Evans Christopher Sumitra, Udupi/New York, USA

    Wed, Feb 15 2012

    This should have happened long long time. At least now other airlines so to say other foreign airlines will get a chance to operate on their own and serve the Indian community in a better way and more economically as Air India service has gone down the drain as there is lot of mismanagement going on and that is the reason it was always in the red. Air India is overstaffed and bribery is to the top. In 1987 my father passed away in Udupi and I had to attend the funeral. I booked a ticket by Air India from JFK (New York) to Mangalore via Mumbai.

    I reached Mumbai and wanted to take a flight to Mangalore on an Indian Airlines flight. At the Indian Airlines counter they told me that flight are full even though I had an OK ticket and I had reached much earlier. Then somebody came and pulled me to the side and said if you pay RS.500/ I could get my ticket OKed. I said I cannot give a dime and that I would like to see the supervisor. The supervisor came and said you could board the flight and since I was going for my father's funeral they have considered my case. My brother-in-law who lives in Mumbai had booked a ticket for the same flight and he had no problem whatsoever. Any we we boarded the flight and got into our seat. To my surprise when the plane took off, half the plane was empty.

    This is the kind of treatment we get even though I had paid in Dollars. I am sure other passengers are facing the same problem. AIR INDIA you have to work better to serve people better otherwise I do not know where you will stand in the coming years.

    DisAgree Agree [21] Reply Report Abuse

  • Charles D'Mello, Pangala

    Tue, Feb 14 2012

    Thank God at least tax payers money will be used for some good purpose. It may be better to close Air India...!!! No point in pouring tax payers money into black hole...!!

    DisAgree [1] Agree [26] Reply Report Abuse

  • Louis, Kuwait

    Tue, Feb 14 2012

    Thank God. At last we will have jet or Kingfisher flying directly to Kuwait Manglore Kuwait. Last Dec 1st time I fly through Jet and was pleased with their services. I could not get ticket on Air India Express. Can take 40kgs luggage instead of 30kgs in Air- India. Jet airways fare too is cheaper than Air India Express.

    DisAgree Agree [11] Reply Report Abuse

  • RP, Mlore

    Tue, Feb 14 2012

    Praful Patel stripped AI and sold all the lucrative routes to NW, KF, Singapore etc etc. Nobody knows for how much? and left AI high and dry......nude!!! Now the last bit remaining are the aircraft and company. Jai Ho

    DisAgree [8] Agree [1] Reply Report Abuse

  • SALDANHA L, BAHRAIN

    Tue, Feb 14 2012

    Great News. Does this mean that Air India Express looses its monopoly over Mangalore? Time for other private players to come in and most certainly time for the Airport Management to pull up its socks, wake up from its comatose behaviour and provide first class amenities for the amount of User development fee it charges.

    DisAgree Agree [42] Reply Report Abuse

  • ISMAIL K PERINJE, PERINJE-YANBU/KSA

    Tue, Feb 14 2012

    Good decision and most importantly WHITE ELEPHANT's Monopoly is broken..Civil Aviation's decision will lead to more activities in the sky of India and beyond by Airways.

    DisAgree [2] Agree [7] Reply Report Abuse


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