Kannur International Airport reeling under heavy losses


Kannur, May 19 (IANS): Kerala's fourth and the biggest of all airports -- the Kannur International Airport Limited ( KIAL) -- is reeling under heavy losses.

After four years since opening, the losses have now crossed Rs 300 crore, sources said.

It was inaugurated by Chief Minister Pinarayi Vijayan in 2018 and has turned out to be a big relief for all political leaders hailing from Kannur, including Vijayan and numerous others, who had to earlier take a flight to the state capital from the neighbouring Kozhikode district.

One reason why KIAL is lying in the red is because just as the airport was getting traffic, the Covid pandemic hit and since then it has been struggling despite the best efforts of getting more airlines to operate domestic and international flights from there.

Registered under the Companies Act, KIAL is a government company with the Kerala government holding the maximum shares, accounting for 39 per cent, followed by the Bharat Petroleum Corporation Limited with 16.20 per cent and billionaire Keralite businessman M.A. Yusuf Ali, who owns close to 9 per cent shares.

While sitting in the opposition, the CPI-M had gone hammer and tong against the then Oommen Chandy-led government (2011-16) for not doing anything to increase the runway of the airport to 4,000 metres as a further close to 240 acres of land had to be acquired. But though the Vijayan-led government has now completed six years in office, it has also not been able to increase the runway to 4,000 metres.

Though KIAL is running under losses, it can take heart from the fact that the country's first airport built under the PPP model -- the Cochin International Airport Limited -- was opened in 1999, but it started paying dividends only from 2003-04. And by now the total dividend payout has crossed 282 per cent.

Authorities expect that things will change if more and more domestic and international flights begin operations from the the Kannur International Airport.

 

 

 

 

  

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Comment on this article

  • Kbr, Mlore

    Sun, May 22 2022

    Once kasaragod peopl stop cmg to mangalore airport, we can make make mangalore airport goodangadi.

    DisAgree [3] Agree [3] Reply Report Abuse

  • Shivaraj, mangalore

    Fri, May 20 2022

    Length of Kerala -- is approx 750 kms -- (Trivandrum to north kerala karnataka border) -- 4 Intl airports -- Is it really reqd -- One more proposed coming up -- If good trains reasonably fast available people would travel by Train to reach airport -- and possibly 3 are enough -- ALL TRAINS CAN REACH DIRECTLY TO AIRPORT -- ONE LEVEL REGIONA L TRAINS -- MANY COUNTRIES ESPECIALLY IN EUROPE -- HAVE THESE ARRANGEMENTS -- BASICALLY SMOOTH TRANSFER - -SEAMLESS -- ALL FOR CONVENIENCE -- NOT SPEND EXTRA --TAXIS ETC

    DisAgree [1] Agree [5] Reply Report Abuse

  • Shivaraj, mangalore

    Fri, May 20 2022

    Length of Kerala -- is approx 750 kms -- (Trivandrum to north kerala karnataka border) -- 4 Intl airports -- Is it really reqd -- One more proposed coming up -- If good trains reasonably fast available people would travel by Train to reach airport -- and possibly 3 are enough --

    DisAgree Agree [7] Reply Report Abuse

  • k b r, Mangala Uru

    Fri, May 20 2022

    All somalian gold smugglers should route through this airport....then it will be viable airport.....

    DisAgree Agree [9] Reply Report Abuse

  • Flavian, Mangalore/Kuwait

    Fri, May 20 2022

    90% air traffic and passanger/ cargo to and fro due to hulf market and employment opportunities. Once Arab countries start handling their buisness and labour needs.😩

    DisAgree [3] Agree [12] Reply Report Abuse

  • Biju, Mangalore

    Fri, May 20 2022

    Even though Kannur airport may be closer, many North Keralites still prefer to travel thru Mangalore due to its services. Kannur airport has a pathetic administration and very bad in services. Its no lesser than a service bus stand. Very untidy. More over the employees are ruled by the unions and work at their own whims. I have seen passengers wait for hours or so after landing , just because the immigration staff members were on tea break. Its not technically equipped as well. Customs harass travellers and try to fleece money from innocent passengers. The irony is Keralites are praying for privatisation of Kannur airport and in Mangalore the Congress chelas are cursing Adanis.

    DisAgree [8] Agree [16] Reply Report Abuse

  • Kiran Poojary, Bengaluru/Mangaluru

    Fri, May 20 2022

    Don't build airports like bus stands.

    DisAgree [2] Agree [37] Reply Report Abuse

  • Kedhar, Mangaluru

    Fri, May 20 2022

    Kerala State, Waynaad MP flies out once a week abroad. He and his entourage should be sounded about this

    DisAgree [18] Agree [25] Reply Report Abuse

  • Amaze, Karkala

    Fri, May 20 2022

    Still better than Mangalore airport

    DisAgree [59] Agree [32] Reply Report Abuse

  • parvez, ixe/dxb

    Fri, May 20 2022

    hope MR ADANI in not interested in buying loss AIRPORTS

    DisAgree [11] Agree [27] Reply Report Abuse

  • Alwyn, Mangalore

    Fri, May 20 2022

    No custom who arrive at Kannur International Airport. All the losses will be recovered. The second choice give the airport to Ladani Group.

    DisAgree [9] Agree [19] Reply Report Abuse

  • Alwin, Mangaluru

    Fri, May 20 2022

    Way to privatisation

    DisAgree [11] Agree [16] Reply Report Abuse

  • Jossy Tauro, Mangalore

    Fri, May 20 2022

    Because of gulf situation now many lost jobs. If no jobs in gulf many airports in India will face problems. Also due to our country,s situation many tourists are not interested to visit India. But our government to worried in this because they are busy in doing many other things. But our Andhbhakts still in sleep.

    DisAgree [44] Agree [55] Reply Report Abuse

  • suresh, Kinnigoli

    Fri, May 20 2022

    If no jobs in gulf kerala dont have jobs not entire India.

    DisAgree [21] Agree [47] Reply Report Abuse

  • Alwyn, Mangalore

    Fri, May 20 2022

    suresh, Kinnigoli Fri, May 20 2022 If no jobs in the gulf Kerala doesn't have jobs, not entire India. What a joke Suresh...The majority of people in the gulf are from India. If Gulf said no Indian and Hindus then you will feel the pain

    DisAgree [31] Agree [70] Reply Report Abuse

  • suresh, Kinnigoli

    Fri, May 20 2022

    Alwyn Majority are Mallus . Its a fact everyone knows who are in gulf. That is why thier 4 international airports are gulf airport. And the time has changed now, the salary they are earning there is not even half of techies earning in Bangalore or other major cities of India. People are highly educated now to get a decent job here or in other western countries.

    DisAgree [34] Agree [29] Report Abuse

  • Chandu, Karla

    Fri, May 20 2022

    Suresh, kinnigoli, If you don't understand economics and how the foreign jobs contribute to Indian economy then don't comment some crap which comes into your head.

    DisAgree [14] Agree [64] Reply Report Abuse

  • Rajesh, Mulki

    Fri, May 20 2022

    Techies, techies.... We are boasting about techies salary as if the money is going to come in our accounts. They are a small percentage of the total work force. They are earning high because western countries are favouring India for software services. What about rest of us .Our salaries are eaten up by inflation and at the end of the month no savings. Some of our people thump their chest at the news of Adani, Ambani getting ranking in world's richest list. We must think what is the benefit for common people from this....

    DisAgree [6] Agree [18] Report Abuse

  • Dr. Shankar Narayan, Mangaluru

    Fri, May 20 2022

    Kerala is rich because of NRIs. God's own county has rich natural resources, but labor problems. No major Industries. Cochin shipyard not functioning. Fertilizer factory FACT not functioning. Cochin Port is earning is very less because of Labor problem. Now Mangalore and Tuticorin Ports have overtaken Cochin port and doing very well. When Kannur Airport came everybody predicted that Mangalore Airport will shut down. Hats off to Mangalore Airport. Kannur Airport was built mainly for Cargo transport. When there are no industries and export businesses in Kerala how can you expect Kannur Airport to function? When already Kerala had three International airports Why one more that to close to Calicut Airport? Is this to gain votes in North Kerala? The days of the Gulf boom are gone now. Now in UAE, many other nationals are in for employment. Nigerians, Ethiopians, Kenyans, Somalians, Filipinos, Chinese, Thailand, and Indonesia all work for less wages. So Keralites are decreasing in number.

    DisAgree [2] Agree [12] Reply Report Abuse

  • James Dsouza, Mangaluru

    Fri, May 20 2022

    you are right Dr. Shankar Narayan, very good analysis, Gulf jobs have reduced .

    DisAgree [1] Agree [6] Report Abuse

  • Jossey Saldanha, Raheja Waterfront

    Fri, May 20 2022

    I wonder what is the status of our Mangalore International Airport ...

    DisAgree [23] Agree [59] Reply Report Abuse

  • John Tauro, M'lore

    Sat, May 21 2022

    MIA will bloom in the coming years, domestic flights are on the increase. Besides GCC countries very soon there will be direct flights to Israel.

    DisAgree [3] Agree [5] Reply Report Abuse

  • Abdul, Vidyanagar /Kasaragod.

    Thu, May 19 2022

    Calicut airport behind this reason.

    DisAgree [5] Agree [35] Reply Report Abuse


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