UK-based Air Charter Service Plc plans India foray
15 Jul 2011
New Delhi: UK-based Air Charter Service Plc is planning to enter India. The company, which operates in the US, Europe, South Africa and parts of Asia, arranges over 5000 charters per year with a turnover of more than $300 million.
Company spokespersons said the company had made an application under FIPB rules to the Government of India.
The Foreign Investment Promotion Board (FIPB) is a government body that offers a single window clearance for proposals on Foreign Direct Investment (FDI) in India that are not allowed access through the automatic route.
With demand for charter services growing in India across various sectors, foreign players are keen to get a share of the market.
General aviation in the country has witnessed a huge growth in the past four years as evidenced in aircraft movements at Mumbai airport, which has experienced a 61.8 per cent increase in general aviation movements in this period, and Delhi, which has seen a growth of 31.33 per cent.
Under FIPB rules, the proposed FDI level in the non-scheduled airline category, including charter service, is capped at 74 per cent.