Jet, Sahara to fly overseas

30 December 2004

New Delhi: The government yesterday decided to allow private sector domestic airlines that have completed five years of operations and have a fleet strength of 20 aircraft to operate flights to all international destinations except those in the Gulf region. Addressing a press conference, the minister for civil aviation, Praful Patel, said that the cabinet decision was "bold, progressive and liberal."

Patel added that the decision has come at a time when the private sector has established itself in the Indian skies with a market share of almost 60 per cent.

The beneficiaries would be Jet Airways and Air Sahara, which meet the stipulations. The moratorium on private airlines flying to the Gulf region will continue for the next three years, the government has decided. This is because the majority of operational revenue and profits of both Air India and Indian Airlines accrue from these routes.

During that period only Air India, Indian Airlines and their subsidiaries will be allowed to operate flights to the various regions in the Gulf including United Arab Emirates (UAE), Qatar, Oman, Bahrain, Kuwait and Saudi Arabia.

The government will consider the request of all the eligible airlines for additional entitlement while conducting bilateral air service negotiations.