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Wednesday, 9 July 2014

Beleaguered carriers call for sops

New Delhi: he aviation sector is hoping the new government will give sops in the upcoming budget to revive the industry that has suffered heavy losses last year.

According to industry body Capa Centre for Aviation, the Indian carriers have turned financially weak, so much so that their cash-on-hand is equivalent to just three weeks’ revenue.

The sector hopes the BJP government will slash taxes on jet fuel, exempt aircraft engines from customs duty and rationalise the taxation of maintenance, repairs and overhaul (MRO) services.


“The new government certainly needs to address some of these fundamental challenges immediately. The sector needs to overcome the brunt of rising costs of aviation fuel, high interest payments, insufficient infrastructure and shortage of skilled and trained manpower,” said Ankur Bhatia, executive director of Bird Group and member of the CII national committee on civil aviation.

Senior airlines and MRO officials recently presented their demands at a pre-budget meeting with civil aviation secretary Ashok Lavasa.
Read news in full 06/07/14 Karan Choudhury/Telegraph

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