The ministry of civil aviation is planning to reduce the concession period for the commercial contracts floated for operating food and beverage (F&B) outlets, retail units and duty-free shops at the Chennai and Kolkata airports.
Earlier, the plan was to award the contract for non-aeronautical facilities for 10 years the government is examining possibilities to bring it down to two years to leave a window for the private party which wins the management agreement to renegotiate terms for commercial ventures.
"We have to bid out the contracts for essential services such as F&B at least till the time the private player winning the contract stabilises operations. Instead of awarding the commercial contract for a 10-year period, we can bid it out for two years or five years. We are exploring the options," said a senior official in the ministry.
