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Air India gets Jet's unused foreign traffic rights

IANS  |  New Delhi 

State-run seems to be finally getting its preferential rights in allocation of traffic rights over foreign routes after losing it to private carriers in the previous government.

The government has decided to allot it about 5,700 weekly seats out of grounded Jet Airways' unused quota on the lucrative India-route.

The public sector has also been promised over 5,000 seats on India-route besides about 4,600 additional seats to and from following the re-allocation of grounded Jet's unused international traffic rights.

A told IANS that will get preference in allocation of bilateral seat entitlements.

"The allocation would be for the ongoing summer schedule and considered temporary given that efforts are on to revive Jet Airways," said a reliable source.

Amid faint possibility of grounded Jet Airway's revival anytime soon, the ministry had on May 3 held a meeting with local carriers to discuss re-allocation of the airline's foreign traffic rights.

Private carriers SpiceJet, IndiGo, GoAir, Vistara and had pitched for bigger share of the pie in the last meeting. While had suggested for allocating foreign traffic rights in proportion to various airlines' fleet capacity, Vistara argued that smaller airlines be given bigger share.

had last month withdrawn due to severe fund crunch and remain grounded in absence of a viable revival plan.

While re-allocation of traffic rights would ensure additional capacity on various popular foreign routes thus reducing fare level, it will significantly affect the valuation of

Investors are already miffed over the government's move to re-allocate its slots at various domestic airports.

(Nirbhay Kumar can be contacted at nirbhay.k@ians.in)

--IANS

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, May 14 2019. 20:32 IST
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