Air India Pakistan can withstand a loss of $ 600 meters from a air raspage ban, Mul China Route: Report
New Delhi: Due to the closure of its airspace for Pakistan’s Indian carriers, Air India estimates an additional expenses of about $ 600 million if Pakistan’s airspace ban continues for one year, and according to a company letter received by the Riters, requested the central government for compensation.
The Indian Airlines is preparing for an increase in fuel spending and expanded flight period, which was last week due to closure of Pakistan airspace after a terrorist attack on tourists in Pahgam, Kashmir, including a foreign national from Nepal.
On Sunday, Air India presented a request to the Government of India for a ‘subsidy model’ allegedly in accordance with the financial impact, with a loss of loss of more than 50 billion Indian rupees ($ 591 million), while the ban is under the restriction effect according to the ban, which claims to look into the letter sent to the Ministry of Civil Aviation.
“Subsidies for affected international flights are a good, verificationable and fair option … the subsidy can be removed when the condition improves,” the letter states that the subsidy can be removed. ” “Due to additional fuel burning, the impact on Air India is maximum due to the shutdown of aircraft … Additional crew.”
Correspondence was issued by government officials to an Air India officials after requesting the Indian carrier to evaluate the results of the airspace ban on the Indian carrier. The carriers owned by the Tata group, currently apply a multi-Arab-dollar reorganization after the state ownership, face growth boundaries due to delays in aircraft delivery from Boeing and Airbus.
The airline recorded a net loss of $ 520 million in FY 2023-2024, with a revenue of $ 4.6 billion.
Air India, 26.5% market share in India, service routes to Europe, United States and Canada, often use Pakistan airspace. The airline operates a much longer distance routes than its domestic competitive Indigo.
According to Syrium ascending data, IndiGo, Air India and Air India Express collectively determined about 1,200 flights from New Delhi, Middle East and North America in April.
India is searching for a solution to reduce the impact on the aviation sector due to the closure of Pakistan’s airspace. The source of a reciter indicated that the Indian carrier consulted to develop an option with the Ministry of Civil Aviation, which includes the route on challenging terrain and potential tax relief measures near China.
Without providing details, Air India’s letter requested government intervention with Chinese authorities about specific overflight permissions. Additionally, it sought approval to deploy additional pilots on the United States and Canada routes to accommodate the time of increased travel.
