AirAsia-Tata joint venture gets govt's nod to start new airline

March 6, 2013

AirAsia-Tata_joint

New Delhi, Mar 6: The finance ministry on Wednesday cleared the investment proposal of Malaysian budget carrier AirAsia which seeks to enter India through a joint venture with Tata Group and another company.

"AirAsia's proposal has been cleared. It is as per the policy (which allows) up to 49 per cent FDI. Rs 80 crore is initial investment," a senior government official said.

The Foreign Investment Promotion Board (FIPB), headed by DEA secretary Arvind Mayaram, approved the proposal at its meeting here.

AirAsia has applied to FIPB to take 49 per cent in a venture with Tata Sons Ltd and Arun Bhatia's Telestra Tradeplace Pvt Ltd.

The carrier will now have to approach the aviation regulator Directorate General of Civil Aviation (DGCA) for further clearances.

"AirAsia will now have to take necessary licence etc. from DGCA," the official added.

This would be the first entry of a foreign carrier in the domestic aviation sector after the liberalisation of FDI policy in September last year.

AirAsia is looking to start flying from this year-end with 3-4 planes and an initial investment of about USD 50 million by the Malaysian budget carrier.

The proposed joint venture will operate from Chennai and will focus on providing domestic connectivity to tier-ii and tier-iii cities.

As per current rules, a carrier must complete five years of domestic operations before becoming eligible for starting overseas flights.

Tata Sons, the holding company of the USD 100 billion salt-to-software conglomerate, will hold 30 per cent in the joint venture but will not have any operating role in the airline.

This will mark the return of Tatas to aviation sector. State-owned Air India had grown out of Tata Airlines, which began flights in 1932.

AirAsia, through its operations based in Thailand and Malaysia, flies to Chennai, Bangalore, Kochi, Tiruchirappalli and Kolkata in addition to 20 countries.

AirAsia, Tatas and Hindustan Aviation of Bhatias have signed a partnership agreement for the venture.

Air Asia has made the move to invest even as Etihad and Jet Airways continue to work towards finalising a deal for the Gulf carrier to invest in Jet.

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Agencies
May 23,2020

New Delhi, May 23: India will try to restart a good percentage of international passenger flights before August, Civil Aviation Minister Hardeep Singh Puri said on Saturday, three days after announcing resumption of domestic flights from May 25.

All scheduled commercial passenger flights have been suspended in India since March 25 when the Modi government imposed a lockdown to contain the novel coronavirus pandemic.

"I am fully hopeful that before August or September, we will try to start a good percentage of international civil aviation operations, if not complete international operations," Puri said during a Facebook live session.

"I can't put a date on it (restarting international flights). But if somebody says can it be done by August or September, my response is why not earlier depending on what is the situation," he said.

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News Network
February 22,2020

New Delhi, Feb 22: China is delaying grant of clearance to India's proposal to send an Indian Air Force flight to carry relief material for people affected by coronavirus in the neighbouring country and bring back Indians from its city of Wuhan, official sources said Saturday.

India was to send a C-17 military transport aircraft to Wuhan, the epicentre of the coronavirus outbreak, on February 20 but the plane could not take off as permission was not granted for the flight.

"China is deliberately delaying grant of clearance for the evacuation flight," a high-level source said.

The aircraft was to carry a large consignment of medical supplies to China and bring back more Indians from Wuhan.

Sources said the Chinese side continued to maintain that there was no delay in granting permission for the flight to go, but "inexplicably" the clearance has not been given.

In a letter to President Xi Jinping earlier this month, Prime Minister Narendra Modi conveyed India's solidarity to the people and government of China in meeting the challenge of the coronavirus outbreak and offered to provide assistance to the country.

India then put together relief supplies in pursuance of Modi's commitment as a token of India's solidarity, particularly in the 70th year of the anniversary of diplomatic relations between the two countries.

"These supplies have been offered even as India faces tremendous shortage itself, given our ethos of helping others in their hour of need," said a source aware of the issue.

The items being supplied are gloves, surgical masks, feeding pumps and defibrillators based on the requirements as indicated by the Chinese side.

India's national carrier Air India has already evacuated around 640 Indians from Wuhan in two separate flights.

According to estimates, over 100 Indians are still living in Wuhan. A sizeable number of countries have evacuated their citizens from China and restricted movement of people and goods to and from the country in view of the massive outbreak of coronavirus there.

Indian nationals in Wuhan continue their long wait for the flight. The delay is causing them and their family members in India tremendous mental anguish, said the sources.

They said relief and evacuation flights from other countries including by France are allowed to operate by China but the permission has not come through in India's case.

"Are they not interested in Indian aid provided as our token of support? Why are they creating roadblock in evacuating our nationals from Wuhan and putting them under hardship and mental agony?" said a person aware of the issue.

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News Network
July 4,2020

New Delhi, July 4: India on Friday reported its highest single-day spike of COVID-19 cases with 22,771 cases reported in the last 24 hours, said the Union Ministry of Health and Family Welfare.

With these new cases, India's coronavirus cases tally has gone up to 6,48,315, out of which there are 2,35,433 active cases in the country and 3,94,227 cases have been cured/discharged or migrated.

As many as 442 deaths due to COVID-19 have been reported in the last 24 hours taking the number of patients succumbing to the deadly virus across the country to 18,655.

As per the Union Health Ministry, Maharashtra -- the worst affected state due to COVID-19 -- has a total of 1,92,990 cases which is inclusive of 8,376 deaths. Meanwhile, Tamil Nadu, the second worst-affected state, has a total of 1,02,721 cases and 1,385 fatalities. Delhi's tally of coronavirus cases stands at 94,695 which is inclusive of 2923 deaths due to the virus.

The Centre said that the recovery rate has further improved to 60.80 per cent. The recoveries/deaths ratio is 95.48 per cent : 4.52 per cent.

The Indian Council of Medical Research, earlier on Saturday, said that the total number of samples tested up to July 3 is 95,40,132, out of which 2,42,383 samples were tested yesterday.

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