The government is considering a proposal to renegotiate foreign aviation rights, including those in the Middle East. The idea is to reduce the so-called sixth freedom rights for foreign carriers – carrying passengers from India to various destinations around the world through airports in their home countries. A passenger flying to New York from Delhi can board a non-stop flight or pass through one of the hubs in the Middle East or Europe – this is known as sixth-freedom traffic. Dubai’s Emirates is among the largest beneficiaries of these rights, followed by Qatar Airways, Etihad Airways and other European and Southeast Asian carriers.
Liberal bilateral awards have led to a situation in which people fly one-stop through foreign domestic airports to various parts of the world. This has made it difficult for our Indian carriers to establish direct flights to these international destinations, said a government official. Although the decision on bilateral rights will be taken by the airline ministry, the external affairs ministry’s approval is crucial to proceed. India has signed international flights rights agreements with 109 countries but not all of these will be renegotiated.
While the move is aimed at helping Indian carriers to expand globally – especially the new owners of Air India and Vistara, which have long-term network and expansion plans – which can lead to a reduction in the number of international flight options, which could lead to higher prices. Another official said that the agreements between the two countries could be reviewed, especially since the epidemic had seriously damaged the aviation industry. There are terms of dismissal and re-negotiation, and the .Covid took advantage of the situation, the second official said.
Indian airlines welcome any changes that may occur. These foreign airlines are very powerful and it is very difficult for us to compete with them. This move, if possible, will definitely benefit us, said an airline executive.
The move will open up options for Indian airlines to travel long distances to Europe and the United States without the competition of hub carriers. The government, has been of the view that India has largely opened up its market to foreign carriers by liberating overseas rights, which is also marked by the auditor general on more than one occasion. The government in its first term, has opposed any new foreign aviation rights to places like Dubai, Qatar and Singapore, as flights to these countries carry large quantities of six freedom traffic from India.
