- AFTER THIS READ, YOU WILL KNOW
- The changes in bilateral air service agreement between India and United Kingdom.
- Why UK-based airlines have an unfair advantage in this market?
- What are the upcoming additional flights from UK-based carriers between India and UK?
The bilateral air service agreement between India and the United Kingdom underwent the latest revision on May 1. New flights have been added to the revised bilateral agreement, allowing airlines from both sides to ramp up their flights from London Heathrow to Delhi and Mumbai. This move will be beneficial for UK-based carriers but not for airlines from India. Why? Continue reading the article to get the answer.
India & United Kingdom Expand Air Service Agreement
Now, long-haul carriers from India and the United Kingdom can operate more flights between both countries. The bilateral agreement has been revised. The air service agreement between both countries focuses on bilateral rights to fly from London Heathrow to Delhi and Mumbai. Previously, airlines from both sides were allowed to fly 56 weekly flights between LHR & Delhi/Mumbai.
With the latest revision, the number of weekly flights has been increased from 56 to 70. Airlines from both sides can increase 14 weekly flights on a one-way basis. On May 1, the Ministry of Civil Aviation (MoCA) from India and the Department for Transport (DFT) from the United Kingdom signed this agreement.
DFT in a statement said that every month, more than 3 lakh passengers travel between India and UK. The trade between both countries in 2023 accounted for 39 billion pounds. Therefore, increasing flights between both countries is essential to bolster trade and tourism opportunities.
Beneficial For UK Carriers, Not For Indian Airlines
Yeah, you read the sub-heading right. This amendment is benefitting only one side as of now. Airlines based in the UK like British Airways and Virgin Atlantic have already exhausted their rights to Delhi and Mumbai. Hence, this amendment will provide them with additional flying rights to enhance the number of flights.
In April month, Virgin Atlantic had already announced Mumbai expansion. From the Winter schedule, it will operate twice daily between Heathrow and Mumbai, an upgrade from the current once daily. With this, it will sell more than one million seats annually in the Indian market. Following this, it will remain with 7X more weekly flights. British Airways may use these rights to add a second daily flight to Delhi.
Now, look at the case of Indian carriers. Unlike UK-based carriers, airlines from India such as Air India and Vistara have not even exhausted their previous entitlement. Currently, both of them operate 38 weekly flights between Heathrow and Delhi/Mumbai. But why have they restricted their expansion?
The reason behind this is slot scarcity at Heathrow Airport. As Heathrow is a hub for BA and Virgin, they can easily get slots. Meanwhile, airlines from India have to face a struggle to gain a position in the slot-constrained airport. Vistara, in March, had to shut down its Mumbai to Heathrow service as it was unable to gain slots for the Summer schedule. The slot scarcity at Heathrow results in an unfair advantage to UK-based carriers in this market.
Which Route is Most Popular?
In 2023, around 40 lakh passengers traveled between India and UK. Respectively, Delhi, Mumbai & Kochi were the top Indian airports to handle UK traffic, while Heathrow, Gatwick & Manchester managed the highest number of Indian passengers.
In the non-stop market, only four airlines are operational between India and UK. This includes Air India, British Airways, Virgin Atlantic, and Vistara. However, a large chunk of traffic is carried by Gulf airlines like Emirates, Etihad, and Qatar Airways.
Other than Heathrow, airlines from India also operate to Birmingham and Gatwick. Virgin Atlantic, other than Delhi and Mumbai operates at Bengaluru Airport, which it launched in April month. British Airways operates to Chennai, Hyderabad & Bengaluru along with Delhi & Mumbai. Here, Indian carriers majorly cater to Point-to-Point traffic, but airlines from the UK fly a lot of connecting passengers onwards to North America.
Conclusion: Revision of Air Service Agreement Between India & United Kingdom
The bilateral air service agreement between India and the United Kingdom has been revised with the addition of 14 weekly flights. Now, airlines from both sides are allowed to operate 70 weekly flights, 14 more than the previous 56 weekly flights. With this, airlines from UK can increase flights to India, but Indian carriers continue to face slot scarcity at Heathrow, resulting in a halted expansion.
What do you think about this expansion of services between India and the United Kingdom? Discuss in the comment section.
With Inputs From The Hindu Business Line
Featured Image Credits: British Airways via its Website Media Gallery
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