India to scrap 5/20 rule

Dino D'Amore
By Dino D'Amore October 15, 2013 16:20

India to scrap 5/20 rule

The Indian government is planning to scrap its so-called 5/20 rule that requires airlines to fly on domestic routes for five years and to possess a fleet of at least 20 aircraft before launching overseas operations. The government plans to end the rule by November.

If it the 5/20 rule is abandoned, the aviation industry will be opened up significantly for Indian airlines. The move will benefit Tata Sons new joint venture will AirAsia, which has indicated its desire to launch international flights from India.

GoAir too will benefit as it has applied for international traffic rights requesting a waiver of the 5/20 rule.

Dino D'Amore
By Dino D'Amore October 15, 2013 16:20
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