Air India estimates that it may suffer from losses exceeding $ 600 million if the Pakistani ban on Indian aircraft continues for a year, and has officially requested compensation from the Indian government, according to a message reviewed by Reuters.
The state -run transport company submitted its application on April 27, in search of a support form to compensate for the increasing costs. The letter, addressed to the Ministry of Civil Aviation in India, put the estimated result of more than $ 50 billion ($ 591 million) annually. “Supporting affected international flights is a good and check -in option … support can be removed when the situation improves,” the message said.
The closure of the airspace in Pakistan came in response to an illegal attack on tourists in the occupied Indians Jumu and Kashmir (IIOJK), and Indian Airlines is now forced to redirect many long -term flights, which leads to a high burning of fuel and the extended requirements of the crew. The message noted that “the influence on India is the maximum” due to its wide international network.
Air India, which reaches 26.5 % of the aviation market in India and runs main roads to North America and Europe, is already pressures from the delay in the delivery of aircraft by Boeing and Airbus. Tata Airlines, a net loss of $ 520 million in the fiscal year 2023-24, recorded revenues of $ 4.6 billion.
Cirium Ascend data shows that in April, Air India, Air India Express, and Indigo 1200 trips are scheduled from New Delhi to destinations in Europe, North America and the Middle East – are now affected by the air area restrictions.
Three sources told Reuters that the Indian government is exploring solutions to reduce the burden on the aviation sector. Discussions include exploration of alternative airlines closer to Chinese airspace and potential tax concessions. In its message, Air India urged the government to search for permits from China and allow additional pilots on American roads and Canada to absorb the longest trip times.
Air India and the Ministry of Civil Aviation did not publicly comment on this issue.
