Government amended clause for foreign airlines to sign advance agreements

Government on Thursday amended a clause that required airlines of Denmark, Norway and Sweden to sign advance agreements with the Indian fliers, and gave them a freedom to fix fares on commercial basis.

Changes in India’s air services agreements with these countries were approved by the Cabinet at its meeting chaired by Prime Minister Manmohan Singh here on Thursday, Information and Broadcasting Minister P R Dasmunsi told reporters here.

Earlier, the seat capacity was used to be decided in advance through agreements between the airlines. Now, the requisite article has been amended removing the section that required these agreements to be signed between the designated carriers.

The provision on tariffs has also been amended to make the designated carriers of respective countries free to decide fares based on commercial considerations. Airlines of the three countries would also not be required to file tariffs for air services to India.

Agency