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FINANCIAL NEWS
Emirates’ Airbus A380 is to remain banned in India
20 Jul 2011
(MENAFN) Rishikesha Krishnan, a professor of corporate strategy at the Indian Institute of management in Bangalore said that the Emirates Airline and the Deutsche Lufthansa AG are still waiting for the Indian government approval for allowing their Airbus SAS A380 to carry passengers from the New Delhi airport, reported Bloomberg.
Krishnan added that the Indian government is trying to protect is state-owned Indian airlines, which forms a funding source for the country. He said that Air India has received about USD449 million of public funds in April 1, 2009 since its emerging with Indian airlines.
Krishnan also said that the rules formed by the Indian authorities deny more choices for passengers and reduce competition for Air India, thus aircrafts bigger than Boeing 747 are restricted form flying into the country, and these rules doesn’t serve the best interest of Indian aviation.
Meanwhile, Amber Dubey, India-based director at auditing and consulting company KPMG, said that the Airbus A380 offers passengers cheaper tickets and consumes less fuel than other planes of its size, and the fear of it taking over control of the Indian aviations is the reason why the Indian government is concerned.
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