Airlines are battling tough business conditions amid rising fuel prices, rupee depreciation and intense competition.
Air Asia denies 'wrongdoing'; CBI case may trigger calls for cancellation of operator's India licence, feel experts
AirAsia India, where Tatas have 51 percent stake, began operations in 2014.
The IB has suggested that the existing substantial ownership and effective control requirement should be retained.
Air India is looking to significantly expand its operations in the US.
Indian carriers are against Qatar Airways' India plans and their points are valid; govt should take heed
Qatar Airways has been interested in traffic from India for a long time
Leaders across party lines have reacted sharply to the incident where a Shiv Sena MP thrashed an Air India staffer and demanded strict penal action against the legislator, terming the incident as "sad and unfortunate".
Shiv Sena MP Ravindra Gaikwad, who assaulted an AI official at Delhi Airport, was on Friday barred from flying by Federation of Indian Airlines (FIA), sources reported.
The draft aviation policy, rolled out last October, contains several provisions like two per cent levy on all air tickets to fund regional connectivity and tax sops, among others, which would have financial implications when the policy comes for implementation.
The development assumes significance in view of the fact that new player AirAsia India has demanded scrapping the 5/20 norm wherein another startup airline Vistara deferred its plans to induct more planes in its fleet, after the government failed to take a decision on the issue last year.
With this increase in frequency, the airline will operate 38 flights connecting 10 destinations across India, it said.
The 5/20 rule bars domestic airlines from flying overseas unless they have completed five years of domestic flying and have a fleet of 20 aircraft.
The proposed rules stipulate that a new start-up domestic airline will only be allowed to operate on those international routes to begin with, which are more than six hours of flight from India.
According to multiple sources, Tata Sons may be already in discussions with Telestra Tradeplace's Arun Bhatia for buying out much or all of his 21 percent stake in AirAsia India at undisclosed valuations.
Raju said the ministry has requested the finance ministry to reduce the "burden of service tax on MRO work and state governments to reduce VAT (Value Added Tax) on aircraft parts to reduce overall maintenance charges of aircraft".
Dubai was the most preferred destination for Indians in 2014, Mumbai-Dubai sector was the busiest international city pair for travel with as many as 17.5 lakh people flying between the two
At present, the rule, popularly known as 5/20 rule, makes it mandatory for the domestic airlines to fly on domestic routes for five years and have a 20-plane fleet before going international.
HC said there's no urgency as the flying permit will be subject to the outcome of the petition challenging approvals being granted to AirAsia India deal,
Without giving any time-frame of when the airline would get the permit, official sources said the process of examining AirAsia India's application has since been started.