Etihad Airways CEO pitches for enhanced bilateral flying rights in India

Mumbai, Oct 15 (PTI) Abu Dhabi-based Etihad Airways Group Chief Executive Antonoldo Neves on Wednesday made a strong pitch for enhanced bilateral flying rights as more airports are coming up in India and said the airline will operate more flights to other destinations if additional services are not allowed by the country.

India is an important market for the Gulf carrier.

"The most scarce resource today in our world is not pilots. It's not mechanics. It is aeroplanes because if I had 10 planes today -- 10 wide-body (aircraft) -- even if I had zero bilateral (in a particular country), I would fly those planes. So, what is really scarce are planes. And nobody has planes. And it's going to be like that for the next five years," Neves told PTI in an interview.

The global aviation industry has been grappling with supply chain issues, especially after the pandemic, resulting in delayed aircraft deliveries even as airlines are looking to expand their fleets to meet rising passenger traffic demand.

India has not increased the bilateral flying rights for foreign airlines, especially Gulf carriers, as domestic carriers are looking to expand their international presence. Gulf carriers have been seeking more flying rights to cater to the rising traffic demand to and from India.

From a global perspective, Neves said bilateral traffic rights cannot be termed as a scarce resource, emphasising it is a "very Indian-oriented mindset".

"This market can accommodate more planes. And it is for India to decide when it wants more planes. We are going to have planes. If you don't (want to) place it here, I'm going to place it somewhere else. They can fly. It's not like a power plant. So, the market is there. If not India, somewhere (else)," he said.

While emphasising that there should be a balance, Neves said India is not the only place in the world that has traffic rights.

"Everywhere in the world, Germany, Canada... we have traffic rights. We have traffic rights to all the countries in Southeast Asia. Many countries have these slot constraints. The good thing about India, and that is why I think time is good to have the discussions (on enhanced seat entitlements), is that now India has airports," he said.

India has more than 160 operational airports, and more are set to start operations in the near term.

"I think the Indian carriers represented almost 70 per cent of the international traffic growth, which is healthy. In the world, it's usually 50-50 per cent, because it's bilateral. (This) 70 per cent is a clear sign that the Indian airlines are finally catching up," he pointed out.

Neves said India is an important market for Etihad, with about 20 per cent of the ASK (airline's passenger carrying capacity) in the country. PTI IAS RAM BAL BAL