The Chairman of Jet Airways, Mr Naresh Goyal, has said he supports the Government’s move to allow foreign direct investment (FDI) in the domestic airline sector.
“We support all Government policies,” Mr Goyal said on Wednesday on the sidelines of a seminar being addressed by the visiting Director General of the International Air Transport Association (IATA), Mr Tony Tyler.
The domestic airline promoter was of the opinion that airfares in India were lower as compared to what is charged in other countries. “In sectors covering more than 2,000 km, when compared to India, fares in China are higher than 87 per cent, by 119 per cent in the US, by 162 per cent in Canada and by 182 per cent in Australia,” Mr Goyal said.
He said Indian carriers were operating in an environment where the operating costs were much higher than in other large aviation markets, while fares are lower. “The combined effect of this has been sustained losses for Indian carriers,” Mr Goyal said.