Economy

Pak airspace closure: Govt forms panel to deal with airlines’ potential loss

The Centre has instructed airlines to bolster passenger “amenities as well as handling protocols

The Centre has instructed airlines to bolster passenger “amenities as well as handling protocols
| Photo Credit:
KRISHNAN VV

The Centre has instituted a mechanism to look into the potential losses that India’s airline industry faces on the back of Pakistan’s decision to close its airspace for their operations, industry sources told businessline.

Accordingly, the Ministry of Civil Aviation (MoCA) has formed a committee to look into potential losses as well as any measures that can be applied to mitigate the impact.

“A committee has been formed with airlines’ representatives as its members. They will, over a period of time, assess the potential losses and suggest measures to mitigate them and ease operations,” industry sources told businessline.

The Pakistan air corridor is vital for Indian airlines, especially for westbound flights from northern cities like Delhi to Europe, the Middle East, Central Asia, and even to the US.

Consequently, the closure has forced airlines to reroute their flight paths, thereby extending travel time and necessitating technical stopovers.

‘Thorough assessment’

Speaking to businessline, sources in the newly-formed committee said that feedback on potential losses has been received from various airlines.

“They (airlines) have given very rough figures on potential losses that they might face if the closure continues for an extended period of time,” sources in the committee said.

Last week, Union Civil Aviation Minister Ram Mohan Naidu had asked airlines to work out a “thorough assessment” of the impact, if the airspace closure continues for six months or one year, and identify the routes that are affected.

As per industry sources, airlines have suggested several measures, such as alternate routes over the Chinese airspace.

Until now, the Directorate General of Civil Aviation has relaxed the crew rest guidelines for ultra-long-haul flights, thereby giving some relief to airlines.

$600-m loss

On its part, Air India has estimated that if the airspace remains closed for a year, it may face a hit of $600 million, and government’s subsidies will be required.

Meanwhile, the Centre has instructed airlines to bolster passenger “amenities as well as handling protocols” with immediate effect to shield flyers from the fallout of the airspace closure.

Published on May 4, 2025

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