21st April, 2003
Ministry of Civil Aviation  


GROUND HANDLING AT THE AIRPORTS


LOK SABHA

On account of security considerations and in order to streamline the policy on ground handling services so as to achieve world class standards and to minimize the number of agencies performing ground handling operations at airports, the Government has taken a decision to suitably revise the Airports Authority of India (General Management, Entry for Ground Handling Services) Regulation, 2000 and to provide a system by 1st July, 2003, wherein only Air India Limited, Indian Airlines Limited and Airports Authority of India will form separate companies, having a minimum of 51 per cent share holding either directly or though their subsidiaries in the joint venture with an international operator or foreign airlines, subject to security clearance from the Government. No ‘self-handling’ by any of the airlines or their subsidiaries or agencies will be allowed. Pending formation of separate companies, Air India and Indian Airlines will directly provide ground handling services beyond 30 June 2003.

Formation of subsidiary/joint venture companies will enable Indian Airlines, Air India and Airports Authority of India to meet additional responsibilities.

Decision with regard to requirement of manpower, if any, will be decided by concerned subsidiary/joint venture companies at an appropriate time.

This information was given by the Minister of State for Civil Aviation Shri Shripad Yesso Naik in a written reply in Lok Sabha today.