New destination

New Delhi, April 6: Jet Airways and Air Sahara are likely to be allowed to fly to the Gulf from January next year.

The government had earlier imposed a three-year ban on private airlines flying to the lucrative Gulf sector to help Air-India and Indian Airlines recoup the losses they suffer from time to time in ferrying Indians home from calamity-hit areas or from war-torn regions.

This ban ends in December this year. Civil aviation ministry officials said it was unlikely to be renewed, leaving the sector open to Jet and Sahara, the two private airlines that fulfil the experience criteria set by the Indian government to fly abroad.

The government had allowed private airlines with more than five years of domestic operations to start overseas flights in 2005. The Gulf is seen as one of the most lucrative markets for Indian carriers with a large number of migrant workers travelling to and fro and others using the region to travel to European and African destinations.

The average seat factor or the percentage of seats filled by airlines flying on this sector is usually between 70 and 80 per cent. The West Asian market far surpassed any other part of the world in attracting international passengers, registering a growth of 18 per cent.

The Indian private airline industry, which is going through a difficult phase financially, would naturally be happy with the move as it could bolster bottomline figures.

Jet Airways suffered losses during the April-June 2006 quarter worth Rs 4.49 crore compared with a net income of Rs 95 crore in the previous year’s corresponding quarter.