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Odisha wants international flights to Bangkok, S’pore, offers subsidy

Tue, 05th Jul 2016 (Source:The Financial Express)

The Odisha government has invited expressions of interest (EoI) from international flight operators to introduce flights from Biju Patnaik International Airport in Bhubaneswar to destinations like Singapore, Bangkok or Kuala Lumpur.

The Odisha government, which has recently reduced the sales tax on aviation turbine fuel (ATF) to zero-level for direct international flights, is proposing reasonable viability gap funding (VGF) in form of subsidy grant.

“The state government has decided to dole out subsidy to international flight operators to introduce direct flights to Singapore/ Bangkok /Kuala Lumpur,” a source in the state government told FE. The EoI would invite quotes from the international flight operators regarding the subsidy they expect from the state government to launch direct flights to these South Asian countries, the source added.

The state government invites the airline operators to have at least two or three flights a week from Bhubaneswar. Since most of the flights fly from Singapore to major airports in Europe, West Asia, South East Asian nations and American countries, and leave Changi Airport at Singapore in the forenoon, the flights from Bhubaneswar may start around midnight so as to reach Singapore early in the morning.

Airlines like Silk Air and Tiger Air have expressed their interest to fly international flights from the airport at Bhubaneswar.

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