India-China direct flights to resume this month, Pg1.

Key Highlights:

• Direct flights between India and China are set to resume by late October, in line with the winter schedule.
• IndiGo will introduce direct flights between Delhi and Guangzhou, and Kolkata-Guangzhou flights will open for sale on October 3.
• Prior to the pandemic in December 2019, there were 539 scheduled direct flights per month between the two nations, offering over 1.25 lakh seats.
• In 2019, Indian carriers IndiGo and Air India accounted for approximately 31% of the direct flights, while Chinese airlines operated the remaining 70%.

Detailed Insights:

• Discussions regarding the resumption of direct air services and a revised Air Services Agreement have been ongoing between Indian and Chinese civil aviation authorities since earlier this year.
• The resumption of flights follows agreements made during Chinese Foreign Minister Wang Yi’s visit to New Delhi in August, which included facilitating visas for tourists, businesses, media, and other visitors.
• Passenger traffic between India and China is currently less than half of 2019 levels and is primarily served by airlines from Southeast Asian countries via connecting hubs.
• While Chinese carriers held a dominant share of the direct market before the pandemic, privatized Air India and expanding IndiGo are expected to increase competition.

Key Concepts Involved:

• Air Services Agreement: A bilateral agreement authorizing international air services between two countries.
• Winter Schedule: A set of flight schedules that airlines operate during the winter season, typically starting in late October.