The Minister Civil Aviation told the Parliament today that only 9 flights out 370 flights daily of Air India, are profitable. All other flights are causing loss.
The minister also stated that Air India is posting loss for the last three years. The loss in 2011-12 was Rs. 7559.7 crore, in 2012-13 Rs. 5490.2 crore and in 2013-14 Rs. 5388.8 crore. the Minister also told that as on 31 October, Air India has a total loan of Rs. 52237 crores out of which Rs. 23,358 crore is aircraft loan and Rs. 28,879 crore working capital loan.
Both the Congress and BJP will be very happy. Both the UPA and NDA governments together have been able to make the profitable Air India to a loss making PSU. The Air India – Indian Airlines Merger with out any sustainable plan, purchasing of large number of planes without any requirement, handing over routes to foreign companies, handing over profitable domestic routes to private airlines , scheduling AI flights immediately after the schedule of private air lines, high rent charges to the private airports, mismanagement and of course the policy decisions against PSUs – all these have pushed the Air India in to big loss. The government might have already started thinking about closing or privatising the Air India as is its policy. This has to be defeated and the Air India saved.