Financial crisis blamed for drop in flight operations in AP

Mekapati Goutham Reddy said international flights between Singapore and Vijayawada were discontinued from June 30 to ensure competitive realisation of rates amongst airlines.
Image used for representational purpose only.
Image used for representational purpose only.

VIJAYAWADA:   Admitting flight operations within the State and also to metro cities have reduced, Industries and Commerce Minister Mekapati Goutham Reddy cited financial slump in the aviation industry, pushing operators to prefer more economically viable routes, as the reason. 

Replying to a question in the Legislative Assembly on Tuesday, the minister said international flights between Singapore and Vijayawada were discontinued from June 30 to ensure competitive realisation of rates amongst airlines. The previous government had entered into an agreement with IndiGo to pay the latter Rs 3.50 crore per week towards viable gap funding, he explained.

Adding Alliance Air curtailed its operations between Vijayawada, Vizag and Tirupati quoting losses, he announced the government was going to hold a meet with the service providers to enhance connectivity.
The minister also mentioned that services between the above-mentioned cities would be restored soon, and that more flight operations from Kurnool and Puttaparthi would begin.

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