TMI BlogReview of Foreign Direct Investment (FDI) policy on Civil AviationX X X X Extracts X X X X X X X X Extracts X X X X ..... line (b) Regional Air Transport Service 100% Automatic up to 49% (Automatic up to 100% for NRIs) Government route beyond 49% (2) Non-Scheduled Air Transport Services 100% Automatic (3) Helicopter services/seaplane services requiring DGCA approval 100% Automatic 5.2.9.3 Other services under Civil Aviation sector Sector/Activity % of Equity/ FDI cap Entry Route (1) Ground Handling Services subject to sectoral regulations and security clearance 100% Automatic (2) Maintenance and Repair organizations; flying training institutes; and technical training institutions. 100% Automatic Definitions: The Civil Aviation sector includes Airports, Scheduled and Non-Scheduled ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pecified by the Central Government to be a part of either ramp handling or traffic handling. Other Conditions (a) Air Transport Services would include Domestic Scheduled Passenger Airlines, Non-Scheduled Air Transport Services, helicopter and seaplane services. (b) Foreign airlines are allowed to participate in the equity of companies operating Cargo airlines, helicopter and seaplane services, as per the limits and entry routes mentioned above. (c) Foreign airlines are also allowed to invest in the capital of Indian companies, operating scheduled and non-scheduled air transport services, up to the limit of 49% of their paid-up capital. Such investment would be subject to the following conditions: (i) It would be made under the Government approval route. (ii) The 49% limit will subsume FDI and FPI investment. (iii) The investments so made would need to comply with the relevant regulations of SEBI, such as the Issue of Capital and Disclosure Requirements ('CDR) Regulations/Substantial Acquisition of Shares and Takeovers (SAST) Regulations, as well as other applicable rules and regulations. (iv) A Sch ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Domestic Scheduled Passenger Airline (b) Regional Air Transport Service 100% Automatic up to 49% (Automatic up to 100% for NRIs) Government route beyond 49% (2) Non-Scheduled Air Transport Services 100% Automatic (3) HeIicopter services/seaplane services requiring DGCA approval 100% Automatic *As per Schedule Xl of Aircraft Rules, 1937, Air Operator Certificate to operate Scheduled air transport services (including Domestic Scheduled Passenger Airline or Regional Air Transport Service) may be granted to a company or a body corporate provided that: - (a) it is registered and has its principal place of business within India; (b) the Chairman and at least two-thirds of its Directors are citizens of India; and (c) its substantial ownership and effective control is vested in Indian nationals 5.2.9.3 Other services under Civil Aviation sector ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ecognizably systematic series, each flight being open to use by members of the public; (viii) Non-Scheduled air transport service means any service which is not a scheduled air transport service; (ix) Seaplane means an aeroplane capable normally of taking off from and alighting solely on water; (x) Ground Handling means (i) ramp handling, (ii) traffic handling both of which shall include the activities as specified by the Ministry of Civil Aviation through the Aeronautical Information Circulars from time to time, and (iii) any other activity specified by the Central Government to be a part of either ramp handling or traffic handling. Other Conditions (a) Air Transport Services would include Domestic Scheduled Passenger Airlines; Non-Scheduled Air Transport Services, helicopter and seaplane services. (b) Foreign airlines are allowed to participate in the equity of companies operating Cargo airlines, helicopter and seaplane services, as per the limits and entry routes mentioned above. (c) Foreign airlines are also allowed to invest in the capital of Indian companies, operating scheduled and non-scheduled ai ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
