Question : Expansion of Air Cargo Hubs

(a) whether the Government has any plan to expand and modernise air cargo hubs in the country; if so, the details thereof;

(b) the details of air cargo hubs which have been modernised so far in the country during the last three years;

(c) whether legislative and scheme-related steps have been taken to operationalise the National Air Cargo Policy unveiled last year and if so, the details thereof;

(d) whether despite India’s cargo/freight market growth, Indian carriers are not beneficiaries of this growth but rather other carriers from Europe and Asia; and

(e) the steps being taken in this regard for the benefit of this growing sector?

The Minister of State (IC) in the Ministry of CIVIL AVIATION
(Shri Hardeep Singh Puri)

(a) to (c): The development of air cargo hub depends, inter alia, on various factors such as airline connectivity, capacity and network, airport infrastructure, regulatory regime, customers and regional needs, and airline/airport operators choices regarding hubs based on their commercial and other considerations. Para 20 of the National Civil Aviation Policy (NCAP) 2016 read with the National Air Cargo Policy (NACP) Outline 2019 released in January 2019 provide the policy enablers and measures for the development of India as a global transit and transshipment hub. These also promote efficient flow of goods across India for development of regional and State air cargo hubs which could act as gateways for the regions and States connected by domestic trade corridors to production or logistics hubs across the country. In order to operationalise various provisions of the NACP Outline 2019, a number of measures have been taken, including circulation of the Krishi Udaan Scheme to all concerned Ministries/ Departments on 10 September 2020. ;

In the last three years, airline and airport operators and other air freight stakeholders have consistently enhanced and modernised their assets, infrastructure and networks and infrastructure respectively, even as simplified regulatory measures and digitalisation have improved end-to-end operational efficiencies.;;

(d) & (e): The Open Sky Policy for foreign cargo carriers promulgated in 1992 has been reviewed and on 17 September 2020 the Director General of Civil Aviation (DGCA) has announced some changes with a view to ensure fair and equal opportunity in the air cargo capacity offered by India-registered airlines and airlines registered elsewhere. It has also been provided that Indian operators facing any systemic and non-systemic discriminatory and restrictive practices and/or regulatory impediments in operating international air cargo flights in any foreign countries may bring such issues to the knowledge of DGCA for further suitable action. Separately, under the Krishi Udaan Scheme increase in the share of Indian carriers in the international movement of all types of cargo from the current 20% to at least 50% by 2026-27 is envisaged.