Adani Airports calls for easing seat caps on foreign airlines

Hyderabad: Adani Airports on Wednesday ‍urged India to ease limits on how many seats foreign ⁠airlines can sell on flights to and from the country, saying the curbs are holding back its ambition to ‌become a ‌global aviation hub.

The limits, part of bilateral air service agreements, are ‌designed to protect domestic airlines, but have long been a source of frustration for overseas carriers. Dubai's Emirates, for example, has said demand was much higher than the weekly seat caps under the India-UAE bilateral agreement.

"In the short term, ‌growth in ‍Indian aviation is constrained by bilateral ‍agreements," Adani Airports Chief Executive Arun Bansal ‌said during a panel discussion at an Indian air show in Hyderabad.


"For India to become a hub, we need an open skies approach."

An Indian government spokesperson did not immediately respond to a request for comment.

India is the world's ‍fastest-growing aviation market. Adani Airports, part of billionaire Gautam Adani's group, operates eight ‍airports, and ⁠has plans to ⁠bid for 11 more as part of its $11 billion expansion strategy.

Indian airlines, including market leader IndiGo, have backed the government's decision to maintain seat caps, arguing that a rapid liberalisation of bilateral deals could undermine domestic carriers that are still expanding their fleets.