Uncertainty over Tata Singapore Airlines JV operations in India has ended with the civil aviation authorities granting a No Objection Certificate (NOC) and the launch date for the operations being readied for October this year. The Tata- SIA venture is already armed with approvals from the home ministry and the Foreign Investment Promotion Board (FIPB).
The launch is set for October, the most profitable month for airlines in India as the festival season starts with the Dushera and ends with Christmas. Tata SIA will compete with Air India, Jet Airways and budget airlines such as Spice Jet, IndiGo and GoAir in the domestic skies.
The US $ 109 billion Tata Sons is the holding company in the JV with Singapore Airlines with an equity stake of 51 per cent and SIA holding the remaining. The JV’s initial investment is put at US $ 100 million.