KERALA- Kannur International Airport (CNN), facing financial difficulties, is actively considering the option of transferring its management to the renowned Tata Group, while Adani Airports are also interested in business.
As part of its privatization efforts, the airport aims to sell its operations to the Tata Group, which has shown keen interest in taking over.
Tata or Adani Might Takeover Kannur Airport
Kannur International Airport Limited (KIAL) employees have endured a two-month delay in receiving their salaries. Subsequently, due to the challenges faced by the airport.
Currently, only a limited number of international flights are permitted to operate from Kannur. Further leading to reduced passenger traffic. Moreover, domestic airlines operating at the airport have increased their fare prices. Additionally, impacting passenger numbers.
Air India Express (IX) and IndiGo (6E) are the only airlines providing services at Kannur Airport. Further, the initial loan taken for the airport’s construction amounted to ₹2,350 crores. But it has now escalated to ₹1,100 crores, including accumulated interest.
Additionally, the loan repayment period has already expired. Further, adding to the financial strain faced by the airport.
In a bid to overcome financial challenges and ensure the sustainable growth of Kannur Airport, the management is actively exploring privatization options.
The possibility of transferring management to the Tata Group presents an opportunity to leverage their expertise and resources in the aviation sector. This move could potentially bring stability. Also, the long-term success of Kannur International Airport.
Following the successful takeover of Thiruvananthapuram Airport, the Adani Group has also expressed interest in the privatization of Kannur Airport.
The Adani Group’s extensive experience in managing airports and infrastructure projects makes them a strong contender for the management transfer. Their involvement could contribute to the revitalization of Kannur Airport. Further, enhance its operational efficiency.
Looking Ahead: A Path to Financial Recovery
With the possibility of management transfer to the Tata Group or the Adani Group, Kannur International Airport anticipates a positive trajectory toward financial recovery and operational stability.
The privatization efforts aim to secure a sustainable future for the airport. Subsequently ensuring uninterrupted services and opportunities for growth in the aviation sector.
Kannur Airport seeks to overcome its financial challenges by exploring these strategic partnerships. Subsequently, position itself as a thriving hub for air travel, benefiting the local community, passengers, and the overall aviation industry.
Haj Flights from Kannur and Kozhikode
From June 4th, Air India Express (IX) commence its Haj flights from Kannur and Kozhikode. Further, the airline announced in a press release on Friday that the Haj charters will be conducted in two phases.
During the initial phase, there will be 44 flights from Kozhikode and 13 flights from Kannur to Jeddah. Subsequently, with a planned capacity to transport 8,236 Haj passengers.
During the second phase, Air India Express will conduct 44 flights from Medina to Kozhikode and 13 flights from Medina to Kannur for the Haj operations.
According to the press statement, this is the airline’s first time providing Haj services in these cities in Kerala. Following its successful bid in the government tender.
As per the statement, the airline has implemented a system of color-coded pouches for elderly pilgrims to carry their boarding passes, along with brightly colored luggage tags.
Additionally, the airline will be responsible for transporting Zam Zam water on the return ferry flights. Subsequently, storing it at Kozhikode and Kannur airports.
Upon reaching their destination, each pilgrim will be provided with a 5-liter can of Zam Zam water, as stated in the release.
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