Escape Route for Air India

It is common refrain that PSUs are being sold off by the Centre was not to be heard when Air India was sold to Tata. The Tata Group, the founders of Air India, the last national carrier to be put up for sale in the last few years, may be the last to arrive. Air India, which was incurring a daily loss of Rs 20 crore, had in every sense become a huge burden to the Central Government. The new concept is that business ventures, including airlines, should not be under the control of the government. One of the main reasons for the decline of Air India, the national carrier, is the fraud, waste and mismanagement that naturally occur when it becomes a government company. The company, which had gone ahead with no accountability in any way, was on a natural decline. Air India, once a monopoly in the country, has lost its wings due to mismanagement. The Centre decided to sell it after it was mired in a debt of over Rs 61,000 crore. When no one came forward to take over the completely defunct company, the sale terms were significantly reduced and Tata-owned Tallas Pvt Ltd was bought for Rs 18,000 crore.

When Air India returns to the Tata Group, which manufactures everything from scratch, they will not have to worry much about regaining their lost glory. Infinite opportunities await them. There is no doubt that the company will make progress if it is able to meet the increased demand of air travellers. When the Tata Group's airline first came into existence in the country, many viewed it with suspicion. But after two years of operation, the company was able to make profit.

Air India, which has all the facilities required to operate smooth domestic and international flights, will not have to worry much about growing profitably. There is no doubt that Tatagroup's experience and business expertise go hand in hand.

The sale of Air India also makes it clear that no matter how big the burden on the government, it does not make sense to insist that the PSUs should remain. It is certain that 12,000 Air India employees will not be laid off in the first year. After that they can resign e yourself with all the benefits. The Center will continue to provide the benefits currently available to retired employees.

Air India is an airline that has gifted a lot of bitter experiences to expatriates in Kerala. They are the ones who have suffered the most from massive exploitation. In the seventies, eighties and nineties, Air India was the only means of transportation for the Malayalee expats. This monopoly was really utilised by Air India. Malayalee travellers who wish to forget past experiences are expecting to see a new horizon.