Federation of Indian Airlines against granting permit to AirAsia

Federation of Indian Airlines (FIA) had written to DGCA for not granting Air Asia permit to start its operations as they fear stiff competition and complained that the new entrant will disrupt industry “equilibrium”. Air Asia India, the joint venture between the Tatas and Tony Fernandes plans to start operations sometime this year but it seems they will have hard time fighting with the rivals already operating in India.
DGCA is expected to take the final call soon for the grant of operational permit to Air Asia.