Tata Group Airlines: Tata's request, the government should do just this for Air India Express-AirAsia India

Since acquiring Air India, the Tata Group has been working towards integrating its aviation business. In such a situation, now Tata has made a request to the aviation regulator regarding Air India Express and AirAsia India, which should make the work of these two companies easier before the merger.

Tata Group is trying to bring its entire aviation business under the 'Air India' brand. In this, Air India Express and AirAsia India are to be merged for low-cost air fair airlines. But before that, the group wants Aviation to accept some of its requests, so that it does not face any problem in running the business. Now what is the demand of Tata Group…

In fact, the merger of Air India Express and AirAsia India may take some more time. For this, permission has been received from the Competition Commission of India, but it is yet to get its approval from the Registrar of Companies and the National Company Law Tribunal (NCLT).

Tata's request to DGCA

Tata Group wants that for Air India Express and AirAsia India, it should be allowed to sell pilots, cabin crew and tickets of both the companies as a single company. On getting such permission, Tata Group will be allowed to properly plan the routes of both airlines, advertise and sell tickets like a single company. This will improve its operations, as well as reduce the cost of running the airlines.

Its biggest benefit to the group will be regarding the planning of routes. At the same time, the company will also be able to use its common network properly. However, no statement has been given by Air India on this issue yet. Air India Express and AirAsia India will challenge Indigo after the merger. At the same time, the company is also going to merge Vistara with Air India.

If not approved then this is the option

If Tata Group does not get this permission from DGCA for both the companies, then both the companies can enter into a code sharing agreement with each other. Airlines all over the world make this kind of agreement. However, this will be unique in the case of Tata Group, as it will be a code sharing agreement between the two companies of the same group. Due to this agreement, the companies will be able to share the deal of seat availability among themselves.

Currently, both the airlines operate on separate air operator permits. Their integration will be possible only after getting permission from NCLT and Registrar of Companies. After this, both the companies will be able to work like a brand.