Piyush Goyal, Rammohan Naidu discuss key areas of collaboration to boost trade-linked connectivity
New Delhi, May 19
Union Commerce and Industry Minister Piyush Goyal on Tuesday held a meeting with Union Civil Aviation Minister Rammohan Naidu Kinjarapu to discuss key areas of collaboration aimed at improving connectivity, enhancing logistics efficiency and strengthening seamless mobility.
Sharing details about the meeting in a social media post, Goyal said the discussions focused on strengthening coordination between the commerce and civil aviation sectors to support India's growing trade ecosystem.
"Met with the Union Minister of Civil Aviation @RamMNK today. Discussed key areas of collaboration to boost connectivity, enhance logistics efficiency, and strengthen seamless mobility to support India's expanding trade ecosystem," Goyal said in a post on X.
The meeting comes at a time when India's aviation sector is facing increasing operational and financial pressure due to supply constraints caused by the West Asia conflict.
Indian airlines are currently dealing with sharp increases in Aviation Turbine Fuel (ATF) prices following the spike in global crude oil prices triggered by geopolitical tensions in the region.
The conflict has also disrupted normal flight operations as several airlines are being forced to avoid restricted airspaces and take longer alternate routes for international operations.
These diversions have increased fuel consumption and operational costs for carriers, adding pressure on airline profitability and flight schedules.
The aviation industry has been witnessing rising concerns over elevated operating expenses as ATF remains one of the biggest cost components for airlines.
The situation has also raised concerns regarding logistics costs and cargo movement, especially for international trade and export-linked sectors that depend on air connectivity.
— ANI
Reader Comments
This is exactly what India needs right now! The West Asia crisis has really hit our supply chains and airlines are struggling. Better coordination between commerce and aviation ministries can help reduce red tape. But I hope they also focus on boosting domestic air cargo infrastructure, especially in tier-2 cities like Nagpur and Lucknow.
Honestly, these meetings happen all the time. What matters is implementation on ground. Our logistics efficiency index is still poor. ATF taxes need to be reduced urgently - the central excise and state VAT together make up almost 40% of fuel cost. That's what's hurting our airlines, not just global crude prices.
As an Indian living abroad, it's encouraging to see India trying to improve trade connectivity. But I have to ask - how much of this is just talk? The article mentions supply constraints from West Asia but doesn't talk about alternative routes via Central Asia or Africa. India should invest in more bilateral air service agreements and reduce airport congestion at Mumbai and Delhi.
Good initiative but I have a concern - what about small exporters? They rely on air cargo for perishable goods like fruits, vegetables, and pharma products. If logistics costs keep rising, they'll get squeezed out. The government should also look at reviving sea-air routes via ports like Mundra or Vizag for cost-effective cargo movement. 🤔
This is a welcome step! Aviation and trade are deeply linked - better connectivity means faster exports and more global business. I hope they also consider digitizing customs and cargo clearances further. The ICEGATE system is good but still has glitches. Reducing paperwork and turnaround time at airports will really boost our Make in India and export
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.