An example of liberalism is evident in the presentation by India to International Civil Aviation Organisation (ICAO). The executive summary highlights the initiatives taken by India in the recent past for the enhanced air connectivity to various international destinations within India by following a liberal policy in the bilateral air services negotiation, and easing the operation of tourist charter flights coupled with the deregulation of legal regime in filing for and the approval of tariffs. (ICAO Working Paper A36-WP/142 EC/22, 2007 Executive Summary, p. 1) Currently India has bilateral ASA with 100 countries and 67 foreign airlines from 50 countries with the addition of 7 all cargo airlines that are operating services to and from India. The initiatives taken by India to adopt a very liberal policy in exchange for tariff rights can be briefly summarised as follows; -India has adopted the ICAO template on bilateral ASA -Existing agreements being reviewed to allow for ‘multiple designation” and agreed to with 52 countries. -Allowing significantly more private owned Indian carriers permission to operate scheduled services on international routes. -A liberal bilateral policy open to Association of South East Asian Nations (ASEAN) countries to operate seven flights per week to four metros (Delhi, Mumbai, Calcutta, and Chennai) and unlimited access to 18 tourist destinations. The restrictions on the amount of airlines have also been removed. - For South Asia Association for Regional Cooperation (SAARC) members a near open skies regime allowing for their designated airlines 7 flights per week to 6 metros (Delhi, Mumbai, Calcutta, Chennai, Hyderabad and Bangalore) and unlimited capacity to eighteen tourist destinations. Additionally there is no restriction on the number of airlines which can operate to each others territory. - Open skies between India and the USA with unlimited capacity with any intermediate or beyond point. - Open skies for cargo flights to/from any destinations. Apart from the liberalisation of the bilateral Air Service Agreements additional measures have also been introduced: -The tourist charter guidelines have been liberalised allowing Indian passport holders to travel by charter flights and also dispensing with the requirement of mandatory foreign exchange spending in India -A unilateral open sky policy during November to March since 2000 whereby foreign airlines can operate as much additional capacity as they wish to cater for the seasonal demand -The tariff regime has been completely deregulated leaving the determination of fares and rates to the market forces. - The merging of “Air India” and “Indian” state owned airlines so as to fully leverage the assets, capabilities and infrastructure available with the two existing airlines. The above mentioned has seen an increase in passenger numbers from 41,080 seats per week in 2004 to 74,500 seats per week for 2006. (ICAO Working Paper A36-WP/142 EC/22, 2007, p. 3) India is currently witnessing an economic boom and infrastructure associated by air transport requires immediate attention. Domestic passenger growth in 2006 alone had increased by 46% and international traffic had increased by 16%. (ICAO Working Paper A36-WP/142 EC/22, 2007, p. 2) To reduce congestion India is entering into Public Private Partnerships to upgrade 35 existing airports and develop Greenfield international airports at Bangalore and Hyderabad. The above mentioned has been carried out with an impeccable safety record. There has been no major aircraft accident in scheduled air transport during the previous three years to when the working paper was published on the 6th September 2007.
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