APROPOS the report ‘Open Skies policy caused Rs 107 billion loss in a single year, Senate told (Feb 8). The Minister for Aviation, Ghulam Dastagir Khan, has aptly pointed out the one major cause of what ails the national airline and hampers the growth of private sector carriers.

The open skies policy needs immediate revision. It has no element of true reciprocity, making it inherently opposed to Pakistani stakeholders, as is seen in PIA. The reciprocity at present is one destination on the other side and six destinations on this side. And all of it with full freedom. This is why foreign carriers are minting money in a market which should be the primary access to Pakistani carriers, even in these days when fair competition is given the status of a holy cow. That is not all. The country’s Civil Aviation Authority is strict and unaccommodating with Pakistani carriers while it turns a blind eye to the foreign carriers’ sins of omission and commission.

Many foreign airlines, particularly those of Middle Eastern countries, are notorious for evading aircraft parking fees and remitting their rupee earnings in dollars, apparently all of which is tax-free. All of this is being done when it is an established international norm for host countries to impose reasonable terms to protect their national interests.

The open skies policy should be rescinded forthwith and foreign carriers directed to pay income tax and parking fees with retrospective effect.

Syed I. R. Kazimi
Karachi

Published in Dawn, February 23rd, 2020