U.S., India start “open skies” talks

U.S., India start “open skies” talks

U.S., India start “open skies” talks

   U.S. Transportation Secretary Norman Mineta Thursday started “open skies” talks with India’s Civil Aviation Minister Praful Patel in an effort to replace the current, nearly half-century-old aviation agreement between the two countries.

   According to Mineta the value of trade between the United States and India totaled $18 billion in 2003, a 13.5 percent increase over 2002, and was growing at an even faster pace in 2004.

   “Our goal is to do more than shake the cobwebs off a half-century-old agreement. We seek to usher in a new era where consumers, rather than governments, determine what markets air carriers serve and what fare and service options they provide,” Mineta said

   The agreement between the two countries, dating back to 1956, restricts the number of airlines that can fly between the countries, cities that can be served, the frequency of service and pricing. Open skies agreements permit unrestricted service by the airlines of each side to, from and beyond the other’s territory, without restrictions on how often carriers fly, the kind of aircraft they use and the prices they charge.

   The Department of Transport states that the United States has 66 “open skies” relationships around the world.    The most recent being the agreement reached with Uruguay in October last year.