Canada and India have reached an agreement to liberalize the countries' current bilateral air transport agreement, allowing a fivefold increase in passenger flights between the two countries.
Canadian Transport Minister Jean-C Lapierre made the announcement in Ottawa yesterday.
"This new arrangement will allow airlines of Canada and India to better meet the needs of the traveling public, including the business community and reflects a shared commitment to improved air services in passenger air services between the two countries," Lapierre said.
Under the agreement, weekly capacity for passenger services will increase approximately fivefold to 35 roundtrip flights per week for each country. Each country can designate as many air carriers as it wishes for flights between Canada and India.
It also provides for airlines of both countries to take advantage of the news code share provisions whereby an airline sells seats in its name on the flights of
Previously Canadian airlines flying to India could access only Delhi and Mumbai whereas Indian airlines could come only to Montreal and Toronto.
Under the new agreement, Canadian airlines can also access the cities of Bangalore, Chennai, Hyderabad and Kolkata. On the other hand Indian airlines will able to fly to Edmonton, Vancouver and two other cities in Canada to be named by India, besides Montreal and Toronto.
"This agreement will help facilitate our rapidly growing commercial and scientific ties with India," commented Jim Peterson, Minister for International Trade. He noted that the extended air services would also spur tourism and cultural exchanges that will benefit both countries.
The promotion of trade and investment by both countries has resulted in a record merchandize bilateral trade valued at $2.45 billion, reflecting a trade relationship that ahs grown over 60 percent over the past five years.