January 9, 2016 6:24 PM

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Centre urges all states to bring down aviation turbine fuel tax

Union Civil Aviation Minister Ashok Gajapathi Raju has urged all states to bring down aviation turbine fuel tax to boost the civil aviation industry.<br/><br/>Talking to media persons in Tiruchirapalli on Saurday, he said that Tamil Nadu is levying 29 per cent as ATF tax and this should be reduced.<br/><br/>He said that there are 31 airports in the country which are nonfunctional and these have to be revived.<br/><br/>The Union Minister hoped that Air India will resurge from losses as it is expecting Rs 6 crore profit this year.<br/><br/>AIR correspondent reports, the main impediment to the expansion of airports in the country is availability of land.<br/><br/>There are only three modern airports in the country with parallel runways in Delhi Bangalore and Hyderabad.<br/><br/>The Union Minister has called for more modern airports in the western and eastern sectors for the growth of civil aviation sector.<br/><br/>Each runway should be atleast one and a half kilometers away and so more land is needed for parallel runways.<br/><br/>The Union Minister said that new civil aviation policy is on the anvil.<br/><br/>The thrust will be to bring back Maintenance Repair Overhauling to India under the Make in India policy.<br/><br/>At present many airlines are going for MRO in foreign countries like Sri Lanka.<br/><br/>If service tax is waived then we can attract this maintenance of airlines business worth 700 million dollars back to India.

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