Foreign Trade Policy 2004-09- Annual Supplement 2006
9. AVIATION SECTOR
Supplies of stores (food, beverages and other supplies) and refueling of long distance flights has emerged as a big business opportunity. Currently, most airlines replenish supplies or refuel at Thailand, Malaysia or Singapore. Since these supplies were not treated as exports in India and the suppliers could not obtain the duty neutralisation benefits available to other export products the store supplies from India were not competitive enough. We have decided to treat such supplies on an equal footing with other exports, qualifying for benefits under various Export Promotion Schemes. This will hopefully enable India to offer competitive fuel prices and will attract mid route stops of the international flights.
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