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Goa Eyes Tourism Boost with New Airline Incentives
18 Jan
Summary
- Goa government allocated ₹2 crore annually for airline incentives.
- Airlines get ₹2 lakh per new flight to Goa, ₹10 lakh for five.
- Lower VAT on aviation fuel also offered to carriers.
The Goa government has introduced a significant airline incentive scheme, allocating an annual budget of ₹2 crore to enhance air connectivity and stimulate tourism. This program offers financial rewards to airlines for establishing new routes or increasing flight frequencies to the state. Under the scheme, carriers can receive ₹2 lakh for each new flight introduced to Goa, with a potential bonus of ₹10 lakh for bringing in five new flights.
To further support airlines, Goa has also reduced the effective cost of aviation turbine fuel by lowering the VAT rate from 18% to 15%, with the government covering the difference. Chief Minister Pramod Sawant emphasized that this policy is a crucial step for the state's tourism sector, highlighting the necessity of robust airport infrastructure. The upcoming cruise terminal at Mormugao is also expected to drive passenger traffic to the Dabolim airport.
Recent data indicates robust activity, with Goa handling 1,970 flights and over 92,000 passenger movements between March and December 2024. New international routes to Uzbekistan, Poland, Russia, and the UK have commenced, and regional carrier Fly91 is expanding its operations. The government assured that Dabolim airport will continue its operations amidst these developments.
