Tarun Karthick
Sri Vijaya Puram, 31 May 2025
The Andaman Association of Tour Operators (AATO) has welcomed the Airports Authority of India’s (AAI) recent announcement of significant incentives aimed at enhancing international air connectivity from Sri Vijaya Puram Airport in the Andaman and Nicobar Islands.
As per the new incentive scheme, AAI will completely waive the User Development Fee (UDF) for international flights in the first year of operations. This will be followed by an 85% concession in the second year and a 65% concession in the third year. The initiative is expected to reduce operating costs by approximately ₹1.5 lakh per international flight, making the islands a more attractive destination for global carriers.
AATO President Mr. M. Vinod expressed gratitude to the Hon’ble Lieutenant Governor of the Andaman and Nicobar Islands, Member of Parliament Mr. Bishnu Pada Ray, the Chief Secretary, Secretary (Civil Aviation), Director of Civil Aviation, and the Airport Director of Sri Vijaya Puram Airport for their collaborative efforts in improving the region’s aviation infrastructure.
Mr.Vinod also extended thanks to Air Marshal Saju Balakrishnan, PVSM, AVSM, VM, Commander-in-Chief of the Andaman and Nicobar Command (CINCAN), for his support and encouraging stance on enhancing the aviation sector in the islands.
He highlighted that a delegation from AATO had recently met with the Hon’ble Lieutenant Governor and the CINCAN to advocate for concrete measures to incentivize international airlines. The latest developments, including the Ministry of Defence’s in-principle approval for waiving landing charges and the ongoing VAT exemption on Aviation Turbine Fuel (ATF), were described by Mr. Vinod as forming a “comprehensive support system” for international operations.
AATO believes these incentives will significantly bolster the islands’ prospects in tourism, trade, and investment, helping to integrate the Andaman and Nicobar Islands more closely with the global economy.