Tata Bids to Buy Air India: The process of selling the state-owned airline company Air India, buried under massive debt, is going on. According to information received from sources, Tata has bid for Air India. Let us tell you that Aviation Minister Jyotiraditya Scindia had clarified that the last date of 15 September would not be changed.
The government was earlier preparing to sell a 76 per cent stake in Air India in 2018, but at that time, no buyer was found for it, and then the exercise of selling it completely was started. Air India has a total debt of Rs 43 thousand crores. Out of this, 22 thousand crore rupees will be transferred to Air India Asset Holding Limited.
Tata Bids to Buy Air India
If sources are believed, Air India has a total debt of Rs 43 thousand crores, and this entire loan is on a government guarantee. If Tata wins the bid, it will get ownership rights in Air India. The government will bear this debt before giving ownership of the airlines to the new company.
What is the government’s plan regarding Air India?
The central government is working on a plan to sell a 100 per cent stake in Air India and it’s subsidiary Air India Express. There is also a plan of 50 per cent disinvestment in ground handling company Air India Sats Airport Services Private Limited. There are also plans to sell Air India Building in Mumbai and the Airlines House in Delhi.
If not sold, then Air India will be closed!
In response to a question in Parliament, the government had told that if Air India is not privatised, it will have to be closed. Where will the funds for its operations come from? At present, Air India is a first-class asset. In such a situation, it will be readily available to buyers. On the other hand, the employees union of Air India is opposing the disinvestment proposal of the company. Employees are afraid of losing their jobs.
What is Tata’s connection with Air India?
Industrialist JRD Tata founded air India. But at that time, its name was not Air India. Then its name used to be Tata Airlines. Tata Airlines was started in 1932, but JRD Tata first flew an aeroplane in 1919 when he was only 15 years old.
Then he got his pilot’s license. But the first commercial flight he took on October 15 was when he took a single-engined ‘Haviland Puss Moth’ plane from Karachi to Mumbai via Ahmedabad.
Initially, Tata Airlines operated from a mud house near Juhu, Mumbai. A ground there was used as a ‘runway’. Whenever it rained, or monsoon came, this ground used to be filled with water. At that time, ‘Tata Airlines’ used to have two small single-engine planes, two pilots and three mechanics. JRD Tata used to operate his aircraft from Poona in case of waterlogging.
The year 1933 was the first business year for Tata Airlines. Tata Sons, a company established at two lakhs, flew 155 passengers and about 11 tonnes of mail in the same year. In a single year, Tata Airlines ships flew a total of 160,000 miles.