Aviation industry M&A's spark concerns about impact on consumers

New Delhi: With the Indian aviation industry moving into the consolidation phase in earnest, and with all low-cost carriers (LCC) now potentially up for grabs by full service providers, the department of consumer affairs is asking questions regarding the impact of such mergers on consumers.

According to government officials, the department will send a note to the ministry of civil aviation, which will try and ensure that consumer interests are safeguarded.

Officials said that LCCs represent the empowerment of the Indian middle-class, and the department will ensure that they are not denied low fares, even if a low-cost carrier is acquired by a premium airline.

Apparently, a member of the parliamentary consultative committee, overseeing the department of consumer affairs, raised the issue. The member has asked the department to convene a meeting of the consultative committee to take up the issue, which is now likely to be convened early next week.

The note to be sent to the civil aviation ministry shall be drafted according to the discussions that take place at the meeting.