Kolkata Airport

Duty-Free Shops At 17 Indian Airports Exempted From Paying GST!

Last week we mentioned how international flyers will have to pay GST for duty-free shopping at the Delhi Airport. The Authority For Advanced Ruling(AAR) had announced that ‘Duty-Free’ shops at Delhi airport will have to pay Goods and Services Tax(GST).

But it seems for now, prices of perfumes, chocolates and tobacco sold at duty-free shops in Kolkata and 16 other international airports in the country will not be increased.

Flyers purchase liquor, perfumes and tobacco at duty-free shops as they get international brands at prices that are 30-40% lower than the market. If the AAR’s decision is implemented, the price of goods other than liquor will go up by 9-14%.

Duty-Free shops were exempted from giving Central Sales Tax(CST) and Value Added Tax(VAT) prior to GST, as sales from such shops were considered as exports and beyond the custom’s limit. However, the Delhi branch of AAR has now ruled that duty-free shops are within the territory of India and hence, subject to CGST. GST rate on chocolates and perfumes is 18% and tobacco is 28%.

Here are a few facts on duty-free shops in India:

  • Liquor sales account for 80% of the total sales at Duty-free shops in India.
  • Chocolates account for 10% of the total sales followed by cigarettes and perfumes that split the rest.
  • The duty-free market in India is valued at $200 million.
  • Sales for duty-free stores at Kolkata airport is the sixth largest in India.

Retailers and owners of duty-free shops at the airport hope that the AAR’s decision is not implemented as there won’t be any difference between a duty-free shop and a store located outside the airport. Sales will reduce at duty-free shops, and it will make no sense for retailers to pay huge rentals to do business at the airport.

If you want to know more about ‘Duty-Free’ shops at your airport, simply download the AirWhizz App. Get information about places to shop and other services available at the airport for you on the move.

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‘Duty-Free’ Shops Will Now Pay GST At Delhi International Airport!

International passengers will now have to pay goods and services tax on things bought from ‘Duty-Free’ shops at the Delhi International Airport. According to the Authority for Advanced Ruling(AAR) duty-free outlets at the Delhi Airport are not ‘free from duties’ under the current Goods and Services Tax regime.

Duty-free shops were exempted from Central Sales Tax (CST) and Value Added Tax (VAT) as the sale from such shops were considered as exports and beyond the limits of customs in India.

The AAR in a recent ruling said that the sales of goods to international passengers from “Duty-Free” shops may be taking place beyond the limits of the customs under Integrated GST Act, however, these outlets are within the territory of India under the Central GST Act.

The ruling was given by the AAR based on an application filed by Rod Retail Pvt Ltd which runs a retail outlet at Terminal 3 (International Departure) of Delhi International Airport.

Here are the highlights of the ruling –

  • The AAR said that, Rod Retail Private Ltd is within the territory of India under the Central GST Act,2017 and Customs Act, 1962
  • The Retailer is not taking goods out of India and hence their supply cannot be called ‘export’ under Integrated GST Act,2017
  • Accordingly, the shop is required to pay GST at the applicable rates

Many retailers and shop owners are not happy with this decision as they feel that ‘Duty-Free’ shops will no more be “free from duty”. This decision would bring duty-free shops at par with other shops located outside the airport even after paying a hefty rent to the airport authorities, offering no incentive for duty free shop owners.

If you want to know more about ‘Duty-Free’ shops at your airport, simply download the AirWhizz App. Get information about places to shop and other services available at the airport for you on the move.

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Fun at Bangalore Airport – A 10k Marathon on the Runway & A Plane Spotting Deck!

The Bangalore Airport, commonly known as the Kempegowda International Airport, has been an example of India’s growing infrastructure excellence. In fact, it was awarded the “Best Regional Airport in India and Central Asia” by SKYTRAX at the world airport awards in 2017.

To build on its reputation, the Bangalore airport has planned some interesting activities for you.

INDIA’S FIRST EVER RUNWAY RACE

Kempegowda International Airport (KIA) will organise a race called ‘Runway 10K’ on May 8th, 2018 to celebrate its 10th anniversary.

People above the age of 18 years have been asked to register for the event, which is said to be the first of its kind race to be held on an airport runway in India.

100 participants will be selected to take part in the run, which will be held between 12.45 p.m. and 2.30 p.m.

The event has already received registrations from 400 participants. The last date for registration is April 30th, 2018.

There would be no change in flight plans or schedules due to the event because May 8th falls on a Tuesday and the airport’s runway is incidentally closed every Tuesday between 12.30 p.m. and 3.00 p.m. for maintenance work.

People are looking forward to being associated with a run like this, because it has never happened before in India. This also gives KIA an opportunity to open up the airport to people other than airplane passengers as airports are restricted only to people who are travelling.

AIRPLANE SPOTTING AT THE AIRPORT

Kempegowda International Airport (KIA) will soon have a plane-spotting deck for the interested public.

For now, there is no permanent place for aircraft spotting. Interested people send an e-mail to airport officials and only after the permission is given, officials take them to suitable spots to watch the movement of flights. But in future, there are plans to set up a permanent plane-spotting deck, where people can watch airplanes.

Airplane spotters will need a valid government identity proof and will have to take permission for clicking photos and videos from airport officials to get access to the deck.

Aircraft spotting is a popular hobby amongst youngsters in European countries and airports like the Munich Airport have a dedicated spotting deck for passengers and visitors.

Bangalore based airplane spotters are looking forward to this idea being implemented and believe it’s a good initiative as several people are interested in watching airplanes and are inquisitive about how an aircraft lands and takes off. It is also a good opportunity for children to learn about how airplanes and airports function and will motivate them to become pilots in the future.

If you want to know more about the Bangalore airport, simply download the AirWhizz app. Get information on things to do at the Airport on your fingertips via the App itself and Fly Stress-Free!

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New Trial Plan To Ease Traffic Jams At Chennai Airport!

In a bid to ease traffic jams near the Chennai airport, the Airports Authority of India (AAI) will conduct a two-day trial of a new traffic pattern on Monday and Tuesday. There will be separate entry and exit points to the domestic and international terminals.

Passengers travelling to the Chennai airport on Monday and Tuesday afternoon, between 2 pm to 5 pm, will have to follow a new traffic route to reach the airport terminals.

The AAI wants to first try out a new traffic management system to handle airport traffic as a pilot and then implement it permanently if it is a success. A survey will be conducted during the trial period on the flow of vehicles.

This trial will help AAI understand how the traffic flow will work on the ground. The results of the survey will be analyzed to find out if any changes need to be done to the traffic pattern. The new traffic arrangement will be implemented in two weeks’ time if it’s a success.

Here are the changes that are going to be implemented for these 2 days –

  • The vehicles that come to domestic and international terminals will enter the airport using two entries
  • These entries will be routed via two new ramps that connect to the flyover in front of the terminals
  • Cars picking up passengers at the domestic terminal need not drive past the international terminal to exit the airport
  • An additional entry for the international terminal has been created for the vehicles coming from Tambaram.
  • All vehicles queuing up to drive down the flyover will have separate exit routes
  • AAI has set up new checkpoints at the three entry-exit points of the airport from GST Road
  • The roads inside the airport campus have been filled up with markings to guide cars to the parking lots in front of the domestic and international arrival halls on the ground floor.

The move was part of the original airport expansion plan and the ramps that link the road to the flyover in front of the terminals were ready a few months ago, but AAI wanted to wait till the metro station was completed and train services started. They also waited for the new toll booths to be installed according to the new traffic plan.

These toll booths are essential as they monitor the time each vehicle takes to enter and exit the airport. If a vehicle spends over 12 minutes inside the airport premises, then a parking fee must be paid. AAI hopes that the new pattern of vehicle flow will help reduce the complaint of cab drivers that they are not able to exit from the airport campus in less than 10 minutes due to congestion.

The congestions at the Chennai airport was caused by the 20,000 to 30,000 cars that it received every day. Hopefully, this pilot run will help in easing the traffic and will reduce delays and congestions at the airport once it is implemented in the future.

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Baggage That Requires Special Handling Will Be Charged A Fee At Dubai Airport!

If you find yourself traveling out of Dubai any time soon, make sure you pack some extra cash because a new fee has been introduced by Dubai National Air Transport Association(DNATA) at Dubai Airport.

So, if your luggage is not of the standard size & weight and if it requires special handling then you will have to pay more. The DNATA  Wednesday confirmed of this news and have announced that a new fee policy for ‘Out of Gauge’ has been implemented by Dubai airport.

Out of gauge or OOG baggage is the luggage that might be very heavy, too large, very light, fragile, does not have at least 1 flat surface or can damage or slow down the baggage handling management system. Basically, baggage that is outside the standard dimensions for airport luggage and cannot be sorted out by normal conveyor belts come under this category.  Items such as flat screen televisions, large blankets, and sports equipment are examples of such luggage.

According to the DNATA, airlines flying to some of the Asian countries receive a lot of OOG luggage like blankets, broomsticks and huge TV sets. Additional infrastructure and manpower was initially provided to handle OOG baggage. However, due to a high rise in such luggage being flown out, companies were forced to charge for the service for handling this baggage manually.

It is now up to carriers to decide whether they want to pass on the cost to the passengers or not and how they want the payment to be collected. Passengers will have to go to their carrier’s website for further details. The extra fee will be charged from passengers once the airlines renew their contracts with DNATA.

Airlines flying to same destinations have to renew their contracts at different times and those who do it early will be affected the first. DNATA did not provide the charges it is taking from different airlines and cannot comment on behalf of the airlines. However, DNATA insisted that passengers will be charged only if the carriers choose to do so.

Air India, has set the fee at DH45 per piece for such baggage but the fee may vary for other carriers depending on their contracts with DNATA.

For the benefit of the passenger, Emirates has revised its excess baggage charges. The changes are applicable for those who have booked their tickets on or after April 8, 2018. They have also doubled the discount on the purchase of additional baggage allowance online to 20%.

In case you want to know your airline’s baggage policies, look no further. Simply download the AirWhizz App and get information about your airline policies and rules on the move. Plan your trip smartly and Fly Stress-Free.

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Only 6 Indian Airports Equipped To Defuse Bombs!

There were concerns about the aviation security and passenger safety after an audit was conducted by a parliamentary agency. The audit found out that only six out of  59 airports that are guarded by the Central Industrial Security Force (CISF) are fully equipped to defuse and dispose of explosives.

According to the audit, the Bomb Detection and Disposable Squad(BDDS) is operational at airports in Delhi, Chennai, Kolkata, Mumbai, Hyderabad and Cochin. Chennai and Kolkata airports are taken care of by the Airport Authority of India, while in the remaining 4 cities the airports are run by private companies.

According to the rules of the Bureau for Civil Aviation Security(BCAS), for the BDDS to be operational, Airports require 28 pieces of equipment including explosive vapor detectors, bomb disposal suits, and remote-operated vehicles. The required equipment is available at only the six airports mentioned above. The CISF provides security cover to 59 airports out of 98 airports in  India that are operational.

According to the rules, even if one equipment is not available, the squad cannot be made functional. The CISF has written to the AAI, BCAS and civil aviation ministry, asking them to provide this crucial equipment as soon as possible.

The absence of a functional bomb disposal squad at the airport poses a potential risk to aviation security and passengers. The CISF has to take the help of a bomb disposal team from the nearest police station, in case there is a bomb scare or a threat. This causes a delay in the securities response to the bomb threat.

Kempagowda International Airport in Bengaluru, which is run under a private-public partnership, does not have a functional bomb detection and disposal squad. This is reported because the airport houses only 24 of the 28 equipment’s required.

According to the Bangalore International Airport Ltd(BIAL), the requirement of three of the four pieces of equipment is under deliberation with the Government. The fourth item has a long lead time and will be procured shortly.

Even the airports that operate under Airports Authority of India(AAI) lack some of the bomb diffusing equipment such as explosive vapor detectors and remote-operated vehicles. The AAI has procured 18-21 bomb detection and disposal squad equipment for 13 AAI airports, but they will be procuring the 2 pieces of equipment mentioned above and the squads will be operational by September this year at 18 AAI operated airports as part of the first phase. The remaining equipment for the airport will be purchased in phase 2.

CISF was created in 1969 and has been providing security to airports, government buildings, seaports and power plants amongst others. The Air Passenger Association Of India has been pushing the BCAS for a long time to give the CISF all the equipment required to protect and safeguard air passengers.

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Mumbai Airport To Remain Shut For 6 Hours On 9Th And 10Th Of April!

If your flights are scheduled to fly in and out of the Mumbai Airport on Monday and Tuesday, there is some news for you!

On April 9 and 10, flight operations at the Chhatrapati Shivaji Maharaj International Airport in Mumbai will be suspended, for six hours between 11 a.m. and 5 p.m. This will surely cause air traffic congestion, which will lead to delays in flights on Tuesday.

As part of the pre-monsoon maintenance practice which happens every year,rubber deposits will be removed from the runway. The maintenance work will be done at the intersection of the main and secondary runway. Mumbai International Airport Pvt Ltd (MIAL) have already informed all airlines about the planned shutdown well in advance.

Air India will be cancelling 34 of its flights and diverting 4 of its flights mentioned below –

  • AI 611 and 612 (Mumbai- Jaipur) and vice versa,
  • AI 680 (Mumbai- Mangalore)
  • AI 696 (Varanasi- Mumbai)

In case you want to find out whether your Air India Flight has been cancelled or rescheduled click on the link below –

Air India Flight Schedules- https://book.airindia.in/itd/itd/lang/en/travel/schedules

Jet Airways will reschedule 17 international and 53 domestic flights and cancel six international and 64 domestic flights. Below are the links to know which flights have been cancelled and rescheduled of Jet Airways –

Cancelled Flights – https://www.jetairways.com/documents/flight-cancellations-1.pdf

Rescheduled Flights – https://www.jetairways.com/documents/revised-schedules-april18.pdf

Besides the Mumbai Airport, other airports have been scheduled to be closed for pre-monsoon maintenance. Here is a detailed list of the airports –

  • Chandigarh International Airport runway will be closed from May 12 to May 31.
  • Calicut International Airport runway will remain closed till June 15, 2018, from 12 p.m. to 8 p.m.
  • The Jaipur International Airport runway will remain closed till May 31 from 10 p.m. to 5 a.m.
  • The Chaudhary Charan Singh Airport in Lucknow will be closed till June 30 from 9 p.m. to 6 a.m.

Still confused? Simply download the AirWhizz app and add your flight to get all the information about your flight along with real-time flight updates and schedules on your phone.

So go ahead, plan your schedule accordingly and Fly Stress-Free!

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Flying To Dubai Will Get More Expensive in 2019!

If you are planning to fly to Dubai next summer, be prepared to pay more for your flight tickets. Authorities at various Dubai airports have asked Indian carriers to reduce their capacities by half. This is being done because of the runway closure for 45-days from April 16, 2019. As a result, the airfare to Dubai will go up next summer.

Indian carriers flying to Dubai account for about 65,000 seats a week. The CEO of Dubai Airport, Mr. Paul Griffiths has asked the Indian authorities to reduce this number to half in a letter written by him in February. Dubai airlines, Emirates and  Fly Dubai have also been asked to make reductions in their flights flying from India.

According to the letter, The Dubai airport authorities have asked Emirates and Fly Dubai to reduce their total operations by 33 percent and airlines flying to the airport on a regular basis to reduce their capacities by 50 percent. The letter, however, said that the 33% reduction by the Dubai based airlines will contribute to 55% of the airport’s total cuts.

This decision by the Dubai airport has been met with much criticism as Indian carriers feel that reductions in the number of seats is not equal and discriminatory. India has been generous to Dubai when it comes to bilateral traffic rights. According to officials working with Indian carriers, this situation is not new and airlines in India have faced this kind of treatment when they got the least desired slots during slot allocation in 2016.

Dubai airport officials, in March, had announced that the closure will happen from April 16th-May 30th next year because of maintenance work and installation of upgrades. Flights will be diverted to Al Maktoum International airport during this period. These upgrades are being done to increase the safety and capacity of the runway.

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