IndiaOneAir suspends Jamshedpur-Kolkata flights

Pioneer News Service

Jamshedpur

Air connectivity between Jamshedpur and Kolkata suffered a major setback on Thursday as IndiaOneAir announced the immediate suspension of its Jamshedpur-Kolkata-Jamshedpur flight services. The airline cited the non-extension of Viability Gap Funding (VGF) by the West Bengal government and rising international crude oil prices as the primary reasons behind the decision.

The route was being operated under the Central Government’s Regional Connectivity Scheme (RCS)-UDAN, which aims to make air travel affordable and improve connectivity to smaller cities. However, airline officials indicated that the financial viability of the service had become increasingly difficult after the expiry of the scheme’s support period.

Sources said the RCS-UDAN scheme provides incentives and viability support for selected routes for a fixed period of three years. Following the completion of this period, the airline was required to operate the route without the earlier financial assistance. The absence of an extension of VGF support, particularly from the West Bengal government, significantly impacted the route’s sustainability.

The airline also pointed to the steady rise in crude oil prices in the international market, which has led to higher aviation turbine fuel (ATF) costs. Fuel expenses account for a major share of airline operating costs, and the increase has placed additional financial pressure on regional carriers operating low-volume routes.

The suspension is expected to affect business travellers, students, patients and tourists who frequently relied on the direct air link between Jamshedpur and Kolkata. The service had played an important role in strengthening connectivity between the industrial city of Jamshedpur and eastern India’s major commercial and transport hub.

Passengers who had planned travel on the route expressed disappointment over the sudden discontinuation, while industry observers noted that the development highlights the challenges faced by regional airlines in sustaining operations after the end of government support under the UDAN scheme.

The announcement has also renewed discussions among stakeholders about the need for continued policy support and financial incentives to maintain air connectivity on economically weaker regional routes. As of now, no timeline has been announced for the possible resumption of the service.

It may be recalled that the daily flight connecting Jamshedpur with Kolkata and Bhubaneswar was launched in February 2023 by Union Civil Aviation Minister Jyotiraditya Scindia in the presence of Jharkhand Chief Minister Hemant Soren. The launch was widely seen as a major boost to Jharkhand’s aviation map and Jamshedpur’s connectivity.