Air India, now owned by Tata Group, is striving to enhance its safety measures and operational capabilities amid ongoing safety concerns and recent market shifts in India's aviation sector.
Air India Faces Turbulent Times Amid Safety Concerns and Ownership Changes
Air India Faces Turbulent Times Amid Safety Concerns and Ownership Changes
Following a tragic flight incident, Air India is under scrutiny as it navigates challenges under its new ownership by Tata Group.
Air India, the premier airline of India, is contending with heightened scrutiny regarding its safety protocols following a significant air crash. This incident marks the first fatal accident for the airline since a tragic event in August 2020 involving an Air India Express flight in Kozhikode, which resulted in the loss of both pilots and 19 passengers.
Founded in 1932, Air India was publicly owned by the government until its privatization in 2022, when the Tata Group, one of India's most storied business conglomerates, acquired the airline. Tata Group chairman N. Chandrasekaran expressed condolences and acknowledged the sorrow in a statement, wherein the airline temporarily muted its website to reflect a tone of mourning.
Since the takeover, Tata has been striving to modernize Air India's operations while digesting smaller carriers into its brand. Nevertheless, the airline has grappled with insufficient aircraft and pilot recruitment, resulting in a lag in service expansion. Together with IndiGo, another rising airline, Air India commands 91 percent of the domestic passenger market in India, forming a near duopoly.
On the stock market, Tata companies faced a decline of roughly 3 percent following the crash. Additional investigations into Air India’s safety protocols are anticipated, as previous incidents had raised concerns about its operational professionalism. Notably, there had been incidents where an aircraft flew without a pilot for several minutes and prolonged delays caused by unusual maintenance issues.
In their latest public statement following this latest incident, Air India pledged full cooperation with investigative authorities. As they work to address these challenges, the airline's commitment to safety will be crucial in restoring confidence among customers and stakeholders alike.
