| Since the nationalization of aviation sector, all airlines operating in India were amalgamated with either Indian Airlines or Air India.
Aided by the Air Corporation Act, 1953 this monopoly continued for the next forty years. Each and every aspects of aviation including grant of flying licenses, certification of aircrafts for flight, recruitment of pilots and setting up the operational guidelines for Indian airports and airspace used to be controlled by the Government.
Later the Airports Authority of India (AAI) got the responsibility of controlling all national and international airports, supported by the Air Traffic Control in dealing with the aspects of air transport operation.
In total there are 122 airports in India, which fall under the purview of the AAI not excluding 11 international airports, 94 domestic airports and 28 civil enclaves. Five best performing airports in India deal with 70 percent air traffic. Delhi and Mumbai airports alone handle 50 percent of the total passenger traffic in India.
With the introduction of New Economic Policy in 1991 the Indian Aviation Industry witnessed some major changes. The Air Corporation Act was revoked to bring an end to the monopoly of public sector in Indian aviation. With an attempt to enhance the competitiveness and sophistication of the Indian aviation Industry private airlines were reintroduced.
In order to upgrade the infrastructural facilities of the International airports in India private sector participation has been allowed through joint venture route. Three Greenfield airports are about to come at Kochi, Hyderabad and Bangalore with private sector holding the majority of shares.
15 non-metro airports including Agatti, Aurangabad, Bhopal, Bhubaneswar, Coimbatore, Indore, Khajuraho, Nagpur, Patna, Port Blair, Rajkot, Trichy, Vadodra, Varanasi and Vizag, for development have been identified by AAI for up gradation and modernization.
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