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By Swaleha | Published on June 11, 2025

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Travel / June 11, 2025

Airlines urge government aid amid tourism slump in Kashmir

Following the Pahalgam terror attack, the Federation of Indian Airlines (FIA) is urging the Indian government to waive the User Development Fee (UDF) and Goods and Services Tax (GST) for passengers departing from Srinagar airport.

New Delhi:

Currently, each departing passenger faces charges of Rs 1,050 as UDF and Rs 200 as Aviation Security Fee (ASF), in addition to GST. The federation believes that eliminating these financial burdens, in conjunction with the government’s ongoing security efforts, will act as a significant incentive, encouraging more travellers to choose Kashmir. “If the government can waive both UDF and ASF for every departing passenger from Srinagar airport for a period of one year with immediate effect. It will boost air travel demand to and from Srinagar airport,” the letter said.

In a direct appeal to the Civil Aviation Ministry, India’s major airlines, united under the Federation of Indian Airlines (FIA), are pressing for urgent government intervention to revive air travel demand to and from Srinagar airport.

Representing carriers like Air India, IndiGo, and SpiceJet, the FIA has highlighted the devastating impact of the recent Pahalgam terror attack on Kashmir’s vital tourism sector.

In a letter dated May 29th, addressed to Civil Aviation Secretary Samir Kumar Sinha, the federation highlighted the precipitous drop in tourist footfall. “After the Pahalgam incident tourists are terrified and no one is travelling to Kashmir region for tourism purposes,” the letter stated starkly. “There is no demand for air travel to and from Kashmir. Hotels are empty there.” This stark reality has severely impacted passenger traffic, a crucial contributor to the region’s economy.

To counteract this downturn, the FIA has proposed a strategic measure, the immediate waiver of both the User Development Fee (UDF) and Goods and Services Tax (GST) for all departing passengers from Srinagar airport for one year.

“Airlines have played a vital role in connecting India and contributing to nation-building, especially in promoting tourism in Kashmir over the years,” the FIA said. “However, the current situation has severely impacted passenger traffic,” it added.

The airlines, recognising their historical role in connecting India and bolstering tourism in Kashmir, have urged the Ministry of Civil Aviation to collaborate with the Finance Ministry to swiftly implement this waiver. Furthermore, they requested streamlined passenger data requirements with the Bureau of Immigration to ensure a smooth transition.

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