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Political Resistance Hampers Privatization of Kozhikode Airport

The proposal by the Central government to privatize the Kozhikode International Airport in Karipur, a profit-generating hub located in Malappuram district, is encountering significant political resistance.

The Indian Union Muslim League (IUML), a prominent presence in the district, has expressed opposition to the privatization, asserting that the airport’s exceptional financial performance, ranking third in profitability among all airports under the Airport Authority of India (AAI), negates the need for such a move.

M P Abdusamad Samadani, the Local MP and chairman of the Airport Advisory Council, affirmed that the prosperous airport can thrive in the public sector, emphasizing the imperative of the Centre taking steps to foster its growth. Samadani stated, “This would help attract more aircraft and passengers thereby improving its revenue.”

The stance of Samadani was in response to Union Minister of State for Civil Aviation V K Singh’s statement in the Rajya Sabha, where Singh disclosed the decision to privatize Karipur airport, aligning it with previous plans for other airports.

According to data presented by the Ministry of Civil Aviation in the Lok Sabha, the Karipur airport posted a net profit of Rs 95.38 crore for the fiscal year 2022-23, securing the second and third spots in profitability after Chennai (Rs 169.50 crore) and Kolkata (Rs 482.30 crore) respectively. All three airports are under the umbrella of the public sector AAI.

Despite the impressive financial performance, some industrialists advocate for privatization as the key to upgrading the airport’s capabilities. K M Basheer, president of the Malabar Development Forum, highlighted that the airport lags behind regional competitors like Kochi International Airport, prompting passengers to prefer Kochi for better flights and direct connectivity. Basheer contends, “We believe privatisation would help develop the airport faster and attract many more airlines.”

He further articulated that the proposed privatization and expansion of the airport would catalyze improvements in tourism and related industries within the neighboring regions.

The Kerala government, after overcoming prolonged challenges, successfully acquired the necessary land for airport development and completed the corresponding land survey, signaling its commitment to advancing the facility.

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