Bureaucratic Chaos at Surat Airport Costs AAI Crores in Losses
In February 2023, AAI awarded contracts to master concessionaires, requiring them to furnish a hefty ₹4 crore in bank guarantees. However, instead of facilitating smooth operations, Surat Airport was caught in a bureaucratic tug-of-war.

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Surat : Surat Airport has become a glaring example of how bureaucratic inefficiency and administrative failures can wreak havoc on public infrastructure. Due to gross mismanagement and endless red tape, the Airport Authority of India (AAI) has suffered a massive financial loss—all because the master concessionaires for food, beverage, and retail have not been allowed to start their operations. This blatant administrative failure is draining the exchequer and causing irreparable damage to Surat’s aviation potential.
In February 2023, AAI awarded contracts to master concessionaires, requiring them to furnish a hefty ₹4 crore in bank guarantees. However, instead of facilitating smooth operations, Surat Airport was caught in a bureaucratic tug-of-war. The flawed terminal building design led the Bureau of Civil Aviation Security (BCAS) to repeatedly reject the floor plan, resulting in over a year of deadlock. After prolonged delays, the plan was finally approved—but at a staggering cost to passengers and airport revenues.
Unbelievable Decision: The Only Sit-Down Restaurant Demolished!
In a shocking and illogical move, authorities completely removed the airport’s only dine-in restaurant, stripping passengers of a basic necessity—proper dining space. Instead, food will now be sold only through kiosk-style stalls, forcing travelers to eat on their laps while sitting in waiting areas with no tables. This makes Surat the only international airport in India with such a disgraceful and inconvenient arrangement!
AAI Losing Crores While Calling Surat Airport a “Loss-Making Facility”
Under the contract, F&B concessionaires must pay ₹33 per domestic and ₹66 per international passenger, while retail operators must pay ₹16 and ₹32, respectively. But since AAI has failed to allocate designated spaces, these businesses remain non-operational, leading to massive revenue losses.
For FY 2024-25, Surat Airport is expected to handle approximately 16 lakh domestic and 1 lakh international passengers. With the non-operational stalls, this results in a staggering ₹8 crore loss this year—on top of the ₹4 crore already lost in 2023-24. Ironically, while AAI claims Surat Airport is financially unviable, it is actively squandering potential revenue!
This situation raises serious questions about the competence of those managing the airport. If higher authorities do not intervene immediately, Surat Airport will continue to suffer from avoidable financial losses and passenger inconvenience.
Despite repeated attempts, Surat Airport Director Anand Narayan Sharma was not available for comments.
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