“I personally believe there is no logic in this rule and we are preparing a cabinet note to scrap this rule after consultation with the Directorate General of Civil Aviation (DGCA),” civil aviation minister Ajit Singh said on Saturday in a phone interview.
“This regulation has enabled foreign airlines to capture a larger share of the international market at the expense of home carriers. The financials of several Indian carriers would likely have been stronger if they had been allowed to launch international routes earlier as this would have reduced excess capacity in the domestic market and improved aircraft utilization,” CAPA said
I couldn't agree more with the statements given above.