KUALA LUMPUR (Jan 17): Low-frills carrier AirAsia India (AAI) has ruled out any plans to participate in the Air India stake sale, according to The Economic Times.

Quoting AAI managing director and chief executive Amar Abrol as telling the Press Trust of India (PTI), The Economic Times reported Abrol as saying AAI’s focus remains on building the existing brand and flying international, which is expected to happen from early next year.

It said the airline, which is a 51:49% joint venture between the Tatas and AirAsia Bhd, had earlier planned to fly international by the second half of this year.

According to the report, AAI expects a fleet of 21 aircraft by year end, which will make it eligible to operate overseas flights, Amar said.

Under the India’s new aviation regulations, domestic airlines can fly overseas if they have 20 aircraft in their fleet.

"We are very focused on our brand AirAsia India and continue down this journey of getting into the international markets first. So at this point, no (to participate in the Air India disinvestment process)," Abrol was reported as telling PTI.

In 2012, the Indian government opened up the domestic aviation sector, allowing foreign airlines to invest up to 49% under approval route, excluding Air India.

But the move had only limited success with Jet Airways getting only 26% equity participation from Etihad, and the Tatas launching two airlines in association with Singapore Airlines and AirAsia.

The report further quoted Abrol as saying the work on proposed international operations was going on and will be in all likelihood, launched by early next year.

"Overseas flights plan was the third or fourth quarter plus/minus. It also depends on when do we get the approvals and our readiness. If we can accelerate it, we will certainly accelerate it. So we now have to accelerate it," he said.

AAI operates over 100 daily flights connecting 16 destinations, with a fleet of 15 Airbus A320s.