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Madhya Pradesh Offers Airlines Dh66K To Resume Dubai Flights

Madhya Pradesh Offers Airlines Dh66K To Resume Dubai Flights
  • PublishedJuly 15, 2025

The government of Madhya Pradesh is taking proactive steps to restore direct international connectivity between its major cities and Dubai. In a bid to revive routes that were discontinued and boost its global engagement strategy, the Indian state is offering financial incentives of up to Dh66,000 (approximately Rs1.5 million) per flight to airlines willing to operate direct international services from cities like Indore, Bhopal, and Gwalior. This announcement comes nearly a year after the suspension of the only direct flight from Indore to Dubai by Air India Express, which initially began in March 2023.

Dubai-Indore Flight: Why Connectivity Matters

The suspension of the Indore-Dubai route was met with disappointment by the sizable Indian expatriate population from Madhya Pradesh living in the UAE. The route, despite its popularity, was withdrawn due to operational adjustments by Air India Express, even though demand remained high. Presently, the only connection to the UAE from Indore is via Sharjah, with four weekly flights far from sufficient to meet the region’s international travel needs.

The Madhya Pradesh government, recognizing this gap, is stepping up with a solution that aligns both with demand and strategic vision. Chief Minister Mohan Yadav, during his recent official visit to Dubai, shared details of the proposed incentive scheme and a broader aviation policy under development.

Civil Aviation Policy Aims to Transform Regional Air Connectivity

At the heart of the plan lies Madhya Pradesh’s upcoming Civil Aviation Policy. This comprehensive framework is expected to be unveiled soon and aims to reshape how the state interacts with global air carriers. The policy will offer a structured incentive plan to lure airlines to resume or start direct international services from cities that lack current connections.

According to CM Yadav, the proposed financial support of Dh66,000 per flight is expected to significantly reduce operational risks for airlines entering these new or previously unviable routes. The policy intends not just to address the needs of Indian expatriates but also to boost trade, tourism, and foreign investment by making the state more accessible.

Strategic Meetings in Dubai to Strengthen UAE Ties

Chief Minister Mohan Yadav’s visit to the UAE was more than a diplomatic stop  it was a high-level mission to strengthen economic, trade, and tourism relations. Over two days, he held meetings with:

Dr. Thani Al Zeyoudi, UAE Minister of Foreign Trade

Sheikh Ahmed bin Saeed Al Maktoum, Chairman and CEO of Emirates Airline, and President of Dubai Civil Aviation Authority

Mohammed Al Yamahi, President of the Arab Parliament

Yadav also met several top Indian-origin business leaders in the Emirates, presenting Madhya Pradesh as a rising global hub for investment.

UAE Investment Sought in Key Industrial Sectors

In a strong investment pitch, Yadav highlighted Madhya Pradesh’s readiness to welcome UAE participation in sectors such as renewable energy, electric vehicles, logistics, food processing, and textiles. The state already has infrastructure in place, including plug-and-play industrial parks like:

PM Mitra Park in Dhar for textiles

  • Medical and electronics clusters in Ujjain and Bhopal
  • Renewable energy zones with vast potential for green investment

The delegation aimed to showcase these zones as future-ready and capable of absorbing high-value foreign investment from UAE-based businesses.

Setting Up a Permanent India-UAE Engagement Channel

A significant diplomatic outcome of Yadav’s UAE visit was the decision to establish a permanent coordination mechanism between Madhya Pradesh and the Indian Embassy in the UAE. Indian Consul General Satish Kumar Sivan has been appointed as the nodal liaison for facilitating direct communication and cooperation between Madhya Pradesh’s industries department and potential Dubai-based investors.

This new channel will serve as a real-time support system to ensure smooth execution of projects, attract more foreign direct investment (FDI), and maintain continuous dialogue between stakeholders in both regions.

Focus on Tourism and Cultural Exchange

The proposed direct flights will not only serve the Indian diaspora but also aim to boost tourism traffic to and from Madhya Pradesh. The state is home to rich heritage destinations like Khajuraho, Sanchi, and wildlife reserves such as Kanha and Bandhavgarh. Improved international connectivity through Dubai one of the world’s busiest hubs could open the door to global tourism markets, especially in the Middle East.

Yadav also emphasized the cultural synergy between the UAE and India, pointing out that initiatives such as joint tourism promotions, cultural events, and business exhibitions could be ramped up once air links are re-established.

Win-Win for Airlines and Regional Development

From an aviation industry perspective, the proposed Dh66,000 incentive per flight presents a significant financial cushion for carriers operating new routes. It can help airlines manage route initiation costs such as regulatory approvals, airport slots, crew deployment, and marketing.

For Madhya Pradesh, this move means more than just connectivity. It signals a strategic positioning of the state on the international map, making it a destination for trade, tourism, and technology. More flights could lead to job creation, increased foreign exchange, and upliftment of regional airports.

UAE as a Gateway for Central Indian Growth

Dubai, given its central role in global aviation and business, is the perfect gateway to accelerate Madhya Pradesh’s global ambitions. With a huge Indian expatriate base in the UAE and rising interest in Indo-Middle Eastern collaboration, this initiative fits seamlessly into the broader India-UAE growth narrative.

India and the UAE have seen trade cross the $85 billion mark annually, and new policies like CEPA (Comprehensive Economic Partnership Agreement) are further reducing barriers. With Madhya Pradesh now actively participating in this dynamic corridor, states are emerging as strong players in global diplomacy and trade.

Airline Industry’s Response Awaited

While the proposal is still under final review, industry stakeholders are closely watching. If implemented, this could set a precedent for other Indian states to incentivize international routes. Airlines, especially low-cost carriers, may find these terms attractive as they seek to expand their presence in profitable yet underserved regions.

Air India Express’s withdrawal last year came as a shock, especially given the high traffic on the Indore–Dubai route. The return of this route, possibly with added connectivity to Bhopal and Gwalior, could be a game-changer.

Bridging Borders Through Visionary Aviation Policy

Madhya Pradesh’s bold new aviation strategy reflects a larger ambition  to bring the world closer to its cities and industries. By incentivizing direct flights to Dubai, the state is not only responding to public demand but also crafting a gateway for investment, cultural exchange, and global integration.

The UAE’s position as a logistical and business powerhouse makes this partnership both strategic and natural. As the Madhya Pradesh government finalizes the Civil Aviation Policy, all eyes will be on the state’s ability to transform promise into practice with airlines, investors, and the Indian diaspora ready to board.

Written By
Shweta