Government to introduce VGF for cargo flights soon

The government is expected to soon announce a programme that will provide viability gap funding (VGF) for cargo flights connecting the hinterland to major urban hubs of the country. Through this programme, the government aims to provide the rural areas with greater access to huge national and overseas markets for cargo transportation. The programme for cargo flights will be rolled out on the lines of the Regional Connectivity Scheme, which has been launched to provide VGF for regional flights. A study will be conducted to finalise the programme for cargo flights under the new logistics and cargo policy, which is also expected to be announced soon.