Shares of Turkey-headquartered Çelebi Aviation Holding plunged 10% to 2,224 TRY on the Istanbul Exchange on Friday, following India’s aviation regulator’s decision to revoke the security clearance of Çelebi’s Indian arm. The move comes amid growing backlash in India over Turkey’s support for Pakistan in the escalating India-Pakistan conflict.
India clamps down on Çelebi Airport Services India citing ‘national security’
The Bureau of Civil Aviation Security (BCAS) on Thursday revoked the security clearance of Çelebi Airport Services India and its associate entities with immediate effect. The Ministry of Civil Aviation (MoCA) stated the action was taken in the interest of national security and applies to all Çelebi-linked firms operating in India.
This crackdown effectively halts Çelebi’s operations across major Indian airports, including Delhi, Mumbai, Bengaluru, Hyderabad, and others. Delhi International Airport Ltd (DIAL) swiftly severed its ties with Çelebi for ground handling and cargo operations at Indira Gandhi International Airport, stating that alternative arrangements with other players have been made to ensure operational continuity.
Rising public and political pressure after Operation Sindoor
The action against Çelebi comes amid heightened calls in India to review the presence of Turkish firms following Turkey’s open support for Pakistan and its alleged supply of drones to Islamabad during Operation Sindoor.
Defending itself, Çelebi Airport Services India said in a statement that it is a “truly Indian enterprise” led by Indian professionals, with majority ownership held by global institutional investors, and categorically denied rumors linking the company’s ownership to Turkish President Erdogan’s family.
Despite its clarifications, the Indian authorities cited national security imperatives as non-negotiable. MoCA assured that there will be no disruption to passenger convenience or cargo operations, with employees from Çelebi India to be absorbed by other service providers.
Çelebi’s India footprint under strain
Çelebi Aviation has been a key player in India’s ground handling space, providing services across nine airports, handling over 58,000 flights and 5.4 lakh tonnes of cargo annually. It employs over 10,000 Indian staff and has invested over $220 million in the Indian aviation ecosystem.
However, with the revocation of clearances, its future in India appears uncertain. The company’s stock on the Istanbul Exchange hit the lower circuit, reflecting market fears of reputational and operational damage amid geopolitical tensions.
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