The home ministry has shot down a proposal of the civil aviation ministry to allow Jet Airways and Air Sahara to undertake their own ground handling.

The home ministry has said it will not reverse the Cabinet Committee on Security decision to disallow private, domestic and international carriers to do self-handling.

The ministry has said the domestic carriers can form joint venture companies with Air-India, Indian Airlines, or the Airports Authority of India, if they want to enter the ground handling business.

Senior government officials said the home ministry was of the view that because security had been cited as a reason for not allowing self handling, the question of granting permission to the private domestic carriers did not arise.

Official sources also said the July 1 deadline to implement the new ground handling norms suggested by the Cabinet Committee on Security might be delayed by a month.

The delay was primarily because the civil aviation ministry was awaiting the home ministry's opinion and had put the entire process on hold, they added.

Senior Air Sahara executives said the airline would be approaching the government to reconsider the decision.

The executives said since the airline was allowed to undertake services, such as catering, ground handling should also be allowed.

Industry experts, on the other hand, have welcomed the home ministry decision. An executive of a top international airline said it would be an arbitrary decision to allow private carriers to do self-handling, while barring international airlines.

The industry is, however, still of the opinion that the government should reconsider the entire proposal.

The government had taken a decision in March to restrict ground handling to the Airports Authority of India, Indian Airlines and Air-India, keeping in mind security concerns.

The ministry has set a deadline of July 1 to implement the new norms for ground handling.

The Airports Authority of India, Indian Airlines and Air-India have been directed to create subsidiaries, where each of them will hold a minimum equity of 51 per cent. The remaining 49 per cent equity may be in the form of foreign direct investments.