Chennai Airport Ends Celebi India Contract Over Security
Chennai International Airport has officially terminated its ground handling agreement with Celebi GS Chennai Pvt Ltd, a wholly-owned subsidiary of Turkish aviation company Celebi Hava Servisi. The move, confirmed on May 26, 2025, cuts short a contract that was originally intended to last until 2033. The reason cited for the abrupt termination was concerns related to national security.
This development follows the withdrawal of Celebi’s security clearance by the Bureau of Civil Aviation Security (BCAS), India’s nodal agency for civil aviation safety. The security review reportedly intensified after reports emerged linking Turkish drone exports to Pakistan, which in turn has led to serious backlash in Indian strategic circles amid continuing cross-border tensions.
Celebi Moves Court Against AAI
Celebi has filed arbitration applications in the Madras High Court, contesting what it terms an “unilateral and unjust” termination of its service contract. The company has demanded interim protection against the Airports Authority of India (AAI) and is seeking the court’s intervention to maintain status quo while the case is being heard.
The firm argues that its operations in India have adhered strictly to local laws and that there is no evidence linking its business activities with any breach of national interest or civil aviation guidelines. The outcome of this legal battle is likely to impact future contract decisions across major Indian airports.
Broader Implications for Celebi and Aviation Sector
This latest episode adds to a string of setbacks for Celebi in India. On the same day, the Bombay High Court granted temporary relief to its Mumbai subsidiary, Celebi Nas, which was contesting the Mumbai International Airport Limited’s (MIAL) attempt to replace it with a new interim ground handler.
The court has placed a stay on MIAL’s move until June 12, pending further hearings. These back-to-back developments suggest a tightening regulatory environment for foreign ground-handling firms, particularly those from countries perceived to have strategic or diplomatic friction with India.
As India expands its aviation infrastructure and modernizes airport management, concerns around the geopolitical affiliations of service providers are increasingly coming into play. The Celebi episode could signal a shift in how national security considerations influence commercial aviation contracts in the country.
