Shares of Çelebi Aviation Holding, the Turkey-based global ground handling company, plunged nearly 20% in two days after India revoked security clearance for its Indian subsidiaries, citing national security concerns amid heightened geopolitical tensions.
The decision, announced on Thursday by the Bureau of Civil Aviation Security (BCAS), has effectively halted Çelebi’s operations in India, one of its largest markets. The company has pledged to pursue “all administrative and legal remedies” to contest the revocation.
“Çelebi India is truly an Indian enterprise, managed by Indian professionals, and not a Turkish organisation by any standard,” said Çelebi Airport Services India in a statement, defending its business model and operations.
India’s Action Tied to Turkey’s Stance on Pakistan Conflict
The sudden move by Indian authorities comes in the backdrop of Turkey’s diplomatic support for Pakistan during the recent India-Pakistan conflict and Operation Sindoor. While India has not officially linked the revocation to geopolitics, officials say the clearance was withdrawn on national security grounds.
Çelebi Aviation Holding, headquartered in Istanbul, is a major player in airport ground handling services worldwide, with India being a key revenue contributor — reportedly accounting for nearly one-third of its global revenue in 2024.
Indian Aviation Sector Adjusts Swiftly
Following the revocation, Indian airports and airlines that relied on Çelebi for ground handling services have begun transitioning to alternative service providers, including:
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AI Airport Services Ltd.
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Air India SATS Airport Services
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Bird Group
Industry insiders say no disruption in passenger or cargo services has been reported so far, indicating a swift shift in operations.
“We had contingency plans in place. The transition is underway without major delays,” said an executive at a major Indian airline.
Çelebi’s Investor Response: Panic and Legal Threats
The Indian government’s decision triggered an immediate panic on the Istanbul Stock Exchange, with Çelebi’s shares dropping close to 20% on Thursday and Friday.
In its investor communication, Çelebi emphasized its commitment to India, stressing that it would exhaust legal channels and administrative appeals to reverse the order.
“We will pursue all available remedies to protect our business and partners in India,” said the company.
However, analysts warn that the loss of India — a fast-growing aviation market — could have long-term consequences for Çelebi’s global revenue trajectory.
What's Next?
As India remains firm on its “nation-first” security doctrine, industry experts suggest that the aviation sector may see further tightening of foreign involvement, especially from entities associated with nations perceived to be aligned against Indian strategic interests.
Conclusion
The revocation of Çelebi’s security clearance signals a major shift in India’s aviation security and foreign business policy, reflecting the country's evolving stance in a geopolitically sensitive era. With Çelebi's India operations frozen and its stock reeling, the global aviation community is closely watching how the legal and diplomatic standoff unfolds.