Kerala is moving ahead with plans to launch its own cooperative-sector airline, Co-Air, under the proposed Co-Kerala initiative. The project aims to provide affordable air travel for ordinary passengers and Non-Resident Keralites (NRKs).

The Kerala Civil Aviation Cooperative Society has received approval for registration from the Cooperation Department, paving the way for the project’s initial activities. A separate company will be formed to operate the airline, as cooperative societies cannot directly run commercial flight services.
The proposed funding model involves 200 cooperative societies investing ₹2 crore each, raising a total of ₹400 crore. The company is proposed to have the Chief Minister as its chairman.
In the initial phase, the airline plans to lease two aircraft and operate domestic services connecting Kerala’s airports with other cities in South India. Kochi is being considered as the operational base, with proposed connections to Kozhikode, Kannur, Mangaluru, Bengaluru, Chennai, Coimbatore and Madurai.
The project aims to offer affordable fares and expand regional air connectivity. The first services are expected to begin after the necessary approvals, company formation and operational arrangements are completed.
According to project promoter C.N. Vijayakrishnan, the initial share capital of ₹27 lakh has been deposited with a Kerala Bank branch as part of the registration process.
The airline’s launch timeline and operational plans remain subject to further formalities and approvals.
