India Revokes Security Clearance for Turkish Ground Handling Company Celebi
India has revoked the security clearance of Turkish ground handling company Celebi, resulting in a significant loss of approximately $200 million for the company and jeopardizing the jobs of 3800 employees. A court petition has been filed.
Boycott Turkey: Recent political tensions between India and Turkey are now significantly impacting bilateral trade. Turkey's stance in support of Pakistan has resulted in a major setback for the country. The Indian government's revocation of Celebi Aviation's security clearance has caused the company to incur losses of around $200 million in just two days.
Why did India take this step?
Following a terrorist attack in Pahalgam, Kashmir, on April 22, 2025, which resulted in the death of 26 tourists, India conducted airstrikes in Pakistan-occupied Kashmir (POK). Pakistan responded bly, receiving support from China and Turkey. This led to an intensification of the "Boycott Turkey" campaign in India.
In response, on May 16, the Indian government revoked the security clearance of Celebi Airport Services India Pvt. Ltd. with immediate effect. The government stated that this decision was taken in the interest of "national security."
Celebi's operations in India:
Celebi Aviation provided crucial ground handling, cargo services, and airside operations at nine major Indian airports, including Delhi, Mumbai, Chennai, Hyderabad, and Bengaluru. In 2024-25, it generated revenue of ₹1,522 crore (approximately $183 million USD) and EBITDA of ₹393 crore (approximately $47 million USD) from its Indian operations.
Stock Market Decline and Losses
The impact of India's decision was immediately visible on the Istanbul Stock Exchange. Celebi Hava Servisi AS shares dropped by 20% in two trading sessions, reaching 2,002 lira per share, reducing its market value to 4.8 billion lira. This represents a decline of approximately 30% from its 52-week high.
3,800 Jobs at Risk
Approximately 3,800 employees worked for Celebi in India. The revocation of security clearance has placed their jobs in jeopardy. While airport management has indicated that efforts will be made to accommodate most employees with other service providers, uncertainty remains.
Debt and Investment Concerns
Celebi's Indian operations have approximately ₹183 crore (approximately $22 million USD) in debt. Furthermore, the company has invested $200-250 million in ground handling and cargo infrastructure, investments now at risk.
Legal Recourse
Celebi has challenged the decision in the Delhi High Court. A hearing is scheduled for Monday, with the company appealing for the reinstatement of its services.
Impact on the Travel Industry
The anti-Turkey sentiment in India has intensified to the point that major travel websites, including EaseMyTrip, MakeMyTrip, and Ixigo, have advised travelers to avoid trips to Turkey. Some platforms have even canceled Turkey travel packages. Go Homestays has terminated its partnership with Turkish Airlines.
The Wider Implications
India's firm action extends beyond a single company. It serves as a clear indication that the country will not compromise on national security and political interests. Turkey's support for Pakistan is proving increasingly costly – not only diplomatically but also economically.
