Talair had its origins as Territory Airlines, founded in 1952 as a charter company.

Its base of operations was Goroka with branches at Mount Hagen, Madang and Wewak.

Territory Airlines was granted scheduled flight rights in 1968 from Goroka and its other bases.

In 1975 the name was changed to Talair Tourist Airlines of Niugini and soon it took over Panda Air and the network grew to over 150 destinations.

In the late '70s the DeHavilland Canada Twin Otters [DHC-6] and then the Embraer EMB110 aircraft were introduced to Papua New Guinea.