IndiGo:
IndiGo has joined forces with eSpherical.com, to provide mobile airline booking and payment for its customers with GPRS-capable mobile phones or mobile PDA’s. IndiGo is the first airline in India to offer this service. The service not only allows customers to book and pay for flights, but also enables them to check for flight information. Customers can pay for their booked tickets within 24 hours at a number of convenient locations. (14 July 2006)
Global Players Vie for Indian Sky:
According to published reports, global manufacturers of aircraft, engines and parts and service providers will be anxiously eyeing the Indian contingent at the 45th Farnborough International Air-show in Farnborough, UK. Air India is evaluating medium and large capacity aircraft and is expected to order 50 wide-bodied jets. (14 July 2006)
Jet, SWISS:
Jet Airways and SWISS have enacted a reciprocal frequent flyer agreement. Jet Privilege members will now be able to accumulate and redeem miles on all flights on SWISS Air. The new alliance allows travelers on both airlines the opportunity to earn miles and utilize the network facilities available on Jet and SWISS airlines. Jet Privlege members will earn double miles on the basis of their class of travel on SWISS, as a launch promotion. (14 July 2006)
Need for Helicopters:
With an emerging need for helicopters as an alternate means to travel, aviation investors are looking at offering such services. Not being among those to be left behind, Kingfisher Airlines hopes to commence charter services for his city Bangalore and Mumbai, from the airport to the various points in these cities and back. Jagson Airlines has shown keen interest to operate heli-services especially in eastern and northern India and is also in talks with the respective authorities to start services to Kailash Mansarovar in Tibet. The launch of heli-tourism in Kerala by Air Deccan is already attracting the attention of other players. King Rotors, based out of Thiruvananthapuram, Kerala, will be the second player to operate helicopters within the state. (13 July 2006)
Domestic Skies:
According to published reports, Air Deccan, Kingfisher Airlines, SpiceJet, GoAir and Paramount Airways - have together cornered 38.5 percent of the Indian skies in June 2006. This marks a 2.5 percent growth in their cumulative marketshare over 36 percent held in May 2006. According to latest air travel data with the directorate general of civil aviation (DGCA), the three low-cost airlines alone now account for slightly over 30 percent of the domestic air travel pie. Analysts added that despite a dip in market share, even the legacy carriers have seen their passenger carriage improve during the month. (13 July 2006)
India, Singapore:
India and Singapore have signed a new MoU to enhance air connectivity. The unresolved issue of "fifth freedom" will be taken up later. Under the MoU, Singapore's air carriers "will have rights to fly to 18 identified tourist destinations in India without any restrictions." India obtained reciprocal rights. The new accord would not affect the existing civil aviation links between the two. India is keen to operate passenger flights to Australia and New Zealand through Singapore. (13 July 2006)
Airbus:
Airbus will expand its offering of two new mid-sized planes to three in order to catch up with surging rival Boeing, informed industry sources. The additional model could benefit suppliers such as steelmaker Alcoa and Goodrich, a maker of nacelles and thrust reversers. It also means Airbus will look to engine makers GE Aviation and Rolls-Royce for more than the one engine each has so far committed to build as the three models will range from 250 to 400 seats and fly different distances. (12 July 2006)
Embraer:
Embraer will showcase two aircraft at the Farnborough International Airshow on July 17-23. The EMBRAER 190 will be configured with 93 seats in a dual-class layout, also featuring a state-of-the-art in-flight entertainment (IFE) system. The Legacy 600 super midsize business jet, with three distinct cabin zones, comfortably accommodates up to 16 passengers. In addition to a full-service galley and a spacious in-flight walk-in baggage compartment, optional high speed data (HSD) with Wireless Fidelity (Wi-Fi) allows passengers to browse the Internet, access e-mail and transfer files. (12 July 2006)
Kingfisher Airlines:
Airbus A 380 will be soon seen in the Indian skies. The government has given the take off signal to Kingfisher to import five of the world`s largest passenger aircraft into India. The airline has also been given permission to import 15 wide bodied aircraft and a business jet. This makes Kingfisher the first airline in the country to have permission to buy the super jumbo aircraft, which has not yet gone into commercial services. The airline will also become the first carrier in the country to own and fly an Airbus A 380. (12 July 2006)
Malaysia Airlines:
Malaysia Airlines will offer return tickets to Kuala Lumpur at Rs. 10,300 under a discount scheme. The special discount scheme, online monsoon airfare, would be applicable on the airlines' all five sectors in India. The airfare is valid only for the month of July, with the outbound journey to be completed by August 7. Bookings would be open till July 31. The airline currently operates from five destinations in India viz. Bangalore, Chennai, Delhi, Hyderabad and Mumbai. (11 July 2006)
New Airliners:
Boeing predicts that it will sell almost US $1 trillion worth of planes in the Asia-Pacific in the next 20 years. The traditional aviation powerhouses of North America and Europe are languishing billions of dollars behind. Boeing's 20-year forecast shows worldwide sales of US $2.6 trillion. The Asia-Pacific will take up 36 percent of that, buying 7,900 units at a total value of US $930 billion. Boeing says Asia-Pacific carriers are demanding more twin-aisle planes.
(11 July 2006)
Galileo, SpiceJet:
Galileo International has signed an agreement with SpiceJet Airlines, one of India’s fastest growing low cost airlines, to provide SpiceJet’s low fares and inventory exclusively on the Galileo GDS platform. All SpiceJet fares, including 49 daily flights and periodic promotional fares, will be distributed via Galileo Flight Integrator, a product introduced by Galileo exclusively for low-cost airlines to give them access to an extensive network of travel agents from across Asia and the world. (11 July 2006)
GoAir:
GoAir is set to ink an agreement with European aircraft maker Airbus to buy 20 A320 jets for a list price of around $1.2 billion. The agreement would be inked at the Farnborough Air Show. The airline, which is already operating with a fleet of leased A320 planes, intends to use the mint-fresh planes to spread its wings in the domestic skies. Though GoAir had initially planned to place firm orders for 10 planes and keep the option of buy another 10 at a later date, sources pointed out that negotiations are underway to convert even the options into firm orders. (10 July 2006)
Mandarin Airlines:
Mandarin Airlines, a unit of Taiwan's largest carrier, China Airlines, will lease eight planes made by Empresa Brasileira de Aeronautica SA to replace older aircraft and to add capacity. The carrier will lease three Embraer 190 aircraft and five Embraer 195s from GE Commercial Aviation Services, GE's aircraft-leasing unit. The planes will replace 11 older Fokker aircraft. Mandarin is adding capacity to meet rising travel demand. Asia's airlines may post a 6.5 percent increase in traffic annually until 2009. Mandarin plans to use the planes, to be delivered between 2007 and 2009, on domestic routes and possibly on new international routes. (10 July 2006)
Airbus:
Airbus plans to relaunch its A320 passenger jets, with the new versions becoming deliverable from 2009. Airbus said operating costs of the new jets with the working title A320 Enhanced would be five percent below those of the current A320s. This would be achieved through lower air resistance, reduced weight and more efficient engines. Airbus, which is majority owned by European aircraft and defence group EADS, was also planning innovations to the A320s due to be delivered from next year. The company last month shocked the aerospace industry by disclosing additional six-month delays in the delivery of superjumbo A380 aircraft. Airbus is locked in a fierce battle for airline customers with US arch rival Boeing. The main growth in demand, reflecting the growth of low-cost airlines, has been for short-haul jets. (10 July 2006)
Air Deccan:
Air Deccan introduced an early morning flight to the temple town of Tirupati. The daily flight will reach Tirupati at 7.20 a.m. The airline hopes to inter-connect the other major cities like Chennai, Vijayawada, Visakhapatnam in future. The starting fare for the early morning flight is Rs. 1,416, if booked in advance. The airliner would charge 30 percent less than its competitor, Indian Airlines. (8 July 2006)
Fare Hike:
Domestic fares on all sectors have become costlier by Rs. 200 with the hike in fuel surcharge, imposed by major airlines due to increase in jet fuel prices. The surcharge, which came into effect recently, was hiked from Rs. 300 to Rs. 500 by almost all the major airlines, including the low-cost Air Deccan and SpiceJet. The airlines took the decision in view of the rising price of Aviation Turbine Fuel by over Rs. 900, taking the ATF prices to over a whopping Rs. 41,000 per kilolitre. The revised fuel surcharge would be applicable on all classes and tickets purchased within and outside India. (8 July 2006)
Emirates:
Emirates Airlines will begin flying into Bangalore from 29 Oct 2006. Bangalore will be the eighth airport in the country that the airline would operate from. It plans to have eight flights every week. The airline currently has flights to Delhi, Mumbai, Hyderabad, Chennai, Kochi, Kolkata and Thiruvananthapuram. (8 July 2006)
Tiruchi Airport:
The runway expansion work at Tiruchi airport has been completed. It would be ready for operation in another two months after the safety authorities cleared it and calibration work was completed. It was planned to construct new apron, which could accommodate Airbus 310, 320 and 321 types and Boeing 737. The apron construction would be completed before March 2007. At present, only three aircraft could be parked. After the completion of the apron work, ten planes could be parked. Since passenger traffic was growing at 20 to 25 percent per year, three airlines had operated 286 trips and 17,000 passengers had travelled from Tiruchi airport, which was now eligible for ISO:9001 certification. (7 July 2006)
Cathay Pacific:
Cathay Pacific has just signed a multi-layered share deal with Swire Pacific, Air China, CNAC and CITIC Pacific. The agreement will see a change in the shareholder structure of Cathay Pacific, Dragonair and Air China. Under the agreement, which is subject to shareholder approvals, Dragonair will be wholly-owned by Cathay Pacific. Air China will acquire a 17.5 percent stake in Cathay Pacific and Cathay Pacific will double its shareholding in Air China to 20 percent. Swire will remain the principal, long-term shareholder in Cathay Pacific. Dragonair will continue to operate under its own brand, but under Cathay Pacific management.
(7 July 2006)
Aviation Institute:
The Pailan Aviation Institute is starting a three-year Aircraft Maintenance Engineering course in helicopter and jet engine for the first time in India. The course, approved by the Director-General of Civil Aviation (DGCA) of the Union government, will commence from July-end. The entrance examinations will be held on July 10 following which around 40 to 60 students will be admitted to the course. Companies visiting the institute for campus recruitment are Air India, Indian Airlines and Air Emirates. One Chetak helicopter installed by Jet Engine has already been procured by the Pailan Group and also a flyable Cessna 185 aircraft will be brought soon. (7 July 2006)
Singapore Airlines:
Singapore Airlines has announced a special return fare of Rs.30, 000 to key destinations in Australia from Chennai. This entails a round economy class trip to Sydney/Melbourne/Brisbane/ Adelaide. The offer also includes one-way economy fare of Rs.20, 000 to these destinations. However, the fares do not include taxes and surcharges. The seasonal fare offers an 11 percent reduction in the existing return economy fare and a 16 percent cut in the one-way fare. The booking must be made between now and July 21 and is valid for travel till August 31. (6 July 2006)
IGI Airport:
While the rest of the Capital has turned greener by switching over to compressed natural gas (CNG) for public transport, the international airport has not taken off on the Supreme Court directive even after more than six years. A Delhi-based transport body, Indian Foundation of Transport Research and Training (IFTRT), has now given an ultimatum to the Airports Authority of India (AAI) to switch over to CNG or it will knock the doors of the apex court. Presently, almost 70-80 percent of the bus fleet at IGI airport remains to be diesel-run in total contravention of Apex court order. (6 July 2006)
Aviation Sector:
The Centre for Asia Pacific Aviation (CAPA) said the shortage of skilled manpower is beginning to bite with some Asia Pacific airlines scaling back their expansion plans and things are likely to worsen in future. CAPA estimates that operators in the Asia-Pacific and Middle-East will require 1,50,000 additional employees to support new aircraft currently on order. China, India, and other countries in Asia and the Middle East will be the most seriously affected.
(6 July 2006)
Qantas Airways:
Qantas has applied for code-sharing daily Jet Airways services from Singapore to Mumbai, New Delhi and Chennai, while Jet Airways will code-share on selected Qantas flights from Singapore to Sydney, Melbourne, Brisbane, Perth and Adelaide. It spells good news for the growing trade and tourism ties between the two countries. The summer holiday season touched new highs for Indian visitors to Australia. There were 6,900 visitors from India during April 2006, bringing the total for the four months of 2006 to 26,000, an increase of 31 percent to the corresponding period in 2005. Last year, there were 68,000 visitors from India, an increase of 22 percent relative to 2004. (5 July 2006)
Kingfisher Airlines:
Kingfisher Airlines is planning to raise around US $80 million in debt to fund its expansion plans. The company was looking at raising upto US $150 million through the private equity route, which is delayed, while the much talked about public offer is also not likely to take place this year. Consequently, the airline has had to look toward debt as an immediate alternative. The airline has placed an order for 15 additional ATR 72-500 aircraft in a deal valued at US $270 million. It has also placed orders for five Airbus A380s, five A350s and five A330s. The deliveries of A330s are expected to begin in 2007 while the A380s and A350s arrive in 2010 and 2012 respectively. (5 July 2006)
Airport Services:
Private carriers will not be allowed to deliver ground handling services to other carriers at airports. As per the government’s plans, only airport operators, subsidiaries of state-run carriers, or their ground handling subsidiaries, and agencies set up for the specific purpose will be allowed to deliver these services. Presently, Indian Airlines and Air India deliver ground handling services to other carriers, apart from handling their own needs. Carriers like Jet Airways and Air Sahara manage ground handling on their own. In countries like France and the UK, airports are allowed to take up ground handling services. It is estimated that, typically, about 30 to 40 percent of the revenue of an airport can be generated from such non-aeronautical services. (5 July 2006)
Booming Indian Aviation:
The Indian civil aviation industry, which is forecast to log robust double-digit growth for the next five years, has emerged as a hotspot for global players. From global aircraft manufacturers to airport managements, and training academies to in-flight entertainment companies, there has been a beeline to grab a share of the opportunities that are being thrown by the exploding Indian skies. India, in fact, has been the flavour at virtually every air show since 2005. In the last fiscal, the Indian aviation industry logged a robust growth of 24 percent and experts say the sector will expand by at least 16 percent annually for the next five years, riding on the overall economic growth of eight percent. Passenger traffic grew to 52.12 million in the last fiscal, from 43.47 million in 2004-05, to register a growth of 19.9 percent. (4 July 2006)
World Airline Passenger Traffic:
World airline passenger traffic is expected to show robust growth over the next three years following a strong rebound in 2004 and continued resilience in 2005. At the same time, the UN tourism agency reported preliminary results for the first four months of 2006 showing 10 million more international tourist arrivals worldwide than in than in the same period last year, for a total 236 million, or a 4.5 percent growth rate. With the anticipated good performance of the world economy, airline traffic is projected to rise by 6.1 percent in 2006, 5.8 percent in 2007, and 5.6 percent in 2008. (4 July 2006)
Kingfisher, SBI:
Kingfisher Airlines has joined hands with the country's largest bank, State Bank of India, to provide air tickets through the latter's ATMs in Delhi, Bangalore and Mumbai. The service would be available through SBI's ATMs across these cities or SBI group's allied ATMs. This tie up will enable its guest to do their travel bookings while on the move. To avail the facility, the customer would have to obtain a Booking Reference Number (BRN) from Kingfisher's call centre by specifying the desired sector, date and time of the journey. This BRN can then be used to book the tickets through any of the banks ATMs. (4 July 2006)
Chennai-Paris:
Introduction of tri-weekly Airbus service between Chennai and Paris from this October will further boost international traffic out of the gateway of south India and Europe. Air France will be fulfilling a long-felt demand of globetrotters and the travel trade of Southern Region. Though there would be a 13 percent capacity reduction out of Chennai with the Delta Airlines discontinuing its service and the British Airways reducing its frequency, the proposed Air France Chennai-Paris-Chennai link would fill this vacuum. The Airbus-340 would offer 30 business and 261 economy class seats. (3 July 2006)
Airport Check-in Counter Rentals:
Mumbai International Airport Ltd. (MIAL) is planning to increase check-in counter rentals by six times at the Mumbai airport. The existing monthly rentals per counter are Rs. 5,000, but according to sources, MIAL may increase it to Rs. 30,000. The Mumbai airport currently facilitates more than 500 aircraft movements per day and carries around 50,000 passengers daily, resulting in handling more than 40 percent of India's air traffic. (3 July 2006)
Airport Operations:
The proposed Airport Economic Regulatory Authority (AERA) will have powers to determine capital expenditure and investments to improve airport facilities, check monopolies, set tariffs for aeronautical services, as well as prescribe standards for operations across airports. The airport regulator, that will prescribe tariffs every five years, will also keep a check on the economic and operational viability of airports. Airport operators will have to get the prior approval of the regulator before charging a specific development fee at an airport. Besides, it will also prescribe the passenger user charges for the use of airport. (3 July 2006)
Jazeera Airways:
Jazeera Airways launched its direct low-cost flights from Kuwait City to New Delhi and Mumbai. The Middle East sector is the largest market for India, and 34 percent of India's total outbound travel is to the Middle East. India is a strategic market for Jazeera Airways and its expansion to India marks a major milestone on the development. The airline also announced the addition of a new Airbus A-320 to its fleet of aircraft. According to the airline's officials, India's travel trade industry - worth $38.8 billion and projected to grow to $90.4 billion by 2014 - ranks third in growth after China and Motenegro. However, only two percent of the Indians travel by air. Thus the airlines, based on a low-fares business model, plans to address the Indian middle class, that is growing in terms of propensity to consume. (1 July 2006)
Aviation Infrastructure:
The next five-year plan will emphasise the provision of infrastructure at airports 'at a much faster pace' to cope with the massive growth of the aviation sector, said the Planning Commission. Observing that actual growth in air traffic had been at a rate of 24-28 percent, much beyond the expected 16 percent, the Commission said airlines are facing infrastructure constraints due to limited landing slots, inadequate parking bays and congestion during peak hours. With increasing air traffic, the development of communication, navigation, surveillance and air traffic management (CNS-ATM) would be taken up on priority to improve productivity and efficiency of airlines and airport operators. (1 July 2006)
Singapore Airlines:
Singapore Airlines is finding more passengers flying to Chinese destinations from Kolkata. Currently, almost six percent of its passengers from Kolkata fly onward to China from Singapore. To increase this to a more substantial number of 15 percent by the end of the year, the airline has introduced a new offer to lure leisure travellers to China. SA flights from Kolkata normally have a 65 to 70 percent load factor and 10 percent less in lean season. However, its business class seat bookings have gone up by 50 percent from last year.
(1 July 2006)