Domestic carriers are no longer averse to picking up cargo – thanks to e-commerce – to boost bottom lines.
India’s domestic carriers seems to have woken up to the fact that cargo brings in more revenues than passengers. Coming as it does on the heels of high air turbine fuel prices and a falling rupee, the move towards cargo augurs well. It is no wonder that SpiceJet’s dedicated air cargo service – it started barely a month ago – has found takers.
While SpiceXpress, SpiceJet’s cargo service has been flying cargo to Indian destinations along with Hong Kong, Kabul, Singapore and Dhaka, reports have been doing the rounds that low-cost rival IndiGo, the country’s largest air-line by market share, has chalked out plans for transport of perishable goods like fish as belly cargo.
Incidentally, all domestic airlines have had losses. IndiGo, for example, reported a loss of $99 mn (652 crore) during the July-September quarter against a profit of $83 mn (551.6 crore) a year ago. The airline management blamed the ‘unmaintainable’ low fares due to competition, rising fuel prices, volatility in foreign exchange as the primary reasons for the losses – it is first since being listed in November 2015.
SpiceJet too, has had losses. After reporting profits for 13 consecutive quarters, SpiceJet reported a loss of $ 6 mn (38 crore) during the first quarter of the current fiscal. Jet Airways has found the going so tough that it has delayed salaries. In fact, there have been unconfirmed reports that Tata Sons, which has stakes in full service carrier Vistara and AirAsia India, could take a majority stake in Jet Airways and save it from extinction.
Esta historia es de la edición December 2018 de Cruising Heights.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición December 2018 de Cruising Heights.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
Adani Airport Thales Forge Strategic Partnership to Improve Airport Operations and Passenger Experience in India
Adani Airport Holdings Limited (AAHL), the largest private airport operator in India, and Thales, a global leader in advanced technologies, today announced a strategic partnership to revolutionise AAHL’s international airport operations and passenger experience across the country.
ADVANCING AIR MOBILITY OVERCOMING CHALLENGES, SEIZING OPPORTUNITIES
Advanced Air Mobility (AAM), as analysed by M P RAJASEKHARAN, explores solutions for reducing urban congestion and enhancing access to remote locations through sustainable, automated air transport systems, addressing key challenges and future opportunities in this evolving sector.
ON THE CUSP OF GROWTH
The growth of regional airlines in India will increase the market for regional jetliners.
BOEING STRIKE DISRUPTS INDIAN CARRIERS' EXPANSION PLANS
The Boeing machinist strike has stalled aircraft deliveries, directly affecting Akasa Air and Air India Express, both of which are now facing delays in their fleet expansion efforts, highlights
REGIONAL AIRPORTS MUSHROOMING WITH CHALLENGES GALORE
Karnataka's push for regional air connectivity has led to a surge in airport infrastructure, yet many of these airports face challenges like fluctuating demand and limited flight frequencies. While the UDAN scheme has supported growth, the long-term viability of several regional airports remains uncertain, highlights
'PHARMACY OF THE WORLD' SUPPLY CHAIN WOES
India's pharmaceutical sector, has achieved remarkable growth, but faces significant supply chain hurdles, including high logistics costs and limited cold chain facilities. Addressing these challenges is essential to sustain its global impact and future expansion, reports
BUMPER WINTER AHEAD FOR INDIAN CARRIERS
The DGCA's winter 2024 schedule approves 25,007 weekly flights, marking growth for Indian carriers, with Air India Express leading in expansion and Vistara set to merge with Air India, analyses
AIRPORT ADVANCEMENT
Indian airports are placing a greater emphasis on digitalisation and enhancing their eco-friendly credentials, updates
THROTTLING AHEAD
The situation with the grounding of Pratt & Whitney GTF engines is now trending downwards, a report
Connecting cities to airports HELI-TAXIS ARE OUT, AIR TAXIS ARE IN
As heli-taxis falter, electric air taxis promise to transform urban connectivity. Yet, scalability, regulations, and operational challenges must be overcome for them to deliver efficient, affordable city-airport travel, reviews