behramjee
Posts: 4325
Joined: Sat Aug 02, 2003 4:56 am

Great News For India's Pvt Airlines

Thu Dec 11, 2003 7:26 am

From The Hindu Businessline

The dream of India's scheduled private sector airlines to operate to destinations abroad was fulfilled today, with the Union Cabinet giving its nod to allow them to fly to all the SAARC countries - - Pakistan, Nepal, Bangladesh, Sri Lanka, Bhutan and Maldives.

The Cabinet decision means that the three scheduled private sector airlines - Jet Airways, Air Sahara and Air Deccan - will be allowed to operate to these destinations after getting due permission from the authorities.

Welcoming the decision an official spokesperson of Jet Airways said that while the airline had already filed the application with the authorities for operating to Sri Lanka, it would also examine the option of operating to Nepal and Bangladesh.

Jet plans to operate a daily service to Colombo from Chennai and offer a five-times-a-week connection to the Sri Lankan capital from both Mumbai and Bangalore.

Similarly, welcoming the decision, the Chief Executive Officer of Air Sahara, Mr U.K. Bose, said that apart from Sri Lanka the airline would probably look at operating to Nepal and Bangladesh.

"As regards Sri Lanka, the airline is in a position to start flights within a week. We will launch a daily service from Mumbai and Chennai and offer connections for passengers from different parts of the country," Mr Bose said.

The decision to allow private sector scheduled airlines was first mooted in the joint communiqué issued in October this year at the conclusion of the visit of the Sri Lankan Prime Minister. The communiqué "encouraged" scheduled private sector airlines to operate to airports in Sri Lanka.

Besides, the Cabinet also cleared a proposal to allow the designated airlines of the 10-member Association of South East Asian Nations (ASEAN) to operate daily flights to Delhi, Mumbai, Kolkata and Chennai apart from operating flights to 18-other tourist destinations in the country.

The Cabinet also approved a proposal to allow the designated airlines of four ASEAN countries including Myanmar, Cambodia and Vietnam to pick up passengers from an intermediary point while operating to and from India.

Official sources said that Air India and Indian Airlines (IA) would be given reciprocal rights to operate to the ASEAN region.

The decision to allow designated airlines of the ASEAN region to operate a daily flight to Delhi, Mumbai, Chennai and Kolkata and 18-other tourist destinations was announced by Prime Minister, Mr Atal Bihari Vajpayee, while attending the ASEAN summit in Indonesia in October .
 
B747-437B
Posts: 8777
Joined: Thu May 30, 2002 6:54 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 7:31 am

Actually, this was already posted as a "rumor" on this thread earlier today, but its good to see confirmation that that my source seemed to have accurate info.
"The A340-300 may boast a long range, but the A340 is underpowered" -- Robert Milton, CEO - Air Canada
 
planemannyc
Posts: 939
Joined: Wed Aug 06, 2003 12:54 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 8:20 am

Right on, B747-437B. Still, I think we can discuss this event on this thread.

I can't wait to see Jet or Sahara in Dhaka and Chittagong -- and who knows? possibly other airports in Bangladesh.

I think there is a huge potential for these carriers to feed to foreign airlines flying to/from Dhaka from the northeastern Indian states. I know GMG is gearing up for flights between DAC and DEL, CCU and MAA.

IC only has 3 flights a week between DAC and CCU and has suspended CCU-CGP entirely. I wonder if 9W or S2 will take up daily DAC-CCU flights (BG flies 3 dailies on the route, so I can only suspect India has reciprocal rights). I would love to see 9W and/ or S2 at CGP as well.
 
behramjee
Posts: 4325
Joined: Sat Aug 02, 2003 4:56 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 8:53 am

What will really be surprising is if JET or SAHARA fly to PAK from the metros of BOM-MAA-CCU and DEL. That will be the ultimate thing!!! Is there any chance of this happening or are only PIA and IC allowed to fly between India-Pak.

Btw SRI LANKAN AIRLINES has been given 5th freedom pax and cargo flights to fly from INDIA to PAKISTAN just like MAS used to do in the 1990s UL / WMKK), Malaysia">KUL-DEL-KHI-DEL-KHI 2-3 times a week!!!

UL would make solid money on a 2-3 weekly A 330-200 CMB-BOM-KHI-BOM-CMB route!
 
zizou
Posts: 1483
Joined: Tue Oct 10, 2000 10:31 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 9:33 am

Behramjee, thanks for that. Do you have any further info on which cities will Srilankan link up?
 
planemannyc
Posts: 939
Joined: Wed Aug 06, 2003 12:54 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 9:34 am

I agree, Behramjee. I think UL will also make quite a bit if they chose to commence CMB-MAA-DAC or CMB-BLR-DAC. It is a shame that there are not many intra-South Asian flights. It still amazes me that, notwithstanding the recent developments between India and Pakistan, only these following capitals are connected in South Asia:

DEL-DAC (2 x weekly on BG)
PBH-DAC (2 x weekly on KB)
PBH-DEL (2 X weekly on KB)
PBH-KTM (2 x weekly on KB)
KTM-DAC (7 x weekly -- though not daily on BG)
KTM-DEL (1 x daily on IC, 1 x daily on RA, 2 x weekly on KB)
CMB-DEL (7 x weekly on UL)
CMB-MLE (7 x weekly on UL, 4 x on EK)

Granted, ISB is not the largest city in Pakistan, but the lack of service within South Asia is quite evident. Right now, to fly the shortest route between DAC and CMB is through BKK.

Hopefully, this new action by the Indian government will provide the impetus for mushrooming of intra-Saarc air travel.
 
behramjee
Posts: 4325
Joined: Sat Aug 02, 2003 4:56 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 11:28 am

The main issue restricting UL expansion in the region is the lack of aircraft. They are leasing in 2 more A 320s to cope with the extra demand this winter, but what I would really appreciate if EK too which owns 43.6% of UL, lease to them 2-3 of their A 332s too which shall come extremely in handy for UL.

UL wasnt successful with their 2 weekly A 320 CMB-DAC-CMB route...BUT they can be if they start CMB-CCU-DAC-CCU-CMB 3-4 weekly A 320s or A 332s + CMB-MAA-DAC-CMB twice a week using A 320s.

Btw, there is enough demand to warrant a twice weekly ISB-CMB + ISB-DEL...what can be another good route for CMB to exploit which currently has no AIRLINE serving it and I dont think so ever has is a twice weekly A 320 flight CMB-DEL-ISB-DEL-CMB with full pax-cargo rights on the DEL-ISB-DEL sector...even twice weekly CMB-BOM-LHE-BOM-CMB..."The Wood route--Bollywood-BOM and Lollywood-LHE...plus LHE has a lot of Indian history (Mughal) attached to it.

As for KTM which is a popular destination for Indian tourists...UL can try flying there via CCU or MAA or BLR with A 320s.
 
IndianGuy
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Joined: Fri Jul 07, 2000 3:14 pm

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 12:54 pm

I seriously doubt that 9W will be doing any serious flying to ANY of the destinations. From what little I understand of 9W, their stratrgy is to have atleast a daily or prefereably more flights out of a new station, and every station is linked to atleast 3 other stations on their network. Hardly ANY of the SAARC countries have stations that meet this requirement. Hence my doubts on 9W operating anything more than namesake operations. CMB is one exception which can be linked to MAA, COK/TRV,BLR, TRZ,DEL and perhaps GOI as well. I see a lot of petential of Jointery between Indian and Sri Lanka Tourism officials, with tourists going down the Indian coast through Goa and Kaerla and then on to Sri Lanka and vice-versa. Hence the scope for traffic.

MAA/TRZ have historic links with Sri Lanka, especially the Northern Areas.

Sahara on the other hand seems to be a different story, designed only to launder ill-gotten wealth. Am i the only one out here who gets negative vibes about them?

-Roy
 
mog
Posts: 358
Joined: Mon Aug 10, 2015 10:50 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 2:38 pm

a) Cargo, people on this board, cargo. Please do not forget that vital segment.

b) As far as worrying about Sahara's background would be concerned, well, look at any big names in business worldwide and see how hey got their money? So why are we as Indians getting apologetic about somebody from our own country breaking out? After all, whether it was melting coins, trading in opium or running human slaves (the True Background of the Top Three Indian companies, right?) just because it became historical we chose to forget?

Please see the potential on cargo, currently un-exploited, especially air+sea.
 
behramjee
Posts: 4325
Joined: Sat Aug 02, 2003 4:56 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 4:35 pm

I would imagine UL minting $$$ on aircargo between Ind and Srl considering the number of flights they have from CMB to all the main Indian metro cities with A 332s and A 320s per week!
 
mog
Posts: 358
Joined: Mon Aug 10, 2015 10:50 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 4:46 pm

Well, everybody forgets poor little Blue Dart and the 11 old Alliance Air B-737-200 just waiting to be snapped up . . . interesting combi applications come to mind. Matter of fact, fancy new landside terminal coming up at JNPT Seaport to aggregate carego for BOM & hinterlands.
 
abhi
Posts: 49
Joined: Tue Oct 02, 2001 7:39 pm

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 6:56 pm

This is completely off topic. But does anyone know if Jet Airways or Sahara Airlines hire expats in their maintenance division ?

Feel free to tell me to take my question elsewhere but a simple yes or no would do as well  Smile

Cheers !
 
mog
Posts: 358
Joined: Mon Aug 10, 2015 10:50 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 7:05 pm

a) Yes, 9W and S2 have expats on their roles, including in maintenance.

b) Laws permit hiring of expats, and benefits of double taxation avoiding treaty are available.

c) Nothing to do with your question or you, but soon we will have cheaper Arab labour available to us from the Arab countries, too, for work as loaders.
 
zizou
Posts: 1483
Joined: Tue Oct 10, 2000 10:31 am

RE: Great News For India's Pvt Airlines

Thu Dec 11, 2003 10:14 pm

Behramjee, I seriously doubt whether Emirates would lease a few A332's to SriLankan. In fact at the rate Emirates is expanding, I would assume they too are facing a shortage of aircraft.

I doubt whether this route will be come any time soon. As Sri Lankan is likely to be adding Shanghai to their timetables and are probably concentrating on this. I wouldn't be suprised to see if such a thing eventuate in the 2nd half of 2004.
 
abhi
Posts: 49
Joined: Tue Oct 02, 2001 7:39 pm

RE: Great News For India's Pvt Airlines

Fri Dec 12, 2003 11:28 am

We need cheap labour from outside India ? How much cheaper would any airline want to go ?

And thanks for your info Mog. What is a double taxation treaty ?

PS: Can I contact you for further information ?
 
mog
Posts: 358
Joined: Mon Aug 10, 2015 10:50 am

RE: Great News For India's Pvt Airlines

Fri Dec 12, 2003 1:13 pm

Hi Abhi , , , you would be surprised at how cheap good, efficient and disciplined labour from neighbouring countries, including some of the Arab countries, is. It is already visible in the agricultural labour arena, and urban support services like automobile mechanics, security services, etc.

It is a question of time before this filters into the semi-skilled labour market.

It is not just a question of cheaper, but also of getting better people for the same rupee cost.

Double taxation pertains to not having to pay income tax in more than one country.

Sure, you could send me an email on the profile.

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