Monday, February 25, 2013

Kerala to benefit from price war in aviation sector

Paragliding adventure carnival at Wagamon,
, organised by Kerala State Youth Welfare Board.
The ongoing price war between the low cost aviation companies seems to welcome benefits for kerala.
The new joint venture of Air Asia and Tata group, which is expected to start its operations by the end of this year would also have its destinations in kerala and its itinerary.
Suresh Nair, Regional Head of Air Asia, India, told the Indian Express, “The airline is going to be a domestic service. We would look at destinations in Kerala to operate from, once we commence our services.”
The joint venture is surely going to cater the domestic market but the experts in the aviation sector believe that it would also soon foray on the international routes. But for the company to operate in the international market the, according to the rules, it would require a minimum of  a 5 years of domestic service and a minimum of 20 aircrafts.
There are reports coming out that fare war initiated by the low cost carriers in the state such as Spice Jet, Indigo and Jet Airways is also likely to pull the state run Air India too in the fare war. Nevertheless, if it goes to be a reality then this is directly going to benefit the expatriate community in the state.
Suresh Nair also said, “We would be offering travel fares that are around 40 per cent lower than that of other airlines. On an average, around 85 per cent of our seats are being sold out.”
Paulose K Mathew, chairman, Travel Agents Federation of India (Kerala Chapter) said that it would ultimately prove beneficial for the tourism in the state and also the business community based in the state and further added that, “The Kerala market seems reluctant to spend much on air travel. But with the entry of low-cost airlines, people would start to depend more on air travel.”
Air Asia started its services in the state on the 16th of November 2009 and the initial one way travel rates to Kula Lumpur were merely 3,000 but following the success of the operations the rates were hiked later. But if the bookings are done in advance one is sure to get charged less.
With a seating capacity of 180 Air Asia has been providing flights daily for its passengers form Kochi to Kuala Lumpur.
With the annual increase of around 15% in the number of the number of the flights operating from the state and the number of passengers making their travel kerala has emerged as a key player in the aviation market in India.
Not only that but at present on the whole there  are round about 100 trips operated from Kochi, Kozhikode and Thiruvananthapuram airports together every day by various airlines operating in the state.

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A travel and tourism enthusiast, travel writer, interested to explore unexplored locations around world. Love to share the tourism updates, news and developments happening in my native place - Kerala.

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