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Thursday, June 16, 2005

Airlines industry booming in India

The airlines industry in India is taking off - big time ! Today, the Indian skies are filled with lots of private carriers, thanks to the Govt's decision of opening up the skies and also to the boom in Indian economy in the last couple of years that has resulted in more domestic travel (business and leisure). Some of the airlines that operate in India today are Indian Airlines (Govt), Jet Airways, Sahara, Kingfisher (owned by Vijay Mallaya), Spice, Deccan Airways and Indigo. The last mentioned airline is backed by a company founded by Rakesh Gangwal, who was the CEO of US Airways. The competition has become so hot that Airbus has received more than 6 billion $ worth of orders from Indian airlines company. It remains to be seen how much this will benefit the customer - my take on this is that the prices will drop further and many more people will start to travel by air - a kind of mini revolution, you could say.

Of course, India still has a long way to get more professional in their business approach. I read a recent report in which they mentioned how Spice Airlines had intentionally damged an aeroplane owned by Kingfisher airlines. I don't know how much truth is there to that statement - but it definitely leaves a bitter taste in the mouth. Competition is good as long as it is healthy !

Keep flying !

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