Air Deccan Fail To Deter Aviation Entrepreneurs
Aviation has always beckoned adventurers and entrepreneurs, says G.R. Gopinath , who founded India’s first low fare Airline Air Deccan, which started off by selling Air Tickets at Rs. 1. The original low-cost Airline man is responding to the Government’s Decision to approve six more Airlines.
Add Tata Sons Ltd’s low-cost venture with Air Asia Berhad that has already Started Flights and its joint venture with Singapore Airlines Ltd for a Premium Airline, expected to Launch Operations in October, and the number rises to Eight. On Tuesday, Mint reported that three of the new approvals are for National Airlines, a move likely to Stoke Competition, leading to lower fares for consumers, and at the same time Improve Connectivity across the country. The six Airlines are Air One Aviation Pvt. Ltd, Zexus Air and Premier Air, that are seeking to become national Airlines and Turbo Megha, Air Carnival and Zav Airways that want to take to the skies as regional Airlines that operate with restrictions on where they can fly to.Connectivity is key to growth Aviation is the backbone of the modern economy and the Indian market is still a virgin market. Less than 5% of Indians are taking to Air Travel.
So the potential to tap that is immense. Yet, the Aviation Gold rush comes at a time when the combined losses of Existing Airlines in India are expected to touch $1.4 billion in the current fiscal year, According to a June report by consultancy firm Centre for Asia Pacific Aviation. Combined losses for Indian Airlines were $1.77 billion in the last fiscal year, while accumulated losses of the last seven years have reached $10.6 billion.
Mohini Porwal [ B Sc] Trainee News Editor
Trainee News Editor