Tuesday, October 7, 2008

Bright Future for the Airlines in India

In india the airlines getting better oppertunities from the foreign airlinesrs for the tie-ups. British Airways, UK’s biggest airline, was reported to be in talks with Go Air, the Nusli Wadia-owned low-cost carrier, in early September for a brand and code-share agreement.

Air France, has expressed interest in a tie-up with Jet Airways or Kingfisher Airlines, both of which have started to fly abroad. Jean-Louis Pinson, senior vice president, Air France, said his airline would be interested in an agreement with Jet and Kingfisher, but also added that the agreement would be a “partnership” and not just a franchise, unlike BA’s model.

“We are discussing with both, but we are not in a hurry. We will have (an agreement) with either Kingfisher or Jet Airways,” he told DNA Money.

Indian airlines are in demand as a new affluent population in the country makes it an exciting potential market for European airlines struggling to expand in saturated home markets.

Both Jet Airways and Kingfisher are also being wooed to join global airline alliances, which will give foreign airlines within the alliance, freedom to ride of domestic networks.

Air France, for example, has daily flights from Mumbai, Delhi and Bangalore to its hub in Paris, connecting Indian customers to Europe and the Americas. An alliance with either Kingfisher or Jet will help the airline bring smaller cities into their catchment area.

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