AirAsia to invest 30 million dollar for Indian joint venture with Tata Group, to offer free tickets
Malaysian low-cost carrier AirAsia initially plans to invest $30 million in its Indian joint venture airline with the Tata Group, its chief executive officer Tony Fernandes said here on Wednesday.
"The potential of India was always there in my eyes. I was waiting for the market to become conducive for us so that we can stay here for a fairly long time and I think the tide is now turning very quickly. So we felt that this is the right time to come to India," he said, addressing a press meet.
Apart from this, the company is eyeing the Indian insurance market through its Tune Money venture. Tune Money is into travel protection plans and lifestyle protection plans.
It is also planning to expand its Tune Hotels - budget hotels - in India. At present it has one in Gujarat.
Fernandes is hopeful that the airline operations can start from October. Fernandes met Civil Aviation Minister Ajit Singh Tuesday. The company has already applied for a no-objection certificate.
Asked how much marketshare the company has been eyeing in the Indian low-cost carrier space, Fernandes said: "I am not here to take away marketshare. But given India’s potential of 1.3 billion population, this could be the largest AirAsia operation."
The company is planning to start from south India, with Chennai as its head office.
Fernandes mentioned that the airline can have many bases in the southern part of the country like Bangalore, Chennai and Kochi. He added that the ministers in south India were cooperative with him.
"A small thing, which we can do is to inform and educate the people about benefits of their travel. We are not here for vested interest, we are here to deliver. I see ourselves emerging as a vibrant airline company with two-three big players eventually."
Fernandes plans to further bring down airline fares in India as he feels these are now ruling at a higher range. He pointed out that many domestic airline fares in India are higher than travelling to international destinations by AirAsia. The company also plans to look at international routes from India as Fernandes feels that "India is a fantastic location to connect to Africa and the Gulf countries".
Putting a lot of thrust on bringing down airfare, to make it more affordable for the common man, he said: "My dream is to replicate our tagline ’Everyone can fly’, where every common man has flown, like in Malaysia. Competition brings more choice."
He plans to offer even a few free air tickets when the airline starts operations in India.
"The maids are going home every two-three months because of AirAsia in Indonesia, Malaysia and the Philippines. We have transformed quality of life for labour force. We are unbundling the fare and by giving you (passengers) the choice of whether you want it or not, we will enable more people to fly," he said.
The recruitment process for the Indian operations has started, AirAsia India head Mittu Chandilya confirmed. "We are recruiting around 200 people initially. We are hand-picking people."
Fernandes told IANS that the company is getting applications from the defunct Kingfisher Airlines’ now-jobless ex-employees as well.
Speaking about aviation turbine fuel (ATF) prices, Fernandes said though these were 30 percent higher in the Indian market, the company will find ways to mitigate this.
He also criticized Janata Party chief Subramanian Swamy for calling the company’s deal with the Tata group as "fraudulent".
"It is a shame that India has lost many years to vested interest. The South (east) Asian aviation industry is far, far ahead of India. There are some bizarre rules; five years time before you can fly internationally! There are too many people who have vested interest, and they do not think of what India needs," he said.
Here are some other highlights of the press conference:
-- Company will allow upto 15 kg of free luggage like any other Indian carrier.
-- It is looking at redistribution of tickets in India through both online and offline channels. AirAsia runs a joint venture portal with Expedia and it is an exclusive online distribution channel for the airline.
-- Fernandes feels Air India should not be in the hands of Indian government anymore, it should be with a private player.
-- AirAsia is looking at leveraging Tata Group’s experience in handling Indian politico-economic scenario into the new airline JV.
Please note that under 66A of the IT Act, sending offensive or menacing messages through electronic communication service and sending false messages to cheat, mislead or deceive people or to cause annoyance to them is punishable. It is obligatory on kemmannu.com to provide the IP address and other details of senders of such comments, to the authority concerned upon request. Hence, sending offensive comments using kemmannu.com will be purely at your own risk, and in no way will Kemmannu.com be held responsible.
Similarly, Kemmannu.com reserves the right to edit / block / delete the messages without notice any content received from readers.
Obituary : Miss Judith Lewis (91), Milagres A Ward, Kallianpur
Rozaricho Gaanch April, 2024 - Ester issue
Final Journey Of Theresa D’Souza (79 years) | LIVE From Kemmannu | Udupi |
Invest Smart and Earn Big!
Creating a World of Peaceful Stay!
For the Future Perfect Life that you Deserve! Contact : Rohan Corporation, Mangalore.
Final Journey Of Joe Victor Lewis (46 years) | LIVE From Kemmannu | Organ Donor | Udupi |
Milagres Cathedral, Kallianpur, Udupi - Parish Bulletin - Feb 2024 Issue
Way Of Cross on Good Friday 2024 | Live From | St. Theresa’s Church, Kemmannu, Udupi | LIVE
Good Friday 2024 | St. Theresa’s Church, Kemmannu | LIVE | Udupi
2 BHK Flat for sale on the 6th floor of Eden Heritage, Santhekatte, Kallianpur, Udupi
Maundy Thursday 2024 | LIVE From St. Theresa’s Church, Kemmannu | Udupi |
Kemmennu for sale 1 BHK 628 sqft, Air Conditioned flat
Symphony98 Releases Soul-Stirring Rendition of Lenten Hymn "Khursa Thain"
Palm Sunday 2024 at St. Theresa’s Church, Kemmannu | LIVE
Final Journey of Patrick Oliveira (83 years) || LIVE From Kemmannu
Carmel School Science Exhibition Day || Kmmannu Channel
Final Journey of Prakash Crasta | LIVE From Kemmannu || Kemmannu Channel
ಪ್ರಗತಿ ಮಹಿಳಾ ಮಹಾ ಸಂಘ | ಸ್ತ್ರೀಯಾಂಚ್ಯಾ ದಿಸಾಚೊ ಸಂಭ್ರಮ್ 2024 || ಸಾಸ್ತಾನ್ ಘಟಕ್
Valentine’s Day Special❤️||Multi-lingual Covers || Symphony98 From Kemmannu
Rozaricho Gaanch December 2023 issue, Mount Rosary Church Santhekatte Kallianpur, Udupi
An Ernest Appeal From Milagres Cathedral, Kallianpur, Diocese of Udupi
Diocese of Udupi - Uzvd Decennial Special Issue
Final Journey Of Canute Pinto (52 years) | LIVE From Mount Rosary Church | Kallianpura | Udupi
Earth Angels Anniversary | Comedy Show 2024 | Live From St. Theresa’s Church | Kemmannu | Udupi
Kemmannu Cricket Match 2024 | LIVE from Kemmannu
Naturya - Taste of Namma Udupi - Order NOW
New Management takes over Bannur Mutton, Santhekatte, Kallianpur. Visit us and feel the difference.
Focus Studio, Near Hotel Kidiyoor, Udupi
Earth Angels - Kemmannu Since 2023
Kemmannu Channel - Ktv Live Stream - To Book - Contact Here
Click here for Kemmannu Knn Facebook Link