Wednesday, May 25, 2005

SpiceJet takes off, targets new class of air travellers

Low-fare SpiceJet operated its first flight on Tuesday on the Delhi-Ahmedabad-Mumbai route, adding spice to the growing budget travel market amid growing concerns over inadequate aviation infrastructure across the country.

With a debut ticket price of Rs 99 and a fleet of three leased Boeing 737-800 aircraft, SpiceJet has planned an initial investment of 25 million dollars and expects to post a profit within six months.

The airline offers a single class in all its 189-seater planes with complimentary snacks and water. Initial destinations include Delhi, Ahmedabad, Mumbai, Goa, Bangalore and Pune.

''India is at the threshold of a dynamic phase of development,'' said SpiceJet's CEO Mark Winders. ''It's only fair that benefits of liberalisation now reach the masses.'' ''The only impediment to air travel growth is infrastructure,'' he added. ''We'll ensure that India gets a move on.''

Said Union Civil Aviation Minister Praful Patel, who flagged off the inaugural flight: ''It's true that aviation infrastructure has been neglected in the past. The UPA government is committed to upgrade it, keeping in view the expected 20 per cent compounded growth in air travel over the next few years.''

SpiceJet officials said its most expensive fares are 55 to 60 per cent cheaper than the regular full economy fares of competitors such as Jet Airways, Air Sahara and Indian Airlines.

Source: Deccan Herald