Air India tips

India’s Finance Minister Nirmala Sitharaman invited U.S. aircraft maker Boeing to ramp up investmentin the country, given India’s flourishing aerospace and civil aviation market. The planemaker had earlier announced that it will invest about $24 million on setting up a logistics center in the country to stock spares for commercial airlines. During an interaction with a delegation from Boeing’s global senior leadership team, the minister underlined India’s focus on repositioning itself as a maintenance, repair and operations hub that can potentially cater to a wide region spanning Europe, Africa and the Far East. Earlier in March, Civil Aviation Minister Jyotiraditya Scindia also highlighted it was time for India to look at manufacturing aerospace products, adding that the aggregate fleet size of domestic carriers is estimated to reach around 2,000 aircraft over the next five to seven years. Sitharaman further emphasized the opportunities available for companies to relocate to India to be a hub for the region. In reference to Indian airlines’ record aircraft order, she informed the delegation about Gujarat International Finance Tech-city banks’ aircraft leasing operations.

Nearly 51 percent of Indians have fallen victim to online scams while trying to book holidays to save money, according to digital security company McAfee Corp’s Safer Summer Holidays travel report. Amid the financial pressures of today’s economic environment, Indians are more likely to seek out a bargain deal online (54 percent), move quickly to snap up a deal (50 percent), try a new booking site (44 percent) and even a new destination (47 percent), to save money, the report said. Travel scams can take many forms, with the report finding 27 percent of Indians have been tricked into making payments through fraudulent platforms and 36 percent have had their identity stolen when booking online. Of this portion, 13 percent entered passport information and 23 percent provided other personally identifiable information to a fake website, it said. Overall, 59 percent of Indians are estimated to be more concerned about digital threats than physical ones, such as being pickpocketed, and 94 percent of Indian adults hold either some or high concern about their identity being compromised as part of their travel, the report noted. The report is based on a survey of 7,000 people across seven countries, including 1,010 from India. Earlier in March, the Google pages of many hotels — including premier properties — in the Himalayan hill towns of Darjeeling and Kalimpong in West Bengal were defaced.

India will soon declare a national tourism policyand is also planning a global tourism investment summit, said Tourism Minister G Kishan Reddy. “Without private investment, we cannot become a global destination,” he said, adding the government is allowing 100 percent foreign direct investment in tourism. Speaking at the third G20 tourism working group meeting in Jammu and Kashmir’s Srinagar, Reddy said the tourism ministry is working closely with all the other ministries and state governments to encourage tourism. The new national tourism policy for the country has been in the making for almost two years, with the current one dating back to 2002. The policy would help lay down a framework to make India more competitive in the international market, at a time when the world is reopening to tourists. It aims to increase visitation, stay and spend and make India a year-round destination, besides creating jobs and opportunities in the sector. Last month, Tourism Secretary Arvind Singh highlighted India’s plans to open up to 50 new tourism destinations, promote green tourism, launch a publicity campaign in overseas markets and operationalize 59 new air routes this year. 

Getting its first overhaul in 14 years, online travel agency Cleartrip unveiled a revamped version of its booking tool for agents. With what Cleartrip describes as a user-friendly design and round-the-clock support center, AgentBox 2.0 enables travel agents to book over 100 airlines, more than 500,000 hotels, exclusive holiday packages, group bookings, and meetings, incentives, conferences and exhibitions. “While the earlier version, first introduced in 2009, was more about making agents familiar with online adoption, the upgraded tool focuses heavily on the backend stack, offering a suite of products including flights, hotels, packages, buses and trains,” said Sukesh Shetty, head of B2B at Cleartrip. One of the reasons why the tool was never upgraded after 2009, he said, was because the company was so extensively concentrated on business-to-consumer that business-to-business was just an ancillary product for Cleartrip. “We want to be a catalyst in agents’ growth and not just another platform provider,” Shetty added. Additionally, Cleartrip registered 70 percent growth in monthly agent transactions and onboarded over 5,000 agents in the financial year 2022. The company also reported a 200 percent surge in summer travel bookings compared to the same period last year.

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An airline does not have 86 million passengers by chance — these customers have to choose you, according to Pieter Elbers, CEO of Indian low-cost carrier Indigo.

Cash-strapped airline Go First said it would raise salaries in an effort to retain workers during the ongoing insolvency proceedings that has forced the airline to temporarily suspend its operations since May 3. It said it would raise captains’ monthly salariesby $1,211; first officers will get a $605 increase. The additional pay along with their existing salary, which the airline calls a retention allowance, will go into effect on June 1, Go Air said in an internal note. The airline has also offered the allowance for pilots who have recently resigned, but are willing to “withdraw their resignations by June 15.” Go First further noted that it would soon roll out a “longevity bonus” to reward its long-serving staff members. The note also added that “if things shape up as per the present progress and plan, it won’t be long before we will be flying again which will also enable us to be regular on salary payments.” On Monday, Go First discussed revival plans with the officials of Indian aviation watchdog Directorate General of Civil Aviation where the airline’s management team presented the roadmap for the revival of operations. Last week, the regulator asked the crisis-hit airline to submit the status of availability of operational aircraft, pilots and other personnel, maintenance arrangements and funding, among other details. 

Fitch Ratings has revised the outlook of Oravel Stays’ – the parent company of India-based Oyo Hotels and Homes – to “positive” from “stable.” Fitch estimates that Oyo is on track to generate positive (EBITDA) — a measure of profit — and cash flow from operations. “The rating reflects its asset-light business model that benefits from minimal capex needs, largely exclusive distribution rights, pricing control over storefront inventory, fixed revenue share and strong long-term growth potential,” a statement from Fitch said. The ongoing demand recovery in the industry is expected to drive revenue growth of over 20 percent. Fitch expects the cost-reduction measures Oyo undertook in recent years to support its improving profitability. Meanwhile, Chinese hospitality company H World Grouphas sold 10 million equity shares, which translates to one-fifth of its holding of Oyo to United Arab Emirates-based family offices and institutional investors for around $9 million, a source told Skift. Earlier this month, rating agency Moody’s Investors Servicealso said it expected Oyo to generate between about $50 million and $55 millionin EBITDA this fiscal year.

Budget carrier IndiGo is preparing to take delivery of around 500 narrow-body A320-family jets from Airbus worth $50 billion. The European plane maker has emerged as frontrunner for an order eclipsing Air India’s historic provisional purchase of 470 jets in February, the sources said on the sidelines of an airline industry meeting in Istanbul. IndiGo is one of Airbus’s largest customers and has so far ordered a total of 830 Airbus A320-family jets of which nearly 500 are yet to be delivered. Airbus and U.S. aircraft manufacturer Boeing are also in separate talks to sell 25 A330neo or Boeing 787 widebody jets to the carrier, the industry sources said.

India’s domestic air passenger traffic was strong in May – 15 percent higher than a year earlier and 8 percent higher than pre-Covid levels, according to ICRA’s monthly report on the country’s aviation industry. The traffic was estimated at 13.18 million for May, 2.3 percent up from April. The growth in traffic comes even as cash-strapped airline Go First suspended its flights on May 3 and is yet to restart operations.Airlines’ capacity was higher by about 1.4 percent. The international passenger traffic for Indian carriers for the financial year 2023 stood at approximately 23.94 million, improving from the pre-Covid levels of about 22.72 million. 

The committee of creditors of troubled airline Go First recently had its first meeting and has reportedly decided to replace the team in charge of resolving the airline’s financial problems. The committee wants to have complete control over the process of finding a solution for Go First.

Singapore Airlines has refuted a media report saying it may raise its stake in Tata Group-owned Air India from the 25.1 percent which it secured as part of the group’s Vistara merger to create a bigger full-service national carrier. “The Mint story dated 16 June 2023 is incorrect. There (is) no change in SIA’s position from the November 2022 announcement,” Singapore Airlines said. Singapore’s state carrier’s statement was in response to a report by Indian daily Mint, which said the carrier had expressed its desire to gradually raise its stake in the Indian airline to about 40 percent. The media report, citing three people familiar with the development, stated Singapore Airlines and the Tata Group have had initial talks regarding the potential increase in stake. 

Europe’s Airbus secured a historic deal on Monday involving the most jets ever bought by a single airline, with an order for 500 narrowbody jets from Indian budget carrier IndiGo on the opening day of the Paris Airshow.

Antitrust regulator Competition Commission of India (CCI) is scrutinizing Tata Group-owned Air India’s planned merger with Vistara over concerns about competition in the aviation sector. The watchdog has issued a show-cause notice to Air India to explain its position and asked the company for clarification on why the merger should not be investigated.

A recent study by travel fintech start-up SanKash has revealed that there has been a whopping 250% surge in solo travel at the start of this year. Travelers are inclined to explore not only themselves but the world at their own pace and preference, without feeling swayed by the whims of fellow travelers, the report said. 

Having revised the salary structure for flying staff in April, Tata Group-owned Air India has now initiated a revamp of employment contracts and compensation for its non-flying workforce in India.

As part of its revival process, crisis-hit airline Go First‘s resolution professional has invited expressions of interestfrom potential bidders to restart operations. It has set August 9 as the last date for submission. The carrier stopped flying on May 3 as more than half of its fleet was grounded due to a lack of Pratt & Whitney engines.

The civil aviation ministry has created an additional 1,222 new jobs in the Directorate General of Civil Aviation, Airports Authority of India and Airports Economic Regulatory Authority. Some 796 positions have been created to beat the shortage of air traffic control officers. In addition, the aviation safety regulator and tariff regulator are looking to fill a total of 416 and 10 new positions.

Budget hotel operator and aggregator Oyo has forayed into the premium resorts and hotels category with the launch of its new brand, Palette. Oyo plans to have a total of 50 properties by the second quarter of 2024.

India’s outbound tourism is expected to reach $44.7 billion by 2032, according to a report titled ‘Unlock the Potential: A Look into Outbound Tourism’ by Nangia Andersen, in association with the Federation of Indian Chamber of Commerce and Industry. The report also highlighted the recommendations for growing the future of outbound tourism, which include tax rebates, collaboration with destinations and airlines, streamlining visa processes, among other ideas.

More Indians are taking personal loans to meet vacation-related expenses, according to the findings of a survey titled ‘How India travels using holiday loans’, conducted by online loan platform Paisabazaar.