Following the rapid growth of air cargo business, airlines, including Jet Airways, Kingfisher Airlines and GoAir, plan to launch dedicated freighter planes while national carriers Air-India and Indian Airlines are in the process of ramping up their cargo operations in a phased manner.
"Cargo movements at Indian airports grew up to 12,89,912 tonne during 2004-05 from 10,68,202 tonne in 2003-04. With the boom in Indian trade, the air cargo movements are expected to grow manifold in the next three years," analysts said.
In this backdrop, Indian Airlines plans to convert five of their Boeing 737s into freighter aircraft. The airline would use Nagpur airport as hub to offer express and retail courier services.
Air-India is also planning to expand its cargo operations in a phased manner over the next two years. "Air-India plans to dry lease one Airbus 310, and one Boeing 747 for cargo services. Moreover, two A310 aircraft would also be converted into cargo planes. Air-India is expecting a revenue of over Rs 6,000 crore (Rs 60 billion) in the current fiscal," sources said.
Jet Airways has already initiated a detailed market study for launching a cargo airline and is in talks with leading players for the proposed venture.
Jet Airways chairman Naresh Goyal said, "We would like to get the right share of air freight market. This would be a cushion effect to passenger airline business."
GoAir MD Jeh Wadia said, "We are seriously evaluating the prospects of launching a dedicated cargo unit under the brand name GoCargo. This would target the freight now carried in trucks and trains. A decision on this will be taken in couple of months."
Wadia added that currently the carrier is focussing on ferrying more cargo in its aircraft and that the airline would launch a dedicated cargo airline wing with a partner.
Vijay Mallya-promoted Kingfisher Airlines is exploring the possibilities of starting a dedicated cargo wing, KingCargo.
"Certainly, we are focussing on the cargo business and launching a dedicated freighter. At present, we are keen on filling the cargo belly of our aircraft," Mallya said.
Significantly, other companies, including courier company First Flight, shipping company, Shreyas Shipping & Logistics and transportation company Patel Roadways are planning to foray into cargo airline business.
Meanwhile, the only registered cargo airline company Blue Dart Aviation is all set to add two Boeing 757-200 aircraft by mid-2006 to its fleet of five aircraft.
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