Stung by monetary woes, AirAsia India, which is a three way partnership between Tata Sons and Malaysia’s AirAsia Berhad, can also be unlikely to induct any new plane this fiscal.
- Last Updated: April 23, 2020, 11:24 AM IST
Budget service AirAsia India is prone to resume operations with a fleet of 24 planes put up lockdown, in line with a supply. Amid monetary woes, the airline can also be unlikely to induct any new plane this fiscal.
A three way partnership between Tata Sons and Malaysia’s AirAsia Berhad, the Bengaluru-based airline has 29 Airbus A320 planes within the fleet, catering to 21 home locations.
All home and worldwide business passenger flight operations have been suspended in the course of the lockdown, which was initially imposed from March 25 to April 14 and thereafter prolonged until May 3.
Soon after the prolonged date was introduced on April 14, a number of the Indian carriers introduced that they’d recommence flight operations in a phased method from May four and had began taking bookings additionally. The authorities later directed them not to take action and wait until additional orders on the difficulty.
“The travel demand is not going to come back any time soon. We are expecting initially it would be the stranded people in different state capitals and cities of the country, who have been waiting to return to their original places, will be rushing to the airport whenever lockdown ends and air services are allowed to operate,” stated a supply from AirAsia India.
Since it could take quite a lot of time for even the home site visitors to return to regular, finishing up operations with your complete fleet is not going to be financially prudent, he stated.
“Considering these factors, we are looking to put only 24 aircraft in service with reduced frequencies when we restart operations after the lockdown. And once the traffic starts picking up, we will also ramp up both the fleet and the services,” the supply stated.
According to a current survey by international aviation and aerospace consultancy ICF, the aviation business might take six months to 2 years to get well from the extreme blow dealt by the coronavirus pandemic.
Last week, AirAsia India had stated, ” we look forward to resuming our operations soon, once we receive the appropriate approvals. Preparations are underway to implement and strictly adhere to the social distancing guidelines laid out by the government across all facets of our operations as the safety and security of our guests and crew is our top priority.”
The supply additionally stated the airline is unlikely to induct any new plane this fiscal owing to anticipated low demand, “if market dynamics changes and there is any sudden spurt in domestic traffic then it would prefer subleasing from the parent AirAsia Berhad than going for fresh deliveries.”
The airline, which narrowed its losses to Rs 123.35 crore within the December quarter of the earlier fiscal, had added 9 planes within the fleet to take a complete variety of plane to 28 as on December 31, 2019. Since then it has taken supply of just one plane in January this 12 months.
In late January, European aviation main Airbus had introduced it was deferring plane deliveries to the Indian clients via March 9. However, later in March, itself coronavirus pandemic hit the world, bringing the aviation business to a close to halt.