New Delhi: With an aim to capitalise on booming demand in India and abroad, India’s start-up budget airline Akasa Air is likely to place a “substantially” large order for new narrowbody jets this year. Talking to news agency Reuters, Akasa Air CEO Vinay Dube said, “Before the end of this year we are going to place another aircraft order that is going to be substantially larger than the 72 aircraft order we have placed.”
The 200-day-old airline currently flies 17 Boeing 737 MAX planes out of a total order of 72 jets to be delivered by March 2027.
Vinay Dube, who was also the former chief executive officer (CEO) of Jet Airways and GoAir (previously known as Go First), said that the new order will be for narrowbody planes.
However, it is important to note that Dube did not say whether the order would go to Boeing or Airbus, but budget carriers typically prefer to use a single narrowbody type to help control costs.
The order plans come as travel demand in India has seen a sharp rebound post COVID-19, making it the world’s fastest-growing aviation market, with capacity surpassing 2019 levels and passenger numbers inching close.
Akasa will add three planes to its fleet within the next three months to reach 20, making it eligible to fly to international destinations as per Indian government rules, Dube said to Reuters.
“By the end of the year, we hope to be flying internationally,” he added, with the carrier targeting destinations within the range of a 737 MAX in South Asia, Southeast Asia and the Middle East.
Dube said in the domestic market, Akasa would focus on its strategy of connecting smaller cities with the country’s major metros at a time when demand remains strong despite high ticket prices.
“Everything is growing gangbusters,” he said. “The demand in India as a whole is going to continue to grow and grow and grow.”
Air India has placed orders for 840 planes from Airbus and Boeing, including options to purchase additional 370 aircraft, a senior airline official said on Thursday.
In a LinkedIn post, Air India’s Chief Commercial and Transformation Officer Nipun Aggarwal said the airline is humbled by the excitement generated across the world by the airline’s aircraft order.
(With Agency Inputs)
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