AirAsia, the new player in Indian Aviation is likely to start operations from October this year in the country. The company seeks to change Indian Aviation through offering low-cost flying. Head quartered in Chennai the Company has applied for the NOC.
While 49 % of AirAsia is held by AirAsia Berhad, a Malaysian low-cost airline, headquartered in Kuala Lumpur, the Tatas hold 30 % and Arun Bhatia’s Telestra Tradeplace holds 21 percent stake. The company plans to invest around Rs 80 crore in this venture.
AirAsia CEO Tony Fernandes recently said that it has applied for the No Objection Certificate (NOC) and Civil Aviation Minister Ajit Singh hinted that issuing the NOC will not be a problem. Fernandes and Ratan Tata met the aviation minister to talk about new appointments and developments in AirAsia India too.
Singh said the group has applied to the Civil Aviation Ministry for a No-Objection Certificate (NOC) and given the names of all top new appointees for security clearance to the Union Home Ministry, as per the laid down regulations.
Indian business tycoon Ratan Tata is much excited that Air Asia is bringing a different enterprise to India. He intimated that Tata Group is pleased to be associated with Air Asia.
The Airline intends to begin its operation from Chennai, Kochi and Bangalore as they have good market knowledge of South India. Later, it will extend its services to Delhi and Mumbai when these cities have a second airport or low-cost terminals or when the company will grow enough to afford the high Airport charges in those cities.
Fernandes also intimated that Air Asia India, which is planning to start operations in the country with three planes later this year, will add at least 10 planes annually and aims to create a new market of its own in Indian civil aviation business.
Air Asia India Airline’s main highlight will be its lowest fares. Further, it wants to improve connectivity mainly to the routes that are just not served within this vast country besides the other routes.