Travel services provider Alhind Group, based in Kozhikode, Kerala, has received preliminary approval from India’s aviation regulator, the Directorate General of Civil Aviation (DGCA), to set up an airline. Alhind intends to start operations of Alhind Air by the end of 2024.
The company is reportedly planning an initial investment of between INR 2 billion and INR 5 billion (US$24 million to US$60 million) in three ATR-72 turboprop aircraft. The airline’s initial focus is expected to be on South India: Kochi, Bengaluru, Thiruvananthapuram and Chennai, after which it will be able to operate flights between Kerala and West Asia.
Last month, budget carrier Air Kerala also received the No Objection Certificate (NOC) from India’s Ministry of Civil Aviation. Air Kerala, run by Dubai-based businessmen Afi Ahmed and Ayub Kallada, hopes to start operations next year, connecting Tier 2 and 3 cities with ATR 72-600 aircraft. Eventually, it hopes to expand operations internationally. Air Kerala is set to become the first regional airline from Kerala, unless Alhind Air starts operations sooner.
In March this year, Manoj Chacko’s Fly91 started operations from its base in Goa. The airline operates between Goa, Hyderabad, Bengaluru, Lakshadweep, Pune and Jalgaon.
Boom in Indian aviation: The Indian aviation industry is currently experiencing a boom. According to data from aviation analytics firm OAG, India is now the third-largest domestic aviation market after the US and China. Low-cost carriers have played a key role in this growth, accounting for 78.4% of domestic airline capacity in April.
The growth of the aviation industry is supported by the increase in the number of airports, which doubled between 2014 and 2023. Annual passenger capacity at Indian airports is also expected to increase by 60 million. However, the market is underserved, as former Aviation Minister Jyotiraditya Scindia said earlier this year. This provides significant opportunities for new entrants such as Fly91 and Akasa Air to enter the aviation industry.
India’s regional connectivity programme UDAN is also helping to encourage private players to set up regional airlines that can then start their international operations.
Earlier this month, IndiGo CEO Rahul Bhatia said that a country like India deserves more than two airlines. In India, IndiGo held a market share of around 61 percent in the domestic market in the quarter from April to June. The Air India group, which includes Vistara, came a distant second with a market share of just under 29 percent.
IHCL opens Ginger Hotel in Coimbatore
The Indian Hotels Company (IHCL) has announced the opening of its budget brand Ginger in Coimbatore, Tamil Nadu. The 68-room Ginger Coimbatore Airport, Avinashi Road marks the brand’s entry into the Tier 2 city.
The hotel chain now has 18 hotels in the southern state of Tamil Nadu, two of which are under development. The Ginger brand is present in 43 cities in India with over 60 locations.
Ginger is the second largest hotel brand under IHCL after its flagship Taj. Last year, the company signed six hotels under the Ginger name. As of early April 2024, Ginger had a portfolio of about 90 hotels under development and operations.
Western Australia lands cricketer Adam Gilchrist to lure Indians
Australian cricketer Adam Gilchrist and his son Harry have been hired by Tourism Western Australia for a new campaign aimed at Indian travellers. In the campaign, Gilchrist and his son promote day trips from Perth and highlight various attractions in and around Perth.
The partnership came ahead of the Test match between India and Australia in the west at Optus Stadium in November this year. For the promotion, Western Australia has also partnered with travel services company Thomas Cook India and Skyscanner to offer package holidays to Perth. In a statement, Tourism Western Australia said that between April 1, 2023 and March 31, 2024, 34,000 Indians visited the region and spent $128 million during the year. This led to India becoming the seventh largest source market for the region, up from 11th in 2019.
Morocco records 41% growth in the Indian market
The Moroccan National Tourism Office (MNTO) has recorded a 41% year-on-year increase in the Indian market in the first half of 2024. In a statement, it said it expects 45% growth by the end of 2024.
Moroccan tourism aims to attract 100,000 Indian visitors by 2026. To this end, the organization has stepped up its efforts in India, including recent roadshows in Delhi and Mumbai. It has also participated in travel fairs in India this year.
“In the coming months, we will increase our efforts in the Indian market and plan to leverage the film industry for future collaborations,” said Jamal Kilito, MNTO’s country manager in India. The tourism office is also focusing on its MICE (meetings, incentives, conferences and exhibitions) capabilities to attract business travelers and event organizers.
Oberoi Group announces scholarship program for hospitality workers
The Oberoi Group has announced a scholarship program to mark its 90th anniversary. Two different scholarships, named after the founder Rai Bahadur Mohan Singh Oberoi and his son and successor Prithvi Raj Singh Oberoi, are aimed at employees of the hotel company.
The Rai Bahadur Mohan Singh Oberoi Scholarship ‘Dare to Dream’ is open to hotel staff from non-Oberoi Group hotels in India, while the Prithvi Raj Singh Oberoi Scholarship ‘Be the Best’ is offered to Oberoi Group hotel staff in India and abroad.
This would give the scholarship holders the opportunity to complete a two-year Master of Business Administration in Hospitality at the Ecole Hôtelière de Lausanne (EHL).
Zoomcar records 9% increase in bookings
Car rental company Zoomcar has announced its results for the April-June quarter, reporting a 9% increase in bookings compared to the same quarter last year. In addition, the company was able to reduce its cost of sales by 58% year-on-year through technology and product initiatives, including a more stringent guest verification process.
In addition, the loss of $6.8 million from the previous year was reduced to $3.3 million in the quarter this year.
Hiroshi Nishijima, CEO of Zoomcar, said: “We achieved record non-GAAP gross profit and contribution margin while laying the foundation for significant revenue growth in the coming quarters.”
