SAARC flights impacted by high price of oil
25 Jun 2008
New Delhi: The spiralling price of oil is now all set to impact flights to SAARC countries. Short haul destinations are going to be the first casualty in the capacity rationalisation that follows in the wake of unprecedented prices of jet fuel.
Low cost airline JetLite that had earlier applied for permission to fly on new routes like Mumbai-Karachi, Delhi-Lahore and Amritsar-Bangkok, has decided to rethink its plans, as soaring operating costs have made the airline focus on 25 to 30 short-haul domestic routes for rationalisation.
Moreover, JetLite has also decided not to start operations on Kolkata-Dhaka route. JetLite is looking at cutting its short haul flights which are typically less than an hour, and has already withdrawn from the Delhi-Chandigarh route.
Low cost carrier, SpiceJet, too has announced a rationalisation of its capacity starting July. The UB Group's aviation arm, the Kingfisher-Deccan combine, so far is looking to commence international operations from August-end, and is still sticking to its guns for the proposed low cost flights to nearby countries, such as Pakistan.
For now, Air India Express remains the only Indian low cost carrier to fly abroad, though of its 12 destinations eight are to the Gulf and the other four are to Singapore, Colombo, Bangkok and Kuala Lumpur.
