Singapore Airlines and India’s Tata Sons plan to launch a full service carrier based in New Delhi. Experts believe the coming together of two major business groups is a signal for better things to come in Indian aviation.
Singapore Airlines and Tata Sons have signed a Memorandum of Understanding and applied for Foreign Investment Promotion Board (FIPB) consent to set up a new airline in India. The move is likely to enhance demand for air travel and encourage more people to seek air tickets on flights.
As per the press release posted on Singapore Airlines’ official website, the new carrier will be based in India’s capital, New Delhi and will operate flights under the full-service model.
“We have always been a strong believer in the growth potential of India’s aviation sector and are excited about the opportunity to partner Tata Sons in contributing to the future expansion of the market,” said SIA CEO, Mr Goh Choon Phong.
The press release also makes it clear that Tata Sons will own 51% and SIA will own 49%.
The new venture will surely encourage people in India as well as Singapore to seek air tickets to fly between the two countries. Experts believe the new operator may turn out be a “game changer” and push the traffic flow between Singapore and India, by offering more chances for booking flights tickets on the route.
Both countries are massively popular as holiday destinations. While the locals in both regions are sure to be benefited, even foreign travellers, on a twin-centre holidays, can think of doing business with yet to be launched carrier by booking flights tickets with it.
As per an unverified data, 75 per cent of Indian travellers book air tickets to Singapore for leisure, while 25 per cent board flights for business purposes.
