Tuesday, April 14, 2009

KLM eyes tie-ups with Kingfisher, Jet

Amsterdam: Amid the constrained financial scenario, KLM is betting big on India through affiliations with local carriers. The airline is in talks with Kingfisher and Jet Airways to serve secondary markets in India. “We want to cater to about 10 destinations in the secondary market,” Michel Fijgerberg, network planner (North Atlantic and India), said. KLM’s official website had nearly a million visitors from India in FY09 and the group sees this as proof of growing interest in the Dutch airline.
Amsterdam’s Schiphol airport, the hub of KLM, is used more as a transit point than a destination. “Only 26% of passengers alighting in Schiphol stay in the Netherlands. With such a small home market, connecting traffic is the key,” said Mr Fijgerberg.
KLM used to operate daily flights from Delhi, Mumbai and Hyderabad. However, these were terminated in February this year due to sustained losses on the routes. The company, however, still sees potential in cities like Hyderabad, Bangalore and Chennai, and is trying to rope in local carriers. However, the possibility of any announcement this year seems distant. “The talks are at very immature level, so we can’t disclose any details now,” Pieter de Man, GM for KLM’s operations in India, Nepal, Bangladesh, Bhutan, Sri Lanka and the Maldives, said.
KLM is gung ho about the strength of the Indian economy. Said Asia Pacific senior VP Marnix Fruitema: “India would bounce back faster than Europe and the US.”
And, consequently, future developments would be positive for Jet Airways, Kingfisher and Air India.”
“..Delhi and Mumbai would be explored more in spite of flying to new destinations,” said Mr Fruitema.
14/04/09 Bhuwan Bhaskar/Economic Times
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