New Delhi: Government-owned Air India is looking at starting courier services for central and state governments and big corporate houses by the second half of this financial year, in a bid to improve its financial performance and boost its ancillary revenues.
“We have the widest reach, both in the domestic and international markets. We fly to as many as 65 destinations within the country. We are now looking at optimally utilising our surplus capacity and manpower to commence courier services for central and state governments, public sector enterprises and big corporate houses. We will create a separate division within Air India to manage the venture,” said a senior official.
Air India’s earnings of one-two per cent of total air cargo business of Rs 900 crore per annum is almost negligible currently. The new business, along with the state-owned carrier’s plans to generate revenues through advertisements on its in-flight entertainment systems, boarding passes and airport lounges, are expected to bring in as much as Rs 400-500 crore on a yearly basis.
14/05/13 Sharmistha Mukherjee /Business Standard
