SpiceJet chief Ajay Singh has favaoured hike in airfares in the country and said that major players in the aviation sector need to take the initiative in this direction.
"The underlying demand is extremely strong. I think the issue really is on the yield. We need to make sure that we take up average fares," Singh was quoted as saying by CNBC-TV18 on the sidelines World Economic Forum in Davos.
Singh was of the view that IndiGo, the market leader with 42 percent market share, should make the first move, the report said.
He said it's high time for the country to become a major global hub for connecting flights and its airlines to be leading international players.
Singh said the country is emerging as "aviation power", as the Indian aviation sector is the fastest growing in the world with a growth rate of 20 percent a year.
"But despite this 20 percent growth, we have only 3-3.5 percent of population flying, so clearly there is a great potential to grow further," said the SpiceJet chairman and managing director.
"Certainly, there are challenges also, such as infrastructure challenges, but the government is putting a lot of efforts for building new airports. Then the Udan scheme is connecting smaller cities which were never on the aviation sector map. In the past 75 years, just 75 airports were connected in another 3-4 years another 70-75 airports would (have) come on line," Singh told PTI in an interview.
24/01/19 First Post
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"The underlying demand is extremely strong. I think the issue really is on the yield. We need to make sure that we take up average fares," Singh was quoted as saying by CNBC-TV18 on the sidelines World Economic Forum in Davos.
Singh was of the view that IndiGo, the market leader with 42 percent market share, should make the first move, the report said.
He said it's high time for the country to become a major global hub for connecting flights and its airlines to be leading international players.
Singh said the country is emerging as "aviation power", as the Indian aviation sector is the fastest growing in the world with a growth rate of 20 percent a year.
"But despite this 20 percent growth, we have only 3-3.5 percent of population flying, so clearly there is a great potential to grow further," said the SpiceJet chairman and managing director.
"Certainly, there are challenges also, such as infrastructure challenges, but the government is putting a lot of efforts for building new airports. Then the Udan scheme is connecting smaller cities which were never on the aviation sector map. In the past 75 years, just 75 airports were connected in another 3-4 years another 70-75 airports would (have) come on line," Singh told PTI in an interview.
24/01/19 First Post
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