Thursday, February 14, 2019

Flights quota system hinders Chinese airlines’ exploration to India

According to the current quota between China and India, the passenger transport capacity is 42 flights each per week, but there are no restrictions on cargo routes.

However, at present, China has used up its entire passenger transport capacity quotas, yet the Indian side has only used 5 flights per week, Yu Biao, an official from the Civil Aviation Administration of China (CAAC) said on Wednesday.

Specifically, there are four Chinese carriers, Air China, China Eastern Airlines, China Southern Airlines and Shandong Airlines that have flights to India, connecting seven cities in China, such as Kunming, Shanghai, and Guangzhou in South China's Guangdong Province with three cities Delhi, Mumbai and Kolkata in India, Yu told the Global Times.

"Chinese airlines are looking forward to opening more routes to India in the coming years, however, passenger demand is still not well balanced due to the limitations of traffic rights between the two countries," Yu said.

Data from CADAS, a research institute under the news portal carnoc.com, showed that, Shanghai and Delhi are the two busiest cities in terms of the transport capacity in the market, flown by China Eastern and Air India, followed by Beijing and Guangzhou, but the capacity ranking in China has not changed in the last three years.

The three giants, Air China, China Eastern and China Southern hold an 80 percent market share, with China Eastern having the largest market share, CADAS said.

Air China recently celebrated the 12th anniversary of the opening of its route from Beijing to Delhi.

As early as October, 2006, the carrier opened the Beijing-Delhi route and then in October of 2015, it opened the direct flight from Beijing to Mumbai.

Air China explained the demographics of the air passengers traveling between China and India, where Indian passengers account for approximately 80 percent and Chinese passengers account for about 20 percent, but driven by the growth of China's investment in India, the growth rate of Chinese passengers to India has exceeded that of Indian passengers in recent years.
14/02/19 Tu Lei Source/Global Times
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