No Future for the low-cost airline in India?


No future for the low-cost airline in India?

From Livemint

India is not a suitable country for low-cost airline operations as it not only lacks infrastructure like low-cost secondary airports but also the cost of their staff is at par with full service carriers (FSC), a study has claimed. Also, the low fare carriers (LFCs) have to face tough competition from Indian Railways and road transport for destinations of shorter durations. “India has very few secondary airports from which the low fare carriers could operate. Of the 127 airports with the Airports Authority of India, only 80 are operational,” aerospace expert Harmoz P Mama claimed in a study ‘Civil Aviation in India : Challenges and Prospects´.

Read Full Report Here:

Yes this is right because the low-cost tariff model for an airline business in India is suffering lack of infrastructure. We don’t have2nd tier airports to cater low cost airlines, means all fees (airport charges for Airlines) are the same for both regular full service airlines and low-cost airline. Low-cost airlines reduce fares by cutting in-flight service and making use of cheaper airports or we can say 2nd tier airports. But in India we don’t have any tier 2 airports to cater these discounted carriers like we have in Europe and USA a major market for Low-Cost Airlines. Government should make some plans for the development of a separate terminal (No frills airport) for these carriers and should do more in order to promote budget air travel. If we really care and if India really needs this Low-Cost Airlines then government should put focus on infrastructure development which is a major requirement for this aviation industry and for also better economy health.
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