Business-class only AI flights to Gulf & SE Asia

NEW DELHI: Having expanded its low-cost network to cover new destinations, Air India plans to score another first in Indian aviation: Exclusive ���business class only��� flights to the Gulf and southeast Asia. While the Gulf continues to be the exclusive preserve of Air India and Indian ��� not open to others such as Jet Airways and Air Sahara ��� destinations in the southeast are known to provide profitability to the national carrier.

While Japan���s All Nippon airline plans to launch ���business class only��� flights to India, Air-India will become the first Indian airline company to do so.

Among the likely destinations that the state-owned carrier plans to fly includes Dubai, Singapore and Hong Kong. A detailed plan for the ���business class only��� service ��� aimed at the creamy layer ��� is likely to be finalised after merger of Air India with Indian later this year. ���We are examining the proposal of operating ���only business class��� flights to the Gulf countries and the southeast Asian nations,��� a senior Air India official told ET. Discussions are on and the proposal is yet to be finalised, the official added.

The national carrier is likely to deploy B737-800 aircraft for the ���executive class��� flights, reconfiguring them with 50 or 60 seats. Air-India has ordered 18 B737-800s and delivery of these aircraft has already begun. Al Nippon, on the other hand, is expected to deploy a B737-700 in business class configuration to connect India with Tokyo. Apart from being spacious, the ���executive class��� flights would provide premium facilities like lounge on board.

���There is adequate demand for business class flights. There are a lot of business travellers who seek exclusivity but cannot afford a charter,��� the official said. The national carrier plans to tap this niche by highlighting how premium travellers need not share a flight with hundreds of other passengers.

If the plan goes through, Air India will become the first Indian carrier to operate ���all business class��� flights from India. Internationally, companies such as the US-based MaxJet and Eos Airlines and the UK-based Silverjet operate low fare all business class flights.

Air India may also look at starting budget flights on long-haul routes connecting the US and Europe, the official said. The carrier has tied up its financing plan for fleet acquisition. While the US Exim Bank is financing 85% of Air-India���s fund requirements, the remaining 15% is being provided by a number of banks including ABN-Amro Bank, ICICI and SBI.