Budget carrier IndiGo is fast filling the gap in capacity between India and the Middle East following the bankruptcy of market leader Jet Airways. IndiGo's increasing fleet capacity and acquisition of many of Jet Airways' slots to the region has made it the prime beneficiary of Jet's grounding in mid-April, reports AINonline.
At its peak controlling a 33 per cent market share to the region, Jet carried the maximum number of passengers under bilateral traffic agreements, while Indian and Middle Eastern carriers shared the rest, according to the Directorate General of Civil Aviation statistics. IndiGo now has scheduled 237 flights to the Middle East starting this month.
Now flying a fleet consisting of 235 aircraft, IndiGo calls itself the "fastest growing airline in the world" and recorded a 44 per cent increase in revenue from operations for the second quarter compared with the same period last year.
IndiGo chief commercial officer William Boulter confirmed to AIN a focus on expanding to the Middle East as part of the airline's growth strategy and the positive effect of Jet Airways' failure on profits this quarter. IndiGo has already secured additional rights to fly to destinations including Kuwait and Jeddah.
"Jeddah, being the commercial capital and the gateway for the Haj; Dammam, being the growth center in Saudi Arabia; and Abu Dhabi in UAE...[these] are critical markets for strengthening our presence in the Middle-East," added Boulter.
While sudden capacity contraction has resulted in increased fares, demand between India and the Middle East in trade and tourism continues to rise, driving many airlines to introduce new routes and additional flights to reverse the trend. "We have observed a rise in competition with a number of airlines entering the Middle Eastern market," confirmed Boulter.
