Akasa Air aims to raise international capacity share to 40% in next few years, says CFO
New Delhi, June 23
Akasa Air plans to significantly expand its international operations over the next few years and aims to increase the share of international routes in its overall capacity to around 40 per cent, according to the airline's Chief Financial Officer, Ankur Goel.
In an exclusive interview with ANI, Goel said international operations currently account for about 25 per cent of the airline's total capacity.
"So, currently our international footprint is about 25 per cent of the total capacity. I think sometimes we have to remind ourselves that we're only three years old, four years old and for us to grow this fast. I think we are fairly happy with this. We could likely hit a 40 per cent number over the next couple of years when it comes to international markets," he said.
The airline, which started operations in August 2022, has rapidly expanded its network in both domestic and international markets.
Goel said Akasa Air's current fleet enables it to operate flights within a five to six-hour radius from major Indian cities, providing several opportunities for international expansion.
"Our planes can fly over a five to six-hour radius from the major cities in India. So we don't have a specific number or specific markets that we're looking at," he said.
He added that the airline's immediate focus remains on the Middle East region as part of its first phase of international growth.
"That said, we are focused on Middle Eastern markets in phase one," Goel stated.
The airline has also been expanding its presence in other international destinations. Goel noted that Akasa Air announced flights to Phuket last year and plans to begin services to Hanoi later this year.
"We announced Phuket last year. We have announced Hanoi to begin at the later part of this year and our focus on international will continue to remain exactly as it is," he said.
Akasa Air described itself as a fast-growing low-cost Indian airline that launched its first commercial flight on August 7, 2022, to cater to the growing demand for air travel in the country.
According to the airline, it has served more than 28 million passengers since commencing operations and currently connects 27 domestic and seven international destinations.
— ANI
Reader Comments
Impressive growth for a 3-year-old airline! Personally, I've flown with them domestically and the service is decent. If they add more SE Asian destinations like Bangkok and Kuala Lumpur, that would be brilliant for budget travellers. But they need to improve their on-time performance first.
Middle East focus makes sense – huge Indian diaspora there. But why not also look at Nepal, Bangladesh, Sri Lanka? Those are short-haul and have good demand. *Mushkil hai but possible hai* if they plan well. Hope they add more planes to their fleet.
Finally an Indian LCC expanding abroad! But I'm a bit concerned – IndiGo and SpiceJet have tried this and faced challenges. International ops require different compliance, crew training, and slots. Hope Akasa has deep pockets. Also, their customer service needs improvement based on my last flight. 😕
Good strategy – 40% international capacity is bold but doable. The Middle East and SE Asia are underserved from many Indian cities. But I worry about the pilot shortage in India – expanding too fast could strain operations. They should focus on quality over quantity. ✈️
Akasa is doing well but let's not get ahead of ourselves. Their domestic market share is still small. International expansion needs strong bilateral rights and airport slots. Hope they don't over-leverage. Still, it's nice to see a new Indian airline thinking big. Jai Hind! 🇮🇳
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