A new war is going to break out in the airline industry in the coming few weeks. Veteran investor Rakesh Jhunjhunwala’s Akash Air is expected to start services by the end of next month.
Due to this, after about three years, there will be fierce competition between airlines companies. After buying Air India, Tata Group Airlines is trying to regain its footing in the market. On the other hand, Jet Airways will also try to restore its kingdom.
Akash CEO Vinay Dubey has said that Akash can conduct test flights for DGCA next week. The commercial operation is expected to start by the end of next month after getting the aviation regulator’s certificate.
Initially Akash will focus on domestic air services. The company has planned to start flights between tier 2 cities and metro cities. Akash got his first aircraft on 21 June (Tuesday). Boeing 737 MAX has reached Delhi’s Indira Gandhi International Airport.
Jhunjhunwala (Rakesh Jhunjhunwala) and aviation sector veteran Vinay Dubey and Aditya Ghosh-invested the airline had received a no-objection certificate from the civil aviation ministry in August 2021 for commercial flight operations.
Akasa Air has ordered 72 Boeing 737 MAX aircraft so far. By March 2023, 18 aircraft will be delivered. The remaining 54 aircraft will be available in the next four years.
Here, Jet Airways started recruiting employees on Friday. The DGCA had given the air operator certificate on May 20. This has opened the way for Jet to resume air services. Jet was once the largest airline company in the country. It had the highest market share. But, gradually its financial health started deteriorating. Eventually, it was forced to discontinue its services due to lack of money.
Air India is also trying to regain its old credibility. Its focus is on expanding services. It has offered jobs to about 55 retired pilots. The company is also going to acquire about 300 new aircraft.
It is believed that by July-August, there may be a tough competition between the country’s leading airlines. In such a situation, these companies can offer attractive offers along with discounts to woo the passengers. Passengers are expected to get the most benefit from this.