Air India will begin domestic cargo service this month after an eight-week delay, using the central city of Nagpur as a hub connecting points east, west, north and south.
The airline plans to operate its service to Mumbai, Delhi, Kolkota and Chennai via four freighter-configured 737-200 aircraft and one 310-200 freighter. The city of Chennai, known for its textiles, garments, machine parts, leather products, pharmaceuticals and mobile devices, will also connect to Bangalore and Hyderabad. Air India expects to take possession of a 310-300 freighter by year's end.
The move comes after several international carriers have exited the Indian cargo market this year. Etihad Crystal Cargo discontinued service to Mumbai and Bangalore but picked up Chennai and Kozhikode. Cargolux terminated service to Chennai, and China Airlines reportedly pulled out of Delhi. Meanwhile, Cathay Pacific improved its investment in Delhi and Mumbai by increasing flights to those cities earlier this year.
Air India was among the many cash-poor Indian carriers to receive government funding in a mini-bailout last month. No word yet if a portion of Air India's $1 billion Indian Overseas Bank loan-which is earmarked for aircraft funding-will be used toward the Airbus freighter purchase. |
