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‘Qatar Airways Keen On Indian Market’

Qatar Airways’ chief executive officer, Akbar Al Baker, in an exclusive with Charmaine Fernz, talks about the airline’s perspective on the Indian market and their future plans. Excerpts

Having being launched in 1994 and re-launched with an aggressive marketing strategy in 1997, Qatar Airways has come a long way and achieved much in a short span. Initial setbacks had to be dealt with in the form of an image change from being known as a ‘labourer’ carrier and just another small regional airline serving the Gulf to being in the competitive ring with other Middle-East carriers. This metamorphosis took shape with the arrival of Akbar Al Baker, CEO in 1996 and a strategy overhaul began which sought to reshape and redefine the airline. The result is an entirely new modern fleet of Airbus that is set to double over the next two years - introducing A380s, additional A32s, A300s and A330s.

The Indian Scenario
India has a lot to offer, the only hurdle is the right management of things. Firstly, the country could triple its revenue if it realised the potential of its airports and carriers. With the right design and maintenance, airports could be major revenue generators. Secondly, one should privatise as much of the state institutions, which would in turn attract investment. Open up the airspace. Increased competition will improve quality. The country definitely stands to gain, if it opens up the skies. India needs to be more proactive as a country. No doubt, there are certain states that are active in their own way but government hurdles block growth prospects. Taking a cue from China, though both countries share a lot in common with regards to history, heritage etc. China does not have the middle class population that India does and on which it can encash.

Privatisation
The Indian government should realise that the Indian carriers are not big enough to cater to the growing capacity. With regards to Air-India, which has now been put on hold, no foreign airline would like to invest a huge amount of cash where it does not get management control. However, for India’s growth potential, the country could reap large economic benefits by introducing a more liberalised aviation policy. We had evinced interest in a tie-up as a joint venture partner in ground handling operations in India, but before proceeding ahead, we should be able to read the fine print of the rules. Subsequently, we had also expressed interest in privatisation of airports but the process seems to be shelved for now.

Growth Plan
As part of the airline’s growth plan, Qatar Airways would extend its route network to 50 destinations by the end of 2003 from the present 40. Adding to the connections would be the Moscow flights that commence from August. On the Indian front, we would like to cater to the southern destinations of Chennai and Bangalore, which would also include Delhi. However, we are awaiting a positive response.

Subsequently, the third phase of the expansion of Doha International Airport will also see Qatar Airways invest an additional US $50 million. The third phase will provide an additional five bays - taking the total number of bays to 29 when the expansion is complete.

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