Indian air express operator AFL plans to launch its own flights in the latest move by specialistcompanies to cash in on the booming Indian express market, according to reports from India. The
express airline would compete with DHL-owned Blue Dart Express, First Flight Couriers and passengerairlines offering freight capacity on domestic routes.Managing director Cyrus Guzder told online news site Mint that he planned to take a minorityshare in a new cargo airline that would operate with jet freighters. Capacity would be used by AFLbut also rival operators.
“We have received in-principle approval from the government for the venture and will startwith two narrow-bodied jets,” Guzder said. “We plan to operate a cargo service that would servicethe domestic market for time-sensitive cargo in India, doing a round robin of all the six majorcities between 10.30pm and dawn, and then fly regional routes to the Gulf and South-East Asiaduring the day.”
AFL, owned by the Guzder family, had revenues of some eight billion rupees (EUR 145 million)in 2006/07. The company, founded in 1945 and now with some 1,800 employees, is active in airexpress under the AFL WIZ Express brand and has a freight logistics joint venture with Germany’sDachser.
In July 2007, AFL sold a 26% stake in joint venture CWT India to its partner, CarlsonWagonlit Travel (CWT), the worldwide business travel management company, for an undisclosed sum butretained a 24% minority stake.
