Malaysia-based low-cost airline AirAsia is one of the airlines trying to make a difference on the Indian market. The airline considers the Indian market as one of the most important ones to offer the lowest possible fares to, in order to take on the competition. With this in mind, the airline is planning to add 10 Airbus planes every year to its Indian operations.
This move by the company will be affecting local rivals like IndiGo and SpiceJet, who will be looking at new ways to beat the competition. Tony Fernandes, group CEO of the company said that he wanted to meet India?s aviation minister Ajit Singh so that the company can get the final approval from the ministry and added that the flights of the airline will begin their operation by the end of 2013.
In February 2013, reports said that AirAsia announced its plans to set up a partnership with a domestic Indian airline, along with Tata sons and an Indian investor, under which it would hold a 49 percent stake in the joint venture.
More reports have revealed that the Malaysia-based company already got an approval from the Foreign Investment Promotion Board of India to invest 800 million Indian rupees in the venture.