Financial Daily from THE HINDU group of publications Tuesday, Feb 17, 2004 |
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Logistics
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Airlines IA, Kuwait Airways tie up To move cargo between Kochi-Coimbatore G. Gurumurthy
Coimbatore , Feb. 16 INDIAN Airlines, to move that extra bulk international cargo which was hitherto being lost to bonded trucking on the Coimbatore-Kochi sector, has tied up with Kuwait Airways. Under this arrangement evolved through a sector-specific cargo promotional package, Indian Airlines will carry the Kuwait Airways-booked customs-cleared export cargo from Coimbatore to Kochi at a reduced tariff that almost matches the rates quoted by the truck operators. According to Mr Ramani Kumar, IA's Area Marketing Manager at Coimbatore, the tie-up with Kuwait Airways valid for a year from January 2004 will enable IA move the bulk international cargo from Kuwait Airways from Coimbatore to Kochi airport on its Chennai-Coimbatore-Kochi-Sharjah flight. The special promotional rate for this cargo would be a discounted rate from the existing sector tariff of eight cents per kg (or around Rs 7 per kg) hitherto levied by Indian Airlines on this sector. Accordingly, the Kuwait Airways' export cargo handled by IA on this sector would now be given the reduced rate of around Rs 4 per kg. This arrangement would enable the IA to utilise fully the space and the cargo-carrying capacity of the thrice-a-week Chennai-Sharjah flight being operated through Coimbatore-Kochi sector. Kuwait Airways, which has its regular flight from Kochi to Kuwait, and has been trucking the outbound cargo meant for European destinations originating from Coimbatore region to Kochi to connect its flight, will stand to consolidate the international cargo and move quickly to Kochi using IA carrier. IA's promotional tariff for Kuwait Airways will be applicable only for cargo weighing minimum 100 kg. In another significant move, the IA has also come out with yet another promotional cargo tariff package for the Coimbatore-Delhi sector that offers 60 per cent reduction from the normal tariff for the domestic cargo booked through Indian Airlines regular flight. The increased air connectivity to and from Coimbatore is expected to fuel the cargo rate war in the coming weeks with a view to staking a respectable share in the cargo pie originating from this region.
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