The Hindu Business Line : Pioneer Underwater to venture into cruise tourism

Tourist attraction
To launch a medium sized cruise vessel, which can enter into any ports in India.
To offer exclusive ownership of full suite or affordable joint partner suite to customers.

V. Sajeev Kumar

Kochi, Sept 19

To tap the potential of the surging cruise tourism industry inthe country, the Kochi-based Pioneer Underwater Tours (P) Ltd is all set to enter into the sector by owning and operating a cruise vessel.

The company is planning to induct a 700 passenger capacity vessel to operate in the Indian Ocean ports and Gulf ports soon.

“We are negotiating with ship brokers in Europe to purchase the ship, which will be costing around $35 million”, Mr K. Baskaran, CEO, Pioneer Underwater Tours, told Business Line.

Cruise vacation

This is the first time an Indian company is venturing into the cruising business as the cruise tourism in India is poised for a significant mark in the international tourism scenario.

The concept of cruise vacation is gaining momentum in the country with a growth rate of 20-25 per cent on a year-on-year basis, he said.

However, he added that the market, which is an emerging sector, is largely unexplored.

Mr Baskaran, who is also a marine engineer by profession, said that the company is launching the medium-sized cruise vessel, which can enter into any ports in India.

The vessel is expected to reach here in two months’ time and will commence its first voyage by March 2008.

The amenities in the ship included casino, sun deck, swimming pool, international spa treatments, massage, live entertainment, five-star cafes and restaurants etc.

Joint partner suite

Besides cruising in the ship, he said the company is also introducing a novel concept by offering exclusive ownership of full suite or affordable joint partner suite to customers. The idea behind this is to dispose around 125 cabins in the ship to owners and they can either live in their suite full time or they can rent it out to earn potential rental income.

Refurbish cabins

The company after the purchase of the vessel will refurbish the cabins into luxury suites before its sold to owners. These suites can be considered as a second home or vacation home portfolio building. The suites owned by a customer are expected to perform better than most real estate investments available today.

The ownership interest is fully transferable and willable, he said adding, that owners can sell the suite at any time for full market value.

Regarding the marketing strategies, he said the company is planning to approach reputed travel agencies in the initial stage.

He pointed out that cruise tourism in India is a niche market and is primarily associated with hospitality and entertainment.

However, the Government has recognised cruise tourism as a thrust area and initiated a number of measures to promote cruise industry to position India as a global cruise destination, he said.