Budget carrier GoAir adds Chennai as its 22nd destination. With the addition of its 12th Airbus A320, the company will start operations in Chennai from May 1.

“This is part of our growth strategy to strengthen the existing network, connecting 22 destinations,” said Mr Giorgio De Roni, Chief Executive Officer, of Go Airlines (India) Ltd.

Announcing the launch at a press conference here today, he said GoAir will operate two daily round-trip services between Chennai and Mumbai, a daily flight between Chennai and Pune and a five-weekly service between Chennai and Port Blair.

The schedule of Chennai-Mumbai flight will allow easy connections between Chennai and Delhi, Chandigarh, Patna and Ranchi, he added.

Chennai was in GoAir's network earlier.

In May 2008, it pulled out of Chennai as it was not viable.

Responding to a question on this, Mr Roni said the company's initial stint in Chennai was out of an enthusiastic start-up approach.

Business aproach

But, the foray now is based on a sustainable business approach, he said.

According to him, Chennai is expected to account for 10 per cent of the carrier's passenger traffic, “and, hence, an important market for us”. GoAir has no plans to expand its network any further this year, but will consolidate its operation by increasing frequencies between the existing points.

Last year, GoAir operated 30,000 flights and moved four million passengers to 21 destinations.

“With one more destination in the network, we hope to do 35,000 flights and fly at least five million passengers this year,” he said.

Responding to a question on demand and supply, he said in 2011-12, capacity was increased more than demand, which put a lot of pressure on average fare. But, he said, the situation is far better now.

Without giving out any numbers, he said, though the company made profits in the year 2010-11, it posted “marginal” losses in 2011-12. “But, we are confident of bouncing back to profits this year,” he said.

>rravikumar@thehindu.co.i n

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