Ia Plans To Up Cargo Capacity By 25 Per Cent

Indian Airlines (IA) is planning to enhance its cargo capacity by 25 per cent, Sunil Arora, chairman and managing director of Indian Airlines, said today.

The airline currently handles around 300-340 tonne of cargo per day.

The cargo business of IA contributes around 10-11 per cent to the total revenue and is showing further growth.

Colombo, Maldives, Singapore and several destinations in the Gulf offer a huge potential for growth.

The airline carries perishable items including vegetables and seafood beside other things to these destinations.

The airline expects a growth of around 30 per cent in cargo business in the next couple of years. Also, Alliance Air, the subsidiary of IA, has increased its seat capacity to 4,000 seats per week from around 2,100 seats per week.

Meanwhile, concerned with the falling load factors, the domestic carriers introduced new promotional fares