Julian Moxon/MUMBAI
Jet Airways plans a major expansion of its regional fleet with the acquisition of additional ATR 72 turboprops and a fleet of 70-seat regional jets.
Naresh Goyal, president of the fast growing private domestic airline, says a large number of regional aircraft will be required, and that the airline is discussing a 70-seat jet purchase with Bombardier, Embraer and Fairchild. "Up to 25 aircraft may be needed. We don't know the mix of jet and turboprops yet," he says.
The airline's order for five ATR 72s could be doubled following an Indian Government decision to slash its sales tax policy on turbo-prop fuel. The fuel move is intended to encourage regional airline operators in India, although Goyal admits its regional turboprop operation, which began in November, is unlikely to be profitable in the short term. The government cut the tax from almost 30% to 4% on 17 January, halving the fuel proportion of ATR 72 operating costs.
"These aircraft are an investment that will help us create new markets," Goyal says. The mainstay of the carrier's growing fleet is the Boeing 737.
Meanwhile, ATR is awaiting Indian Government approval for an initial order for six ATR 42s from Indian Airlines, with 10 options. ATR says the order would clear the way for more sales and identifies a requirement for at least 100 new aircraft for civil and military roles in the country.
• ATR reports sales of 30 new aircraft in 1999, with 52 used machines placed. Production in 2000 will be cut from 35 to 30.
Source: Flight International
