Kolkata, Chennai Airports to Begin Modernisation Work in September

Good news if you fly out of Kolkata or Chennai airports: the government approved a plan to begin modernising the airports beginning in September. The government had been debating privatising the airports, but they decided to wait on that decision so as to not put off construction any further.

Dubai to Allow Tourist Visas for Indians

Dubai's government has decided to extend its liberal tourist visas to visitors from the subcontinent. With many airlines adding flights to Dubai, this will make travel to the region even easier for Indian visitors. Visas are arranged by your hotel or tour operator (though visitors from 33 other nationalities, including the US and Australia, can still receive a visa on arrival).

Delta to Shift Mumbai Flights to Atlanta from New York

Delta will discontinue its nonstop service from New York to Mumbai effective 1 November and shift the flight to its hub in Atlanta. The airline notes that the southeast lacks nonstop service to India and that its large number of connecting cities to its hub will provide more people with 1-stop service to the region.

Chennai - Hyderabad Flights No Longer Served by Jets

If you're planning to fly from Hyderabad to Chennai, it's going to take you about 35 minutes longer. To cut capacity (and costs) on the route, Jet Airways has removed its jets from the routes and replaced them with ATR turboprop aircraft. With this change, 7 of the 9 flights a day will be served by turboprop aircraft. Travelers generally prefer jets because they are faster and quieter.

With the increase in fares (and taxes), leisure travelers on the route are switching back from flying to the trains.

Jet Airways, Others, Consider Holding Off on New Planes

Airbus and Boeing are working with their Indian airline customers to defer delivery of new planes they have ordered rather than having the airlines cancel the lucrative business. Boeing believes that the Indian aviation market with need 1,000 new aircraft over the next 20 years, and they're not changing that forecast despite the current downturn.

That downturn is rough: airlines are expected to lose about $2 billion this year, roughly double what they lost last year. In response, GoAir, Air India and others have cut capacity (Air India by 15% or so). This was a necessary response, considering there were 50 flights a day between Delhi and Mumbai - way too many for the market.

Last month we saw SpiceJet remove toffees from its flights. Now, JetLite will begin charging for water and snacks. Consumers may complain, but the alternative is that they'll complain much more when there are no more flights at all between the cities they want to fly.

Fares to the Gulf Slashed by 15%

Good news for people traveling to the Gulf: Air India and Indian have both lowered fares by about 15% to the region from India. Delhi, Mumbai and Cochin are seeing the biggest discounts. According to Intelligent Traveller, air traffic to West Asia constitutes nearly 40 percent of the Indian aviation industry's total international operations.

Kingfisher to Launch London Flights in September

Kingfisher announced that it will launch flights to the UK beginning in September. The loss-making airline (1700 Crore over the last 2 years, not counting the nearly 650 Crore lost by sister-airline Deccan) will launch the service in the wake of a miserable cost structure for long-haul carriers. With other airlines closing long-haul routes around the world, this could be Mallya's biggest challenges yet.