TAA revives interest in subcontinent

At least four cities including Kathmandu and Manila are on Thai AirAsia (TAA)’s radar for network expansion this year.

TAA, Thailand’s largest low-cost carrier (LCC), is also reassessing the possibility of rejuvenating its Indian coverage and strengthening its Chinese connections.

In addition, it is keen on development of a series of domestic and international routes around the navy-operated U-tapao airport in Rayong province.

TAA chief executive Tassapon Bijleveld told the Bangkok Post the planned destinations will serve the airline’s growth plan this year as it builds a fleet of 45 Airbus 320 jets, up from 42.

On the drawing board is the introduction of a new route from its Don Mueang Bangkok base to an Indian city, which he declined to name. But insiders said Bangalore, officially known as Bengaluru, is among a few Indian cities under consideration as TAA attempts to rebuild its Indian market.

TAA’s two initial Indian routes — Bangkok-Delhi and Bangkok-Kolkata — were introduced in December 2010 and terminated in March 2012 and March 2014, respectively, due to high costs, especially fuel and ground handling charges imposed by Indian airports.

Its other Indian route — Bangkok-Chennai — was introduced in March 2012 and has survived.

Thailand ranks No.6 for Indians’ top 10 preferred destinations, making it a compelling market for TAA to revive its market penetration. The Tourism Authority of Thailand reported 1 million arrivals from India last year, with 1.1 million projected to arrive this year.

TAA hopes to start regular services to Manila this year or early next year. Manila services are now restricted by traffic rights regulations, but would be made possible by liberalisation under the Asean Single Aviation Market pact.

The airline has long been interested in using U-tapao airport to develop a network serving Pattaya and the Rayong area. The government’s planned development of a major rail transport system in the region has reignited TAA’s desire to commence flights from the military airport, said Mr Tassapon.