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This is an archive article published on November 27, 2007

AI may join global Star Alliance, hints Swiss International Airlines

Air India’s bid to join Star Alliance, the global alliance of international airlines...

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Air India’s bid to join Star Alliance, the global alliance of international airlines, seems to be gathering strength. Swiss International Airlines CEO Christoph Franz, in the Capital to flag off daily flights between Delhi and Zurich, re-affirmed his company’s close ties with Air India and the need for a ‘strong Indian partner’ in the global alliance.

Swiss Airlines is already part of Star Alliance, which also includes Air Canada, Air New Zealand, ANA (Japanese airlines), Asiana Airlines (Korean airlines), Austrian airlines, BMI (UK), LOT Polish Airlines, Lufthansa, Scandinavian Airlines, Singapore Airlines, South African Airways, Spanair,Tap Portugal, Thai and US Airways. While Franz did not say it in so many words, he indicated that AI might find a place in the alliance.

“We have always had a code share agreement with Air India in Delhi and Mumbai and it is a long going relationship. We are looking for a strong Indian partner because it is a very important and attractive market and it will help close a white spot in the alliance”, he said.

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On Jet Airways, which is also competing for a place in the alliance, Franz said that they had a good relationship with the airline but the decision would be taken by all the members of the alliance. “The decision on getting an Indian partner in Star Alliance should be taken in a couple of months,” he added. Being part of Star Alliance would be no mean feat for an Indian carrier and would give it a global identity, expanding customer access to a far larger network besides helping the carrier re-align international routes to access new markets.

Franz also underlined the significance of the Indian market in the current scenario, pointing out that Delhi is the first new intercontinental destination in their expanding network. Swiss Airlines had pulled out of Delhi in 2003 in the aftermath of 9/11, which had affected the finances of several airlines.

“India is an important destination for us not only for trade but also tourism. There was a 67 per cent increase in trade volumes between Switzerland and India between 2004 and 2006. The Indian market is very dynamic and developing at a very high speed. We are also glad that the Indian government is seriously looking at infrastructure upgradation at airports,” added Franz.

Switzerland Tourism executive vice-president (markets) Urs Eberhard said there had been a 300 per cent growth in Indo-Switzerland tourist traffic since 1997 and a robust 15.4 per cent growth even in 2007 so far. “India is one of what we call the five ‘strategic growth markets’ that include China, Russia, Korea, the Gulf and Indian movies have helped start this endless affair between the two nations. We hope to keep building on this”, he said.

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