Jet Airways and Kingfisher Airlines, both based in India, have agreed to begin code-share on certain flights on domestic routes. In fact, the two airlines had announced in October 2008 that they were entering into what had been described as the largest operational alliance in the aviation sector of India.
Jet Airways and Kingfisher Airlines are India’s biggest privately owned airlines in terms of passengers carried.
In code-sharing, which is a commercial agreement between airlines, airlines mutually use their two-letter identification code to book flights and sell seats under each one’s own name on another carrier’s flight.
This would result in the code-shared airlines obtaining a larger network by using fewer flights as well as flying different legs of a journey by issuing a single ticket.
The code-sharing will allow Jet Airways and Kingfisher Airlines joint fuel management to reduce fuel expenses and common ground-handling.
It will allow cross-selling of flight inventories using a common global distribution system platform and cross-utilisation of crew on similar aircraft types and commonality, Kingfisher Airlines said.
In a statement, Saroj K Datta, executive director of Jet Airways, said that the two carriers expect the code-sharing pact to bring in more passenger traffic to both Jet Airways and Kingfisher Airlines.
He said the two companies had drawn up a plan for code-sharing between the two airlines and that the proposal would be submitted to the government of India soon for approval.
In India, airlines wanting to enter into passenger-sharing alliances require approval from the Directorate-General of Civil Aviation (DGCA).
Jet Airways and Kingfisher Airlines, Saroj K Datta added, would code-share on domestic routes for the time being and a decision on international routes would be taken later.
“Code-sharing, however, will not result in any savings or profits, but will generate more traffic for both airlines,” he said.
Kingfisher Airlines said, in a statement, that the company is “in discussions with Jet Airways on code-sharing on certain routes and will be starting such flights shortly.”
According to estimates by the aviation industry, India-based airlines have been hit hard by falling passenger numbers, and the domestic airlines are likely to suffer combined losses amounting to $2 billion.
Figures show that air traffic in the first quarter of the current calendar year dropped by 12% as local carriers flew 1.37 million fewer passengers compared with the first quarter a year ago.