Code sharing pact between BA, Kingfisher gets government nod

The aviation ministry has approved a domestic code-share agreement between Kingfisher Airlines Ltd and British Airways Plc, making it easier for travelers to visit a dozen cities in the two countries. Code-sharing allows one airline to include destinations offered by another airline on its own ticket. It usually happens for international routes. In May, Indian and UK aviation authorities amended a bilateral pact to allow code-sharing for some local routes between their airlines in principle, though every agreement will still require clearance from the government. Indian carriers Air India and Jet Airways (India) Ltd have sought similar agreements with the British Midland Airways. Two ministry officials said that the government has okayed domestic code-sharing between Kingfisher and British Airways, and the airlines will soon be informed. Both spoke on condition of anonymity. “We look forward to being able to offer our mutual customers the benefits of an increased network,’’ said a British Airways spokeswoman. A Kingfisher official said the agreement will help the carrier become a part of the Oneworld airline alliance by 2011. Global airline alliances allow members, who mostly have code sharing agreements with each other, to cooperate substantially. Kingfisher plans to have code-sharing agreements with Japan Airlines Ltd and Hong Kong’s Cathay Pacific Airways, both of which are Oneworld members. “We do not intend to expand operations this year but focus on consolidation,” the airline official said, requesting anonymity. The debt-laden carrier reported a net loss of Rs1,647.22 crore for the year ended 31 March, and had a debt of Rs7,413 crore at end-December. With a fleet of 66 aircraft, Kingfisher flies to 61 Indian cities, and operates daily flights from Mumbai and New Delhi to London. The amended aviation agreement makes the UK only the sixth country with which India has such a pact, after the US, France, the Netherlands, China and Japan. It allows UK carriers to codeshare with Indian carriers for at least 10 Indian destinations— New Delhi, Mumbai, Kolkata, Chennai, Hyderabad, Bangalore, Ahmedabad, Kochi, Goa and Coimbatore. In lieu, the UK offers only five destinations—London, Manchester, Aberdeen, Edinburgh and Glasgow. “It sounds like a lopsided deal on paper,” said a London based analyst, who did not want to be named. Indians make up 1% of UK’s population of around 62 million and are the country’s largest minority group, according to the 2001 census of the UK’s Office for National Statistics. “The lack of Punjab (in the agreement) surprises me. Given the huge Punjabi population of Southall (a locality in west London), I expected Amritsar or Chandigarh,” the analyst said.

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