Air India in its newly-privatized avatar will turn its attention to non-stop, long-haul operations as it takes delivery this year of the first batch of widebodies included in a recent pair of mega-orders for Boeing and Airbus aircraft, CEO and managing director of Air India Group Campbell Wilson told AIN during an online press conference on Tuesday.
Western sanctions imposed on Russia for its invasion of Ukraine will result in Air India taking delivery this year of six Airbus A350-900s originally meant for Aeroflot out of 40 ordered by the Indian flag carrier. As of January 2023, Singapore Airlines (SIA)—due soon to become an Air India stakeholder—ranks as the largest operator of the Airbus widebodies with 61 A350-900s.
Twenty Boeing 787s and ten 777-900s included in the orders for 470 aircraft revealed on February 14 will further Air India’s ambitions for medium- and long-haul travel connections. Air India also looks to restore its entire legacy widebody fleet of 27 Boeing 787-8s and thirteen 777s—committing more than $400 million for refurbishment. The orders also included 210 Airbus A320neos and 190 Boeing 737 Max jets.
With Indian carriers holding a small market share, Emirates Airline has until now cornered the market for Indians flying through its hub in Dubai for onward connections to its manifold destinations. Wilson said the large traveling population of India and a 37 million-strong diaspora could fly internationally from multiple hubs in India. “Why inconvenience yourself with a long layover?” he asked.
Air India remains in the process of integrating Vistara—in which SIA holds a 49 percent share—into its full-service product subject to regulatory approvals. Following an investment of $360 million in Air India, SIA will reinforce its partnership with Tata Group with a 25.1 percent stake in the enlarged Air India group. “The proposed merger will bolster Singapore Airlines’ presence in India, strengthen its multi-hub strategy, and allow it to continue participating directly in this large and fast-growing aviation market,” said the Singaporean flag carrier during its quarterly results meeting in late February. Wilson declined to comment on synergies expected from the addition of SIA as a stakeholder.
Air India Group plans to rebrand AirAsia India and Air India Express as the low-cost airline of the major airline. With the replacement of much of the existing fleet and some additions in the next few years, Wilson told AIN he expects the group’s fleet to number 218 by 2030.
"Challenges are enormous," said Wilson, who named manpower as the “single largest.” Air India plans to hire 4,200 cabin crew and 900 pilots through 2023 to support its fleet expansion plans. Wilson added IT needed the most attention. “It’s all work in progress,” he concluded.