BA continues subtle expansion in India but raises concern at growing costs

BRITISH Airways increases its passenger flights to India, its second largest market after the US, to total 47 to include main destinations of Hyderabad and Chennai at six flights per week from five despite the significant costs that impact airlines.

According to BA's regional commercial manager for South Asia, Christopher Fordyce, fuel price increases and airport fees have become prohibitive for some carriers who are not able to pay premium in India, reports IANS (Indo-Asian News Service).

Although premium customers services and plane structure mitigate costs, they are still significant, making profitable expansions in India and beyond more difficult.

BA has increased capacity to Hyderabad and Chennai 20 per cent with 200 additional seats a week for each destination. It has also offered a 25 per cent discount on its Club World tickets booked before November 23 from India to London.

Mr Fordyce said that there were no plans to buy stakes in an India airline, but it is still unknown whether India's decision to allow foreign direct investment will be of significance.