New report urges Melbourne to expand flight links with Indian cities

A recent report highlights the need to increase air connectivity between Melbourne and several Indian cities including Bangalore, Chennai, Hyderabad, Amritsar, Chandigarh and Kolkata, for better people-to-people links as well as trade and investment.

INTERNATIONAL BORDERS OPEN MELBOURNE

In 2021, India was the tenth largest source of visitors to Australia. Source: AAP / JOEL CARRETT/AAPIMAGE

Key Points
  • The report titled 'Aana Jaana: Exploring Opportunities to Enhance Air Connectivity between Victoria and India,' outlines trends in travel between the two sides.
  • It says air connectivity plays a crucial role in supporting the movement of goods and services, as well as passengers, between Victoria and India.
  • 'Visiting friends and relatives was the dominant purpose of travel by 41 per cent of all international overnight visitors to Victoria in the year ending June 2022," the report says.
  • Despite high air fares, it notes the demand for air travel between Melbourne and India is increasing.
A newly published report by the Australia India Institute (AII) underscores the significance of strengthening travel connections between Victoria and multiple cities in India.

Titled 'Aana Jaana: Exploring Opportunities to Enhance Air Connectivity between Victoria and India', the report aims to enhance not only trade relations but also foster deeper people-to-people ties between the two regions.
Air connectivity plays a crucial role in supporting the movement of goods and services, as well as passengers, between Victoria and India. Re-establishing and expanding flight connectivity with India is a priority for the Victorian Government as international borders reopen after the COVID-19 pandemic.
The report titled 'Aana Jaana: Increasing air connectivity between Victoria and India'
The report outlines trends in passenger demand for tourism, education and business travel and trade between Victoria and India.
Virus Outbreak India Tourists
Despite the high air fares, the demand for air travel, and for increased air connectivity, between Melbourne and India has been increasing. Source: AP / Rishi Lekhi/AP/AAP Image
It identifies five areas to boost air connectivity, including collaboration with other airlines for adding more indirect routes and services, participation of low-cost carriers to cater to more price-sensitive travellers, and unlocking destination cities in both countries for more seamless connectivity.

Developing partnerships and packages such as code-sharing and loyalty programs that diversify travel experiences as well as expanding routes and services to key Indian cities in north and south have also been recommended.

According to AII CEO Lisa Singh, the report sets out how Victoria can seize opportunities from increased air travel between the two countries, including educational ties, business growth, tourism and two-way trade.
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Australia India Institute CEO Lisa Singh
"Victoria has the largest Indian diaspora and strong student representation in major universities, so Melbourne has a particularly strong interest in building air connectivity with India,“ she says.
 
“Picking Melbourne allows us to hone in on the specific problems faced by Victorian travellers, which means we can give a focused analysis of how to address air connectivity instead of a one size fits all approach,” Ms Singh points out. 

The report says that despite high air fares, current passenger demand is surpassing available seat capacity.
From January to August 2022, there were a total of 358 direct flights from Delhi to Melbourne operated by Qantas and Air India.
The report 'Aana Jaana'
These flights had a combined seating capacity of 90,497. Additionally, there were 351 direct flights from Melbourne to Delhi, out of which 241 were non-stop flights.

The total seat capacity for these outbound flights was 88,861.
In 2019, the demand for direct flights from India to Australia was estimated to be 275,000 passengers. However, the seat capacity was limited to only 80,000 (according to PwC).
The report 'Aana Jaana'
Referring to the growing diaspora, including international students, in the state, the report says, "Family connections are fuelling the return of Indian international visitors to Victoria in the aftermath of the pandemic."

"Visiting friends and relatives (VFR) was the dominant purpose of travel by 41 per cent of all international overnight visitors to Victoria in the year ending June 2022," the report says.
India Airline Sale
Melbourne currently has two airlines (Air India and Qantas) offering non-stop flights to India. Source: AP / Kevin Frayer/AP/AAP Image
It also points out that Victoria’s tourism operators were reporting large unmet demand from the Indian diaspora and that over 87,000 Indian visitors arrived in the year to August 2022, reaching 44 per cent of pre-pandemic levels.

Sarita Mcharg, who resides in Melbourne, is a frequently traveller to India to visit her unwell father.

She hopes the report's recommendation can be put in place to counter increasing airfare expenses.
sarita.jpg
Sarita Mcharg lives in Melbourne.
"Increased flight options will lead to reduced airfare costs and improved accessibility, which is particularly advantageous for someone like me who frequently travels to India," Ms Mcharg comments.

"I come from Ujjain, located in central India, and I hope for a direct flight connection to my hometown, as currently I need to make layovers in Mumbai or Delhi," she adds.

Ms Singh says the report aims to "strengthen and celebrate the personal connections between the two sides through recognising the importance of increased direct flights for bringing together businesses, students, visitors and families."
“In addition, this report will build knowledge and understanding of India across government and industry by building business understanding of the trade and investment opportunities that increased direct flights enable.“

According to a Victoria government spokesperson, the state's diversity is one of the many things that make it a great place to live and visit.
"Our Indian community is the biggest in Australia and helps make Victoria a more vibrant place. Having regular flights between India and Victoria helps the community and massive Indian student population stay connected to home while boosting our economy and creating jobs," the spokesperson told SBS Hindi.

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By Natasha Kaul
Source: SBS

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