SpiceXpress, SpiceJet’s cargo airline, is full of promise; but there is turbulence ahead


With revenues from cargo increasing faster than that from tickets for almost all airlines last fiscal, SpiceJet has a good reason to start freight services.

The airline, earlier this week, launched its cargo unit named SpiceXpress and inducted its first freighter aircraft, a Boeing 737-700. The service will take off from September 18.

Curiously though, the cargo segment – just like passenger services – faces challenges in the form of inefficient infrastructure and intense competition cutting into margins. With additional capacity on its way, the Ajay Singh-led airline will have to play it right to make operations profitable.

This year, most airlines have shown a healthy increase in cargo volumes. SpiceJet’s cargo volumes were up nearly 35 percent till July this year – at 43,184 tonne – compared to the same period last year. Read More

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