SpiceJet inks MoU with Afghanistan Chamber of Commerce & Industries
Sep 17, 2018: India’s leading carrier SpiceJet has signed an MoU with Afghanistan Chamber of Commerce and Industries (ACCI) in order to promote trade via Indo-Afghan air corridor.
The carrier plans to transport 1500 tonnes of cargo every month under this MoU.
The MoU was signed by Manjiv Singh, chief project officer, SpiceJet Ltd. and Atiqullah Nusrat, chief executive director, ACCI along with Ajmal Ahmady, senior advisor of the President of Afghanistan in banking and Financial Affairs.
The airline stated, “In collaboration with ACCI and with the support of government of Afghanistan, SpiceJet will transport fresh fruits and dry fruits, carpets and other commodities from Kabul to different states of India at competitive prices, which will be subsidised by the Afghan Government.”
SpiceJet operates dedicated air cargo services under the brand name SpiceXpress. SpiceJet would be transporting these commodities from Kabul using its freighter aircraft to Indian metro cities and through its pan India passenger flight network would be distributing it to 47 cities in India.
The sustainable and on time access to the global markets is a vital need for Afghanistan.
SpiceJet is excited about the tremendous potential the logistics industry offers. There is a huge untapped market for air cargo services in India and a player like SpiceJet - with its low cost structure - is best suited to address this need.
SpiceXpress which starts operation from September 18, 2018, will function as a separate business unit under SpiceJet Limited. SpiceXpress has laid down a detailed plan covering both domestic and international routes. To begin with the air cargo operations will cover Delhi, Bengaluru, Guwahati, Hong Kong, Kabul and Amritsar.
The airline signed the MoU right after the induction of its first freighter aircraft, a Boeing 737-700. SpiceJet plans to have an air cargo fleet with the first four freighters scheduled to be inducted in FY 2019.
The current cargo capacity of SpiceJet’s existing fleet is about 500 tonnes per day and with the launch of the dedicated freighter service this capacity would go up to 900 tonnes a day in a phased manner with the addition of four freighters by March 2019.
SpiceJet currently offers cargo capacity on its passenger aircraft fleet of 36 Boeing and 22 Q400s operating across 47 domestic and 7 international destinations. The added capacities through the acquisition of the freighters will enhance the airline’s existing cargo competence to 60 domestic destinations by the end of this year.
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