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AirAsia’s future India hub city of Chennai excited about benefits to its travel economy

Excerpt from TheHindu

Mar 28, 2013 12:05 am

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Chennai, formerly Madras, has been a relatively sleepy travel hub in India, amidst all the activity in Delhi, Mumbai or even Hyderabad. This move will surely have big benefits to the local economy, and likely will spur more hotel and infrastructure development.

— Rafat Ali

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AirAsia has entered the Indian aviation scene and its plan to make Chennai its hub of operations has brought cheer to stakeholders…The development is also likely to be a shot in the arm for hotels and taxi services. Officials of Fast Track, a taxi service which earns 25 per cent of its revenue from the airport, said they were hopeful of at least five per cent growth in revenue.

Similarly, the hotels, especially 3-star ones, may see a rise in bookings of up to 10 per cent, said M. Venkada Subbu, president of Tamil Nadu Hotels Association. “Apart from tourists and business travellers, we have people from India and abroad coming in for treatment. They will also benefit from this venture,” he said.

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