KIA investing ₹13,000 crore on infrastructure expansion

Bengaluru, 28 Jan 2020 [Fik/News Sources]: The Kempegowda International Airport, Bengaluru (KIAB or BLR Airport) welcomed 33.65 million passengers during the calendar year 2019, registering a 4.1 per cent growth, compared to previous years 32.33 million.

While international passenger traffic witnessed double-digit growth of 14.0 per cent, an upswing from 4.27 million in CY 2018 to 4.87 million in CY 2019, domestic traffic grew by 2.6 per cent, from 28.05 million to 28.78 million.

The year 2019 has been a turbulent year for Indian aviation, mostly impacted by the closure of a large airline and supply-side challenges caused by the grounding of some aircraft types, according to a BLR airport statement.

These factors had a ripple effect as the ATMs at Bengaluru airport were down by 0.1 per cent as against the double-digit CAGR witnessed in the previous five years (CY14 to CY18).

The total ATMs during 2019 was 235,058 as compared 235,190 in CY 2018.

Notably, international movements remained on the upswing, growing by 13.0 per cent with a total of 30,556 ATMs as compared to 26,966 ATMs in CY 2018, owing to the launch of new routes and new flights during Winter 2018.

Domestic movements saw a slump of 1.8 per cent to 204,502 ATMs from 208,224 ATMs in CY 2018.

Meanwhile, domestic cargo remained positive, registering a 4.1 per cent growth.

The total domestic cargo processed during this period was 149,603 Metric Tonnes (MT), as against 143,701 MT in CY 2018.

In the same period, international cargo dropped by 4. 1 per cent, it was stated.

“The aviation market in India is in recovery mode after a volatile period. We estimate that passenger volumes at BLR Airport will be between 55 to 65 million passengers per annum (mppa) in the next five years.

To support this growth, BIAL is investing ₹13,000 crore for infrastructure expansion, including the South Runway, which is operational, and the first phase of Terminal 2,” said Hari Marar, MD & CEO, Bangalore International Airport Limited.

Among the airlines, Indigo continued to lead as their passenger figures, to and from Bengaluru, rose by 13.0 per cent from 13.81 mppa in CY 2018 to 15.61 mppa in CY 2019.

On the domestic front, Delhi (13,186) and Mumbai (11,801) continued to be the most travelled destinations from Bengaluru while Singapore (1,628) and Dubai (1,488) were the top international cities by annual scheduled passenger movement CY19.

Seven new destinations and two new international airlines were introduced during the course of the calendar year.

Two more Japan Airlines to Tokyo and Lufthansa to Munich are set to operate from Summer 2020.

Currently, Bengaluru is connected to 82 destinations, including 25 international cities.

Thirty-six passenger airlines (eight domestic and 24 international, including four Indian carriers) operate to and from BLR Airport on a regular basis.

In addition, there are 14 cargo airlines, including two Indian carriers.

BIAL has recently entered into an agreement with Phase 1 Events and Embassy Group to manage and operate a Concert Arena, scheduled to be ready by the end of 2021.

“This multipurpose arena will take entertainment a new level, enabling the coming together of world-class music bands from across the globe, sporting events, expos and exhibitions, round the year,” the statement said.