Garuda Plans to Decrease Frequencies to Cut Costs

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            In a move to reduce operational costs, flag carrier Garuda Indonesia plans to decrease its overseas flight frequencies and lower its business-class seats number. The move is also aimed at improving its competitiveness amid turbulent times in the industry.

 

            Arif Wibowo, Garuda Indonesia president director said, among the reduce frequencies namely Jakarta-Haneda, Denpasar-Haneda, Jakarta-Tokyo, Denpasar-Tokyo and Denpasar-Brisbane routes. “We will reduce the frequencies of our Jakarta-Tokyo and Denpasar-Tokyo routes from two a day to just one flight,” Arif said in a press conference as quoted by The Jakarta Post (02/01/15).

 

            He further added, “We are also cancelling our plan to open a new route to Nagoya, Japan, next year but instead will further expand our network in China to cater increasing demand from inbound leisure travelers.” He added again, “ We plan to open a new route connecting Denpasar and Beijing starting Jan. 12, following the good load factor recorded on our existing route to Beijing.” The Garuda load factor on Jakarta-Beijing route had reached 80 percent.

 

            The Denpasar-Beijing route is served by wide-body Airbus A330-200 aircraft with seating capacity of 222 passengers every Tuesday, Thursday and Saturday from Beijing Capital International Airport, and on Tuesday, Thursday and Friday from Bali’s Ngurah Rai International Airport.  

 

            Arif further stressed, Garuda consider the macro-economic side of a situation when deciding to restructure routes. He said, Garuda would also offer charter flights connecting Denpasar (Bali) and Manado (North Sulawesi) wth several cities in China such as Chengdu, Chong Qing, Ningbo, Kunming, Jinan, Harbin, Xian, Shenyang and Chengzhou.

 

            Angkasa noted the move is to cater passenger traffics during the Chinese Lunar New Year which falls on February 19. Beside China, Garuda is also looking to expand its network in the Middle East as rising demand of locals traveling to Saudi Arabia to perform umrah (minor haj). (ds)

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