TruJet Lessons: How To Keep Flying And Counter The Competition

Barely five years old and with only five ATRs in its fleet, TruJet has managed to survive in what can be considered as difficult times for the aviation sector in the country. The regional carrier has not been able to scale up its operations and today, finds itself at a crossroad, writes Ameya Joshi. If it can sustain itself, TruJet could become a model for successful regional operations in the country.

- Ameya Joshi

TruJet, the Hyderabad based regional carrier, operating with five ATR turboprop aircraft has sustained against the tide in the last few years. The airline has three-fourths of its flight operations under the Regional Connectivity Scheme (RCS) - UDAN (Ude Desh ka Aam Nagrik) and has been one of the few success stories of UDAN, while others like Air Odisha, Air Deccan and Zoom Air have either closed down or suspended and are back in limited capacity only.

The airline is little known and has been shadowed even at its hub Hyderabad where domestic market leader IndiGo – now bases more ATRs than the entire fleet of TruJet. While the airline might have losses on its books, it is at a crossroad like few others in the past. TruJet’s future will define how regional airlines can sustain or if they can at all sustain or not. There is a lot at stake for the government as well as airports and not just the carrier. TruJet has the opportunity to be a case study for successful regional operations or be another carrier which couldn’t scale beyond five years.

The airline started operations in July 2015 with two aircraft. The airline has a scheduled regional carrier permit and operates under the Scheduled Commuter Operating Permit. It has largely been looked at as the airline which goes to places where no other airline flies, for its route network comprises places like Salem, Vidyanagar, Jalgaon and others where it is the only airline and has thus contributed to the Prime Minister’s dream project of having 100+ operational airports. If not for TruJet, these airports will cease to function.

Most of the routes operated by TruJet are either monopoly or duopoly. The airline bid a high number of routes in the first phase of UDAN which had a condition of exclusivity and that has led to it having such a large number of monopoly routes. However, it tried vacating a large number of routes that saw heavy competition which put it at a disadvantage.