New Indian airports issue first tenders

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Gavin Lipsith

20-Mar-2006

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Flight catering tenders at new airports in Bangalore and Hyderabad have been welcomed as "responsible" by parties involved in the process

The new airports at Bangalore and Hyderabad have launched their first commercial tenders, for flight catering. Companies bidding for the business said the documents showed "a responsible approach" from both authorities that was a positive indicator for forthcoming duty-free tenders.

Flight catering is a well-developed business in India, with three major players—each backed by strong international companies—controlling most of the market. The tenders, at India's first private greenfield airports, reflect the stated intentions of both airports to ensure their operations meet international standards while offering a fair deal to concessionaires.

One bidder for the catering concession told DFNI Asia: "If these first tenders are anything to go by, the airports plan to live up to their promises in the duty-free tenders. They are reasonable and responsible and should allow the concessionaire to make a profitable business."

Further details of the retail tenders at the two locations are expected later this year.

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