Tea Update

How much tea is too much tea?

Shafraz Farook

1998's surplus tea production is predicted to depress tea prices for the next two years. An extract from The Economist Intelligence Unit (EIU) quarterly report published in the Asia Siyaka weekly, predicts that international prices could drop more than 40 percent by the first quarter of 2001, to US$ 1.40 per kilo.

A surplus of two million kilos of black tea was carried over from last year's surplus. This year's one million shortfall punched the wind out of the the surpluses devastating effect, but not before it caused some damages.

The EIU believes that all the main producers had the capacity annually to hit a new all time high for their crops. Further the EIU is expecting a growth of 2.7 percent in consumption for 2000 and a 3.5 percent growth in 2001. However they also say that tea imports are set to drop in Europe as they are using up existing stocks and in Russia which is still mired in economic misery.

However, industry sources say that with the present shortfall and the higher than expected shortfall in Indian tea production prices might not be all that bad.

In auctions held here last week the market for low growns was weaker once again. The overall market did not turn out to be what it was said to be inspite of the increased market activity prior to Ramazan and the setting in of winter, which sees prices peak around mid November, Asia Siyaka sources said.

Forbes and Walker Tea Brokers said that the present trend in prices would no doubt cause some concern to the producers and it is therefore, advisable to concentrate on a more true to type clean leaf tea, as an influx of large volumes of mediocre teas would suppress the prices further.

JKH pushes up market

Market update By Dinali Goonewardene

The Colombo bourse ended a lacklustre week on a high note, as John Keells Holdings released improved second quarter results. Profits had increased 14.67% to Rs. 319 mn for the six months ended September 30, 1999. The Milanka Price Index (MPI) rose 28% on Friday.

The All Share Price index declined 1.68% during the week to close at 531.3 and the MPI dropped 1.93% to register 849.5. Hurried foreign selling in the wake of elections, saw net foreign outflows rise to Rs. 68.03 mn. Average turnover during the week was Rs. 60.9 mn.

Top gainers included United Motors Lanka (20.63%), Ceylon Grain Elevators (12.87%) and Hunter and Company (11.76%). Losers included Lanka Walltile (17.24%), Keells Food Products (14.47%) and Vanik Incorporated (14.29%). Trading in Lanka Walltile, Lanka Ceramics and Horana Plantations were suspended.

"The market still seems weak, next week is likely to harbour similar sentiments," Head of Research NDBS Stock Brokers, Chanaka Wickramasuriya said. "The Talawakale IPO will generate investor interest and further movement in the market will be dictated by earnings which are expected shortly," he added.

"On Friday the market picked up strongly with the 1:4 bonus announcement by John Keells Holdings and net profit growth of 74%," Head of Research, Asia Securities, Dushyanth Wijaysingha said. "Next week the market will stabilise at these levels. We expect a marginal recovery with the market stabilising before a modest recovery, with the release of favourable third quarter corporate results," he said.

"We don't know if Friday's trend will continue. The strength on Friday's was good but it is unclear whether it will be sustained," Head of Research, CDIC Sassoon Cumberbatch, Diluk Desinghe said. "We felt the market would not slide below the 512 mark. We expect the market to remain within this range next month but expect stagnation towards election time," he said.

Debug opens new showroom in Nugegoda

Debug Computer Peripherals (Pvt) Ltd., the authorised distributor in Sri Lanka for Epson Printers has opened a branch in Nugegoda.

The company's fourth branch in Sri Lanka, the Nugegoda branch will retail all products marketed by Debug and provide support services from engineers trained by Epson Singapore, a company release says.

A special feature at the Nugegoda showroom is the facility for a customer to obtain a photograph with any background he or she likes within a few minutes. By using the software "Print Adventure," a package designed by Epson, a person could even introduce a hat or a moustache to a face before printing the photograph, the release adds.

Debug Computer Peripherals Managing Director Mr. Moiz Najmudeen said in the release that software used for this purpose is distributed free with all Epson Colour printers. "We are not offering this service to generate revenue but to educate people on a few features of Epson Products and software," he said.

The photographs, which are printed on sticker paper, cost Rs. 150 for 16 prints. "Since these prints are stamp size, they could be used for visiting cards and other items that need to be personalised," he said. This feature is also to be made available at the company's Liberty Plaza showroom.

Debug Computer Peripherals Ltd., which was established in 1988, has become one of Sri Lanka's leading marketers of computer products. The company also represents brand names such as Intel, Merlin Gerin, D-Link, Cisco, Samsung Monitors, Microsoft OEM, Seagate, TVS, Mitsubishi, Adeptec and Pro-Link.

Metropolitan Computers awarded ISO 9002 Certification

Metropolitan Computers (Pvt) Limited which is a wholly owned subsidiary of the Metropolitan Group of Companies was awarded the prestigious ISO 9002 certification by the Sri Lanka Standards Institution (SLSI) recently. This is the first certification awarded by the SLSI for computer hardware and services in the country.

Metropolitan Computers represent some of the best brands in the computer industry. Some of these being Canon Bubble Jet and Laser Printers, Acer for the entire range of computer systems, Printronix high speed and heavy duty line matrix printers as well as laser printers, Tektronix studio quality colour printers and Novell Networking Software.

Metropolitan Computers offer the best brands in the industry as well as professional support for all the products. Some of the largest computer networks in the country have been implemented and maintained by this company. The award of the ISO certification thus strengthens further the capabilities of the organization.

Why pay with your money when you can pay with someone else's?

The concept of buying for credit has been around since time immemorial and credit cards just took it a step further. In Sri Lanka Hong Kong Bank has been in the forefront of the credit card industry with continuous innovations to their product. Though the industry is yet at its infancy it is abreast of the worlds latest technology thanks to Multinational Banks such as Hong Kong Bank. Handling a sizable chunk of the market Hong Kong Bank is pushing the industry towards a better understanding nation of credit card holders.

Hong Kong Banks latest initiative promises a free all inclusive around the world trip. Hong Kong Bank's Card Center Manager Cyril Mundy said that the "travel the world for free" scheme was very popular in the local market. He said that the company came up with a travel incentive because credits cards were largely associated with travel.

Unlike previously, in the good old days when you went shopping to take advantage of an discount and the trader said "sorry sir if you are paying by credit card you will not be entitled to the discount" and you did not have enough money to pay by cash. However, nowadays discounts are part and parcel of credit cards. Hong Kong bank has been instrumental in changing this age-old notion with their many promotional packages, which has prompted other banks to follow suit, Officials said.

Mr. Mundy added that companies were increasingly willing to give discounts because they prefer some revenue than nothing at all. He also said that customers were increasingly using credit card, even for small purchases. However, he said that Hong Kong Bank did not have a New Year package because they did not want to contribute to the already hectic season. The year 2000 bug too is a cause for not having a promotion though the bank is Y2K compatible.

Suntel signs major contract with DMC For US$ 1 million

Suntel signed an agreement recently with DMC USA for US$ l m for the expansion of their transmission network. DMC will install these High Capacity SDH Radios (155 Mbps) and XP4 Series in the Suntel transmission Network.

Mahinda Ramasundera, Director Technical said that with these new transmission links Suntel will expand their operation in the Greater Colombo area and provide more coverage into other regions outside Colombo.

He further stated that Suntel is continuously developing the network utilizing the latest technology in order to provide enhanced services to Suntel customers. Suntel was the first to introduce ISDN services to Sri Lanka two years ago and will now expand these services to cover a wider area with more advanced features, the company said. With the new expansions Suntel will provide customers with high-speed data, video conferencing and image transfer capabilities according to their requirements, a company release said.

Roshan Tissera, Chief Executive Officer of Metropolitan Telecom Services (Pvt) Ltd said this is the first time DMC's high capacity SDH Microwave Equipment is to be installed in Sri Lanka. He said DMC is using a unique modulation method in their SDH systems, which permits use of the bandwidth very economically. DMC is the only manufacturer of SDH equipment who uses this advance modulation technique in order to make the required bandwidth half of the normal requirement, a company release said. DMC equipment requires only 28 MHz bandwidth whereas most other manufacturers of similar equipment require a bandwidth of 55 MHz, the release said. This enables users to save the additional costs that have to be incurred for higher bandwidth.

He also mentioned that the PDH Radios for the transmission network would be DMC's latest XP4 series, also being introduced for the first time in the country.

Australia funds 15 community projects

Australia funds Rs.17.5 million in Rural Community Development Projects

Fifteen rural community development projects to be implemented by Non-Government Organizations have been recently approved by the Australian High Commission. The total value of community projects is Rs 17.5 million.

The funds will be released under the Australian Community Assistance Scheme (ACAS) for projects in the fields of environmental conservation, minor irrigation development, agriculture and livestock development, community water resources development, rural infrastructure improvement, income generation and food production.

The focus of the Australian Community Assistance Scheme (ACAS) is on rural and urban communities in need, including female headed households, unemployed youth, malnourished children, groups lacking access to facilities and other disadvantaged groups.

The target groups should have the capacity to promote and implement their own development programmes with little technical and financial support from outside.

A further funding round under the scheme will take place this December. Proposals are now being accepted by the AusAID Representative at the Australian High Commission for consideration.

Final submission date is 30th November and proposals should be submitted according to the project submission format available from AusAID.

Delmege Insurance completes five years

Delmege Insurance Brokers (Pvt) Ltd., an associate company of the Delmege Group, celebrates its fifth anniversary in November this year, with a projection that the company will achieve market leadership in this competitive sector early in the new millennium.

The company's Managing Director Lyle D. Peiris said Delmege Insurance Brokers had recorded steady growth over this period, averaging between 20 and 25 per cent, per annum.

"Our focus in the new millennium will be to market classes of insurance not freely available in the local market, while maximising the opportunities provided by the traditional products of private and state-owned insurance companies, Mr. Peiris said.

Delmege is one of the most active insurance brokers in the country today. The company specialises in all classes of general insurance, from motor, fire, marine, aviation, accident, and liability insurance to miscellaneous insurance (bonds, credit guarantees, contingency, fidelity guarantee, legal expenses, livestock etc.) and engineering insurance (contractors risk, erection risk, machinery breakdown, computer, electronic equipment etc.)

Delmege Insurance Brokers now serves a varied client base that includes more than 75 major corporate organisations and institutions representing diverse sectors such as industrial and manufacturing, trading, services, banking, financial services, leisure, construction, plantations and education. "The key strengths that Delmege Insurance Brokers offers its clients are professional advice, effective risk management and personalised service," Mr. Peiris added.

The main role of the insurance broker, according to Sunil Siyasena, Director/ General Manager, is to study all insurance products available in the market and provide professional advise to clients on the best options available to them in terms of reliability and cost effectiveness. "An insurance broker takes over all the paper work, identifies the most appropriate products to match the client's needs, negotiates the best possible terms and facilitates speedy claim settlement," he said.

All services to customers are free of charge, and in many instances clients find that the broker has greater influence with an insurance company and is therefore able to negotiate a better deal than if they transact directly with an insurer, he disclosed.

Emirates services to Sydney start next year

Emirates will commence a new service to Sydney in March 2000. The airline will fly four times a week between Dubai and Sydney, via Singapore, Emirates' Sydney flights are in addition to the airline's daily operations between Dubai and Melbourne.

The new Sydney service will give Emirates' passengers the added convenience of selecting their ports of entry and exit in Australia, reducing the number of connections required and the overall flying times, a company release said.

HH Sheikh Ahmed bin Saeed Al Maktoum, Emirates Chairman, said: "Since Emirates commenced services to Melbourne three years ago, we have witnessed tremendous growth in traffic betwen Dubai and Australia. We are grateful that the Australian Government has given us the rights to operate to more points in Australia. Sydney is a key destination for travellers from the Gulf destination. Emirates is confident that the new service to Sydney from March 2000 will result in incremental traffic between Dubai and Australia".

These new services will also provide additional non-stop flights between Dubai and Singapore, to which the airline now has 11 flights a week. Emirates has full traffic rights between Singapore and Sydney.

Private sector delegation to participate in the Joint Business Council

The Federation of Chambers of Commerce & Industry of Sri Lanka is to get a private sector delegation to participate in the 6th session of the India-Sri Lanka Joint Business Council to be held on November 15 &16 in Bangalore. The meeting is jointly organized by the Chambers of Sri Lanka and India.

The delegation comprising over 50 private sector companies will be led by FCCISL past President Granwille Perera. A wide range of issues will be taken up at this meeting aimed at promoting bi-lateral trade including exports, imports, agriculture, industry & joint ventures, investment cooperation, services, cooperation at Government level etc.

While Food Minister Kingsley T. Wickremaratne will be the Chief Guest India's Commerce Union Minister Omar Abdullah will deliver the inaugural address.

At the two-day meeting, economic situations of both countries will be taken up while the status of and scope for strengthening bilateral relations will also be taken up especially in the light of the Indo-Lanka bilateral trade agreement signed last year. Among sectoral issues that will be taken up at the meeting are, tourism, joint cooperation in small & medium scale industries, cooperation in information technology etc. The focus of the meeting will be on individual business meetings between Indian and Sri Lankan businessmen which will be held on a one-to-one basis.

Is the tyre industry running on a flat?

We refer to the article which appeared in The Sunday Times of 26.09.1999 under the heading - 'Tyre Industry running on a Flat' wherein Mr Abhik Mitra, Managing Director, Associated CEAT (Pvt) Ltd and MD of Richard Pieris & Co. Mr Premlal Fernando have complained that low priced imports are running down their businesses. As there is reference to imported tyres available at low prices and retreading of imported tyre carcasses, I as the Chairman of the Tyre Importers' Association of Sri Lanka wish to make the following comments for the benefit of the general public, the tyre users and the state authorities concerned.

Import of Chinese tyres

Chinese made tyres have been imported to Sri Lanka by several members of our Association over the last couple of years. China produces tyres of good quality and 13 Chinese tyre companies are among the world's top 75 tyre manufacturers. China produces around 106 million tyres per year and these tyres are exported to USA, Europe, Middle East and Asian countries. Some of the best tyre compaines in the world such as 'Goodyear', 'Michelin', 'Hankook', 'Kuho', 'Gajah Tungal' and 'Kenda' have production facilities in China. The Importers of Chinese tyres to Sri Lanka including the Kandy Tyre House, Douglas & Sons, Alfred Edirisinghe (Pvt) Ltd., Colombo Agencies Ltd., Mahajana Retreads and Tyre House (Pvt) Ltd. are supplying the Sri Lanka market especially the public transport industry with good quality standard tyres at very competitive and affordable prices.

Mr Mitra has spoken of dumping and call for anti-dumping legislation. It is due to the large number of tyres manufactured in China using state-of-the-art technologies and cheap labour and raw material that they are in a position to offer tyres at very competitive prices for export. I wish to remind this gentleman that when Indian tyres started coming into Sri Lanka several years ago, the then local tyre manufacturers made the same cry, but today, the Indian tyres have been accepted by the market and even CEAT and Kelani manufactures make their tyres with Indian collaboration and support. Mr. Mitra has also suggested to have high domestic duties on imported tyres. In other words, he is expecting some kind of protection which is against the fundamentals and principles of a free market economy.

Instead of blaming importers of Chinese tyres, it is time these local manufacturers started introducing modern, advanced machinery and use of state-of-the-art technology and reduce the cost of production and be competitive in the market.

Retreading of imported tyres

Richard Peiris MD, Mr. Premlal Fernando has said that a good quality tyre could be retreaded more than twice, whereas an imported tyre could be retreaded perhaps once or sometimes not at all. He has also mentioned that the casings of imported tyres are not strong.

When inquired about this from a few of our members who are also reputed tyre rebuilders they say that for so many years they have been rebuilding imported tyres more than two or three times succesfully. Regarding the casings of imported Chinese tyres, leading tyre rebuilders such as Mahajana Retreads, Lanka Puthra say that the Chinese tyre casings are strong and they have been rebuilding and selling these tyres for several years without any serious complaints. Some of our retail tyre dealers claim that almost all the leading tyre retreaders do retread Chinese tyres.

We wish to state here that the members of the Tyre Importers' Association of Sri Lanka supply over 50% of the requirement of tyres in Sri Lanka. Any increase in duties or taxes will eventually increase the prices of tyres which will no doubt severely affect the already burdened transport industry and general motorists and finally on the cost of living.

We also wish to remind these gentlemen that the tyre importers pay customs duty, Defence Levy, GST which works out approximately to 55% on CIF values. (Highest duty band of 30% on CIF applies to imported tyres).

As a responsible body, we have always tried our best to supply good quality imported tyres at very competitive prices whether it is from China, India or any other country for the benefit of the motoring public.

Prasad S. Gunaratne
Chairman
Sri Lanka Tyre Importers' Association

Bunkering revenue dwindling fast

By Gunapala Ranasinghe

The number of ships calling the port of Colombo for bunkering is fast decreas- ing. Consequently, according to shipping circle sources, a vast amount of valuable foreign exchange is lost to the country. Sometime ago, about 200 vessels a month called in the port of Colombo for bunkering, but recent statistics indicate that only around twenty vessels are calling now for bunkers. One reason for the decrease is the high cost of bunkering in Colombo, compared to other ports in the region.

Another reason is the monopolisation of bunkering by the Petroleum Corporation. Even though the Shipping Policy of Sri Lanka has recommended the liberalisation of bunkering, it is still being monopolised by the Petroleum Corporation of Sri Lanka. The Petroleum Corporation increases the prices at times by $100 per metric ton when their supplies run low or when they have to do maintenance repairs at the refinery. Feeder operators out of Colombo to Chennai, Cochin, Tuticorin, Calcutta, Haldia, Karachi etc have no alternative but to buy their bunkers in Colombo at whatever the cost as supplies are not available at most of these ports. The Petroleum Corporation holds this captive market to ransom by increasing costs due to either shortfall or the aforementioned maintenance requirement.

The shipping industry in Colombo has for several years been agitating for the liberalisation of bunker supplies to vessels in Colombo in order to ensure that ships receive bunkers at market prices and the cost to transhipment operators are not unduly affected. The Ceylon Association of Ships' Agents has also addressed several memoranda to the respective ministries requesting liberalisation of bunker supplies. As envisaged in the government's shipping policy statements.

Trade sources indicate that Petroleum's policy of increasing the prices by exorbitant amounts will negate all attempts by the Ministry of Ports, as well as the SLPA to increase transhipment volumes up to Colombo levying of bunker surcharge by feeder operators to recoup their additional expenses would naturally mean further reduction in transhipment volumes out of Colombo which have been steadily declining since last year.

The comparative cost of bunkers in some regional ports are as follows

IFO 180 CST COLOMBO SINGAPORE DIFFERENCE 29.09.99 $ 165.00 $ 137.00 $ 28.00+ 01.10.99 $ 170.00 $ 142.00 $ 28.00+ 12.10.99 $ 170.00 $ 138.00 $ 32.00+ 26.10.99 $ 170.00 $ 153.00 $ 17.00+

MDO COLOMBO SINGAPORE DIFFERENCE 29.09.99 $ 270.00 $ 177.00 $ 93.00+ 01.10.99 $ 270.00 $ 179.00 $ 91.00+ 12.10.99 $ 270.00 $ 170.50 $ 99.50+ 26.10.99 $ 270.00 $ 181.00 $ 89.00+

MGO COLOMBO SINGAPORE DIFFERENCE 29.09.99 $ 280.00 $ 184.00 $ 96.00+ 01.10.99 $ 280.00 $ 187.00 $ 93.00+ 12.10.99 $ 280.00 $ 180.50 $ 99.50+ 26.10.99 $ 280.00 $ 189.00 $ 91.00+

Sri Lanka-Mauritius Business Council launched

Twelve (12) persons met at a Tea Party hosted by Mr. D. Easwaren, Hon. Consul of Mauritius, at the consulate. The occasion being to discuss the idea of forming a business council with the idea of improving business interests of both countries for mutual benefits, as it was agreed that Mauritius has much untapped potential for Sri Lankan entrepreneurs. It was the general consensus of those who were present that the time is most opportune to form such a council and they commenced business by deciding unanimously to elect Laksiri Fernando of Ceylinco Universal Limited the General Sales Agents for Air Mauritius as President and Hillary Anandappa of United Breweries Lanka Pvt. Ltd. as Secretary and Wijaya Undupitiya of SSPL Recruitment Consultants as Treasurer. Others who attended were M.D.L Perera, Mrs. Jennifer Ingleton, T. Nadesan, Beejhaye Ramdenee, Roshan Gurusinghe, Ravi De Silva and S.M. Kumarasinghe.

It was decided to hold the inaugural general meeting on 2nd November, 1999 and all those who are interested to join the council could contact the Consulate or Air Mauritius and attend this meeting.

Star Alliance expands to 9 airlines with ANA

The Star Alliance network was created in 1997 to meet the needs of the international business traveller better than any single airline possibly could. Since then, its success has seen the original alliance almost double in size, to a total of nine distinguished international carriers. Together, they serve more destinations than any other airline alliance. Combined with a unique package of rewards and privileges for the frequent flyer, no wonder the Star Alliance network has become the preferred choice of the experienced frequent traveller.

ANA - All Nippon Airways, Asia's largest airline today (31st October 1999) becomes the 9th Partner of the already strongly build "Star Alliance". The 9 Partner Airlines are now, Air Canada (AC) - Voted Best Passenger Airline by ATW magazine in 1999, Air New Zealand (NZ) - As the 1999 Globe Award winner for the best airline to the Pacific, ANA, All Nippon Airways (NH) - operates 600 flights a day within Japan and serves 30 international destinations. Recognised for outstanding service, it was amongst the first to offer First Class passenger 180° reclining full-flat seat and the roomiest Business Class seat with seat-pitches of 83 and 50 inches respectively. ANA was the first airline in Asia and the second in the world to operate the State - Of - The - Art" Boeing 777, which came into operation from October 1995. ANA operates with a young fleet of 142 aircraft whose average age is just 7 years, Ansett Australia (AN) Official airline of the year 2000 Olympics, Lufthansa (LH) - One of the world's top ten airlines, SAS (SK) -Originally a consortium of the Danish, Norwegian and Swedish national airlines, Thai Airways International (TG) - Asia's premier airline, THAI partnered with SAS in 1959 one of the first ever airline alliances, United Airlines (UA) - With over 2,300 flights a day, United is one of the world's leading airlines and Varig Brazil (RG) -Latin America's largest carrier.

As someone who often travels internationally on business, you will be well aware of how much the journey you experience can affect your performance once you arrive. The purpose of the Star Alliance network is to make that experience as enjoyable and personally rewarding as possible. In order to arrive at your destination feeling relaxed and ready for work, the entire process from the initial booking to leaving the airport has to be effortlessly smooth. that means minimising any potential disruptions to your journey, like queues, delays and administrative paper work. It means having more destinations worldwide to choose from, with timetables harmonised to reduce inconvenience when having to change flights. It means access to first rate facilities, both on the ground and in the air.

ANA who joins the Star Alliance today strives to make ANA the "First Choice" of air traveller and keeps no stone unturned in making ANA the preferred airline. They work very much to make the flight a comfortable one. The stewardesses when called for service always squat or kneel in front of the passenger before they talk to them, as they never want to look down on the customer but wanting to look up to him. If they go to this much of details in serving the customer, you could imagine what the rest of the service would be.

As well as priority on reservation wait lists, Star Alliance Gold and Silver members are automatically given priority on waiting lists. And with priority boarding for Star Alliance Gold members, you can board international flights more or less at your convenience, regardless of the class you happen to be flying.There's nothing worse than hanging around by the baggage carousel after a long flight. That's why Star Alliance Gold Class on intercontinental flights have priority tags attached to all their checked baggage, ensuring that the bags are the first to be offloaded at the destination. Star Alliance Gold members are also allowed to check in additional baggage, up to a total of three items. How about that exotic little detour you've always promised yourself? No problem. The Star Alliance Round the World fare gives you literally thousands of itinerary options, with as many as 15 free stopovers, using any combination of Star Alliance carriers up to a maximum distance of 39,000 miles. What's more, it also offers exceptional value. We never forget who you are, no matter which Star Alliance carrier you happen to be flying. When you achieve high status within the frequent flyer program of any one Star Alliance member airline, you automatically benefit from equivalent status on all the others - and enjoy the preferential treatment to which that entitles you.

ANA's Colombo offers daily flight connections to Japan, Korea and USA via Singapore, Kuala Lumpur, Bangkok, Delhi and Mumbai.

Ceylinco Universal Limited is the General Sales Agents (GSA) for ANA and they are working very hard to achieve the goals of the airline and has recently innovated an idea of taking the airline to the customer by deciding to launch a localised Loyalty Club in additional to their frequent flyer program AMC which will give additional benefits. All passengers are requested to register with the Colombo ANA office on their return to Sri Lanka with the passenger receipt of their ANA ticket. This Club will be formally launched in due course and benefits and privileges to the membership will be publicised shortly. Ceylinco Universal at present is negotiating with several establishments in obtaining these benefits.

Laksiri Fernando, AGM (Airline Services) of Ceylinco Universal Limited, is very confident in saying that ANA being a Super Product that they need to promote a passenger only once, as such passenger will always become an ANA regular.

Cargo alliance for subcontinent

State-run Indian Airlines and Emery Worldwide have formed a strategic alliance for cargo shipment to several major Indian centres from Singapore. The deal is IA's first with an international freight firm for sourcing overseas cargo.

IA cargo director Anil Goyal was quoted as saying the operation would move cargo for Emery from Singapore to Chennai, from which it would be distributed to Delhi, Bangalore, Mumbai and Calcutta. India's largest domestic airline, planned to study the possibility of extending the collaboration with Emery to cover air cargo out of India to Singapore.

An IA spokesman said cargo is a profit centre and the airline was actively looking for more avenues to expand on this success. This includes other tie-ups for other markets. IA has committed 22 tonnes a week of cargo space to Emery on its five weekly flights from Singapore to Chennai. - Chuck Grieve

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