Tiger Airways has started trials on cargo handling services between Singapore and five cities in Southeast Asia as a way of increasing ancillary revenues.

The Singapore-based low-cost carrier, which operates a fleet of Airbus A320s, began offering cargo space on its aircraft between the island and Bangkok, Jakarta, Kuala Lumpur, Kuching and Penang on 15 January. It could extend this to other destinations if the trials are successful, Tiger adds.

"The addition of cargo services will create an additional source of ancillary revenue. It is part of our strategy to increase our aircraft capacity utilisation and route profitability without compromising safety, security and punctuality," says Rosalynn Tay, managing director of Tiger Airways Singapore.

"The trials will help us observe and fine-tune our cargo operations, before a larger-scale implementation across our network."

Tiger adds that despite the fast turnover times for its aircraft, there is "strictly no compromise to passenger services" from the cargo services.

It is the second South-east Asian low-cost carrier to offer cargo-handling services. Malaysia-based AirAsia said last month that it plans to carry cargo in the belly of its fleet of Airbus A320s.

Source: Air Transport Intelligence news