Jetstar adds to fleet and looks to expand in Asia

BANGKOK - Low-cost air carrier Jetstar is in negotiations with air traffic authorities in Asia aiming to expand its route network, with China, India and Laos leading the list of potential new routes, Jetstar Asia chief executive officer Chong Phit Lian says.

The expansion plans and talks come as the carrier is preparing to take delivery of three additional aircraft later this year that will boost carrying capacity by 46 per cent.

It currently uses Airbus A320 aircraft in its fleet of aircraft.

Jetstar started flying within New Zealand on June 10, replacing parent company Qantas on domestic routes.

"There'll be additional capacity and definitely additional ports," Chong said.

"We are in talks with some of the authorities in the region to gather traffic rights - so once we have additional rights we'll definitely mount more flights to the region," she said.

Chong said key markets were still being examined for regional expansion.

"There's still China, India and Laos we haven't flown to," she said.

"And the rest are all here. So I would say that if you look at the map with the 'five-hour region' these are the additional places that we would probably have the opportunity to talk to."

Meanwhile, additional services to Thailand have been announced with three daily flights from Singapore to the Thai island resort of Phuket starting on December 15. The carrier will also offer an additional daily service on its Singapore to Bangkok route from next month.

The new Thailand services will add more than 7000 seats of new capacity on the route.

The carrier said the new service to Thailand would enable travellers from Perth to fly one stop to Phuket.

Chong remained upbeat about the region's outlook highlighted by reports that several countries, including Singapore, appear to be showing renewed economic growth after the recession of the past year.

There were "still a lot of opportunities" in Asia for further growth.

"Based on the current market - and the [Asian] markets that we have been surveying - Indonesia, Thailand, the Philippines and countries in Indochina, such as Cambodia, will be opportunities for us in terms of growth," she said.

Jetstar last week announced an 18 per cent increase in profit before tax from A$116 million in 2007-08 to A$137 million in the year to June 30.

Passenger revenues rose 14.6 per cent or A$211 million to A$1.85 billion, with capacity expanding by 14.4 per cent.

- AAP