Lufthansa Cargo has been negotiating with an affiliated Shenzhen all-cargo carrier Jade Airways on entering the burgeoning Indian airfreight market.
"China and India are twto of the most strategic and important markets for Lufthansa Cargo. We are speaking with Jade to fly in cargo from Shanghai to India," said Martin Schlingensiepen, vice president of Lufthansa Cargo, Asia Pacific.
Established in 2004, Jade Cargo International is co-owned by Shenzhen Airlines, which has a 51 per cent stake, Lufthansa Cargo with 25 per cent and Deutsche Investitions Entwicklungsgesellschaft with a 24 per cent interest, making it the first cargo carrier on the mainland to have foreign ownership.
A report by The Times of India said that Lufthansa Cargo has not ruled out partnering with other airlines to boost its cargo business in India.
"Lufthansa Cargo sees India as a key air cargo market with a huge growth potential. Thus Lufthansa Cargo is negotiating with different Indian airlines to build up a co-operation in the air cargo business," he said.
In 2006-07 the carrier reported profits of EUR81 million (US$108.25 million). Lufthansa Cargo has also teamed up with other airfreight carriers.
"In India we face huge challenges of infrastructural bottleneck, and from this perspective I believe the Chinese market is more experienced and matured," said Mr Schlingensiepen.