Two seperate consortia led by Singapore Airport Terminal Services (SATS) and UK-based Menzies Aviation respectively have been selected for the new Bangalore International Airport's (BIAL) cargo operations. The airport operations are scheduled to commence from April 2, 2008.BIAL signed the agreement with the two cargo concessionaires - SATS and Menzies Aviation today. SATS will partner Air India and Menzies Aviation has tied up with Bangalore-based Bobba Group. The two consortia have been selected on the basis of their experience in the aviation industry. An extensive technical and financial evaluation was carried out before selecting the concessionaires. The evaluation focused primarily on the overall feasibility of the business plan and the tenderer's ability to finance and develop a cost effective facility, Stephan Widrig, chief commercial officer of BIAL, said.Each of the selected consortium will be responsible for the design, construction, financing and operation of a cargo facility at international standards on a 7.3 acre plot. The combined investment will be approximately Rs 150 crore and the duration of the contract is 20 years. The SATS-Air India consortium has projected the annual cargo movement (both export and import) at the new international airport at between 2.50 lakh and 3 lakh tonnes during the first three years. The other consortium - Menzies Aviation and Bobba Group - has projected the annual cargo movement at 2 lakh tonnes. "A third player will be selected once the cargo movement reaches 3.5 lakh tonnes. But that may not be in the near future," Widrig said.Four more agreements including ground handling operations, inflight catering, hotel, retail and restaurants would be signed by the year end. "We have already signed the agreement for central fuel infrastructure with Indian Oil. The agreement with the cargo concessionaires is the second. The remaining agreements will be concluded by year end," Albert Brunner, CEO of BIAL said.
