Operators of long-haul luxury coach services have said they face a downturn in business as travellers are economising and cutting down tour plans mainly because of inflationary pressure.

“It’s a blow to us. Bookings in each of our coaches have dropped by about 20 percent," said Faruk Talukder Sohel, chief of Shohagh Paribahan, the country 's one of the leading air-conditioned coach service operators.

Sohel linked the drop in passenger traffic to a slowdown in economic and political activities from January 11. 2007.

“Increasing costs of living have also dampened travel plans for many. In the past, we saw many people travelling during weekends. But it has also dropped," he pointed out.

While some businessmen

shelve their travels as they take advantage of mobile and other communication technologies to complete their deals, Sohel added.

According to operators, the occupancy rate has come down to about 22-25 travellers on each bus from about 30-33 about two years earlier.

Bus operators report the slump in passenger flow at a time when they have to spend more on fuel, tyres and spares.

While inflation, which has remained in double-digits in the last three months, also dampened people's travel mood.

In Bangladesh, operators introduced luxury or air-conditioned buses in the 1990s, aiming at attracting the relatively high-income group, who wants comfortable travelling on roads. Roads carry over 80 percent of passenger traffic.

Railways, inland waterways

and air handle the remainder of passengers.

To catch up on a greater segment of the passengers, operators have also placed attractive offers to travellers by putting air-conditioned buses from prestigious global manufacturers. From Swedish Volvo and Scania to German Mercedes-Benz buses are plying the roads, mainly on the country's busiest Dhaka-Chittagong route.

The entry of a couple of new operators such as Saudia & S Alam and Baghdad Express into the luxury coach segment since January has piled competition pressure on the existing players.

Operators said although passenger flow has increased overtime, the 1/11 fallout dampened the traffic.

"Air conditioned buses attract passengers now at a rate more than it was 10 years ago.

But the scenario has changed after 1/11," said Obayedur Raman Chunnu, director of another long-distance bus service, Silkline Express.

"We are the worst-hit. We have witnessed a 40 percent drop in the passenger flow," he said.

Salauddin Apu, in charge of another leading luxury bus service Green Line Paribahan, echoed him, citing that the number of passengers on each of its 40-seater Volvo bus dipped to nearly 20-22 now from 30-32 earlier.

Travels by Scania also slumped substantially, he said.

"I don't think people have cut their travels. Perhaps, people are economising by switching over to relatively low-cost ones," said Apu, pointing to the fact that it has affected them.

He said the fares they hiked in line with increased prices of fuel would not make up for the drop in revenue resulting from the decline in passengers.

“We have just adjusted the fares to cope with increased cost of fuel. But we haven't adjusted our increased costs for maintenance and staff,” he said.

They need to spend about Tk 27,000 for a tyre now, while the rate was nearly Tk 16,000-Tk 17,000 just two years ago, Apu said.

sohel@thedailystar.net