Penang eyes Indian market surge as direct flights boost arrivals

From left: PCEB’s Ashwin-Gunasekeran; and Tourism Malaysia’s Ahmad Johanif Mohd Ali at the press conference; photo by Rohit Kaul

Following the successful launch of IndiGo’s direct daily service from Chennai, the Penang Convention & Exhibition Bureau (PCEB) is aggressively pushing for expanded air connectivity to tap into India’s rapidly growing travel market.

“We are currently in discussions with other Indian airlines to explore the launch of direct flights from additional Indian cities to Penang,” Ashwin Gunasekeran, CEO of PCEB, told TTGmice on the sidelines of a press conference in New Delhi last week.

From left: PCEB’s Ashwin-Gunasekeran; and Tourism Malaysia’s Ahmad Johanif Mohd Ali at the press conference; photo by Rohit Kaul

The direct route, which commenced on December 21, 2024, has already triggered a significant uptick in Indian tourist arrivals, particularly within the business events segment. Prior to the IndiGo launch, India did not rank among Penang’s top 10 source markets. However, between January and November 2025, the destination recorded 42,367 visitors arriving specifically via direct flights from India.

“The actual number of Indian tourists is significantly higher, as many travellers transit through Kuala Lumpur before reaching Penang. Within just four months of IndiGo’s direct connectivity, India emerged as Penang’s sixth-largest source market,” Gunasekeran explained.

As part of a strategic push to grow business event arrivals, PCEB recently launched the ninth edition of its India roadshow series, Simply Penang. The engagement began in Mumbai on January 19 and New Delhi on January 21, with upcoming stops scheduled for Kochi (January 23), and Chennai (January 27).

A delegation of 10 Malaysian suppliers, including hotels, DMCs, and conference organisers, is participating in the series to engage with the local travel trade.

“The medical and semiconductor sectors are driving demand for meetings and conventions, while multi-level marketing companies and financial institutions are fueling incentive group demand from the Indian market,” said Gunasekeran.

This year, PCEB projects a 30 per cent increase in overall Indian tourist arrivals. While market-specific business events arrivals are not available, the destination hosted over 2,900 total business events from January to November 2025.

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