Air-India, India's flagship international carrier, on Thursday launched its first flight to the Chinese metropolis of Shanghai, marking the burgeoning trade and economic exchanges between the two neighbouring countries.

"AI 348 departed with nearly 200 passengers on board," said Jitender Bhargava, director, public relations, Air-India.

The bi-weekly flights on Mumbai-Delhi-Bangkok-Shanghai sector will depart every Thursday and Saturday to return a day later.

The introductory fares for the flight are Rs 18,000 for economy class, and Rs 27,000 for executive class.

The fares will soon be raised to about Rs 36,000 for economy and Rs 52,000 for executive class.

Air-India is likely to fly daily to China by the end of 2004.

China Eastern Airlines also flies twice a week from Beijing to Delhi -- on Tuesdays and Saturdays.

India and China are emerging economic superpowers in the world, said Bhargava.

A-I's presence in Shanghai and the commencement of its bi-weekly direct flights to Shanghai will promote trade as well as people to people contacts, particularly tourism, he said.

The airline has deployed A310-300 with 181 economy and 20 executive class seats to ply on the route. Bhargava said India and China will review their bilateral air services agreement in April or May next year to increase the number of flight frequencies.

He said bilateral ties had received considerable fillip following Prime Minister Vajpayee's visit to China in June.