Qantas Airways will launch direct flight linking Shanghai and Melbourne in March to compete with domestic carriers as the number of people traveling between the two cities grows, the Shanghai Morning Post reported today.

To start with, it will offer flights from Shanghai on Monday and Friday, with flights leaving Melbourne on Tuesday and Saturday.

The first direct flight between Shanghai and Melbourne was launched by China Eastern Airlines in December 2003. China Eastern now offers three flights a week between the two cities.

The average load factor, or proportion of seats filled, for each flight has hit about 70 percent, said the report. Furthermore, about 30 percent more travelers each year are rushing to Australia, with about 90 percent of those travelers heading to Melbourne, the report said.