Asia Pacific airlines remain optimistic<\/p>\n
The Jakarta Post, Nusa Dua, Bali<\/p>\n
Despite the war in Iraq and the spread of SARS, air carriers in
\nthe Asia have been doing better compared to their peers in North
\nAmerica and Europe on the back of better economic performances in
\nthe region, an executive said on Monday.<\/p>\n
Peter J. Morris, an official at the International Air
\nTransportation Association (IATA), said the economic situation in
\nNorth American and European countries had been weak compared to
\ncountries in Asia.<\/p>\n
This situation has reduced people's ability and willingness to
\nsave for traveling.<\/p>\n
"So, even during the outbreak (of Severe Acute Respiratory
\nSyndrome or SARS), airline carriers in Asia seem to be doing
\nbetter," Morris told reporters at a media briefing on the
\nsidelines of the Pacific Asia Travel Association (PATA) currently
\nbeing held in Bali.<\/p>\n
"The Asia-Pacific region is the bright spot in the industry,"
\nhe added.<\/p>\n
Besides better economic performance, intra-regional travel is
\nanother factor that has saved the airline industry in the region
\nfrom collapsing.<\/p>\n
"Intra-regional travel will be more robust in term of leisure
\ntravel. You will see, for example, Japanese traveling more to
\nThailand or Indonesia," Morris said.<\/p>\n
PATA's president Peter de Jong had mentioned earlier that 65
\npercent of the travelers from Asia-Pacific countries were from
\nthe region which saved the travel industry during a slump in the
\nindustry due to the Sept. 11, 2001 and Oct. 12, 2002 terror
\nattacks.<\/p>\n
Morris predicted that the airline industry in the region would
\nstill book a profit this year.<\/p>\n
He did not provide details on his prediction but said that the
\nAsia-Pacific airline industry gained some US$3 billion to $4
\nbillion last year, before the war and SARS outbreak.<\/p>\n
In contrast, the airline industry in North America suffered a
\nloss of between $9 billion to $10 billion last year, Morris said.<\/p>\n
The decision by the U.S. government to go to war in Iraq,
\nMorris said, added further to the slump in the airline industry
\nin North America and Europe.<\/p>\n
"The traffic level has been down since the war began. It
\naffects the industry in terms of the willingness of American
\npeople to travel and others to travel to North America," he said.<\/p>\n
With the current situation, Morris said the airline industry
\nin North America could lose between $6 billion and $8 billion
\noverall this year due to reduced demand in both international and
\ndomestic routes. While Europe is predicted to do a little bit
\nbetter.<\/p>\n
"North America is the worst hit with air carriers losing
\nroutes both internationally and domestically. While Europe should
\njust about break even with some air carriers doing well and
\nothers not," Morris predicted.<\/p>\n
IATA predicted that this year, the number of international air
\npassengers would grow by only around 2 percent from last year's
\nfigure of 1.6 billion people. Before the war and SARS, the
\nassociation had expected the number to grow around 7 percent.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asia-pacific-airlines-remain-optimistic-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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