News / Asia

Asia’s Aviation Industry Booms

Passengers wait at airline counters at Hong Kong's international airport, Sept. 23, 2013.
Passengers wait at airline counters at Hong Kong's international airport, Sept. 23, 2013.
TEXT SIZE - +
Ron Corben
— Across Southeast Asia, rising incomes over the last decade have been a boon for the aviation industry, and new low-cost passenger airlines are experiencing record growth. Bangkok is experiencing growing pains as it races to build airports and aviation infrastructure, train tens of thousands of new pilots, while keeping safety standards high.
 
In the first eight months of 2013 industry trade groups say more than 138 million passengers were carried by Asia Pacific airlines in the region - a rise of five percent over the last year.
 
Sydney-based Center for Asia Pacific Aviation said this growth is being driven by low cost air carrier companies, which accounted for more than half of all seats in 2012. A decade ago, there were none.
 
Martin Craig, chief executive officer for the Pacific Asia Travel Association (PATA), said Asia's growing middle class is pushing the demand for travel. 

"This massive increase in intra-Asian tourism and air travel is simply driven by the fact that so many more people are going into the so-called 'middle-class' status with discretionary income and one of the first things they want to spend their hard earned spare cash is on going overseas," said Craig.
 
South East Asia's middle class, now estimated at around 500 million people, is expected to reach as many as 1.7 billion by 2030. But Craig said even these projections may be too conservative.
 
To fly all of those passengers, industry analysts say they will need to train nearly 200,000 pilots.
 
Analysts say the main maturing domestic air travel markets are Indonesia, Philippines, Malaysia and Thailand which collectively have 25 low cost carriers in operation, and more on the way.
 
Industry analyst Brendan Sobie, said Laos, Burma and Vietnam are considered "frontier markets" with huge potential for growth. He said in Vietnam, passenger growth is running in the double digits.
 
"Being a frontier emerging market and having a lot of economic activity in Vietnam - so it has some catch up to do in order to approach some of the other markets in South East Asia - from a growth and low cost penetration standpoint we're starting to see that catching up now taking place and IATA sees Vietnam as one of the three largest growing markets in the world in next few years," Sobie said.
 
In Burma, the number of available seats on passenger planes out of the main airport in Rangoon has roughly doubled in the past two years.
 
As airlines rush to meet the rising demand, analysts say safety needs to be at the heart of the industry. But safety standards across the region remain uneven.
 
Earlier this month a Lao Airlines plane crashed into the Mekong river during a heavy rain storm, killing all 49 people aboard.
 
The passengers and crew hailed from 10 nations, and the crash was the deadliest air disaster for Lao Air since 1954.
 
In Burma in 2012, four aircraft were involved in major accidents. As the country experiences a surge in tourists eager to visit the once-closed nation, some groups are raising alarm that the industry is expanding too quickly. The U.S. State Department has warned travelers to Burma that the air industry’s safety record and oversight remains closed to outside scrutiny.
 
Industry analysts such as credit ratings agency Standard and Poors says there are uneven infrastructure and training standards across the region. In some cases, the pace of development may be outstripping the ability of officials to ensure safety standards and adequate infrastructure.
 
For Center for Asia Pacific Aviation's Brendan Sobie,  the challenge lies in countries ensuring sufficient infrastructure to cope with the rising demand and passenger arrivals. 

"The country and airports that don't invest basically lose out on the traffic to other airports and countries. That of course creates an incentive to invest," he said. "Unfortunately, there's a huge lag; it takes a long time to build an airport and build a runway and build a terminal and what happens is that sometimes the growth is just very rapid, they just get behind the curve and we're seeing some of the governments now racing to catch up to that."
 
With tourism and trade surging in developing countries of Southeast Asia, much is at stake in how governments handle the growth and respond to concerns about safety.

You May Like

Algerians Vote in Presidential Election

There were few media reports of protests and clashes around the country, but so far no significant violence More

Sharks More Evolved than Previously Thought

The discovery could “profoundly affect our understanding of evolutionary history” More

Pakistan Military Asked to Protect Polio Workers

Request comes as authorities say a Taliban ban on vaccinations in 2012 and deadly attacks on anti-polio teams have prevented thousands of children from getting inoculated More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Google Buys Drone Companyi
|| 0:00:00
...
 
🔇
X
George Putic
April 15, 2014
In its latest purchase of high-tech companies, Google has acquired a manufacturer of solar-powered drones that can stay in the air almost indefinitely, relaying broadband Internet connection to remote areas. It is seen as yet another step in the U.S. based Web giant’s bid to bring Internet to the whole world. VOA’s George Putic reports.
Video

Video Google Buys Drone Company

In its latest purchase of high-tech companies, Google has acquired a manufacturer of solar-powered drones that can stay in the air almost indefinitely, relaying broadband Internet connection to remote areas. It is seen as yet another step in the U.S. based Web giant’s bid to bring Internet to the whole world. VOA’s George Putic reports.
Video

Video Ray Bonneville Sings the Blues and More on New CD

Singer/songwriter Ray Bonneville has released a new CD called “Easy Gone” with music that reflects his musical and personal journey from French-speaking Canada to his current home in Austin,Texas. The eclectic artist’s fan base extends from Texas to various parts of North America and Europe. VOA’s Greg Flakus reports from Austin.
Video

Video Millions Labor in Pakistan's Informal Economy

The World Bank says that in Pakistan, roughly 70 percent work in the so-called informal sector, a part of the economy that is unregulated and untaxed. VOA's Sharon Behn reports from Islamabad on how the informal sector impact's the Pakistani economy.
Video

Video Passover Celebrates Liberation from Bondage

Jewish people around the world are celebrating Passover, a commemoration of their liberation from slavery in Egypt more than 3,300 years ago. According to scripture, God helped the Jews, led by Moses, escape bondage in Egypt and cross the Red Sea into the desert. Zlatica Hoke reports that the story of the Jewish Exodus resonates with other people trying to escape slave-like conditions.
Video

Video Police Pursue Hate Crime Charges Against Kansas Shooting Suspect

Prosecutors are sifting through the evidence in the wake of Sunday’s shootings in a suburb of Kansas City, Missouri that left three people dead. A suspect in the shootings taken into custody is a white supremacist. As VOA’s Kane Farabaugh reports, he was well-known to law enforcement agencies and human rights groups alike.
Video

Video In Eastern Ukraine, Pro-unity Activists Emerge from Shadows

Amid the pro-Russian uprisings in eastern Ukraine, there is a large body of activists who support Ukrainian unity and reject Russian intervention. Their activities have remained largely underground, but they are preparing to take on their pro-Moscow opponents, as Henry Ridgwell reports from the eastern city of Donetsk.
Video

Video Basket Maker’s Skills Have World Reach

A prestigious craft show in the U.S. capital offers one-of-a-kind creations by more than 120 artists working in a variety of media. As VOA’s Julie Taboh reports from Washington, one artist lucky enough to be selected says sharing her skills with women overseas is just as significant.
Video

Video UN Report Urges Speedier Action to Avoid Climate Disaster

A new United Nations report says the world must switch from fossil fuels to cleaner energy sources to control the effects of climate change. The Intergovernmental Panel on Climate Change released the report (Sunday) following a meeting of scientists and government representatives in Berlin. The comprehensive review follows two recent IPCC reports that detail the certainty of climate change, its impacts and in this most recent report what to do about it. VOA’s Rosanne Skirble has the details.
AppleAndroid