Expat – Up, up and away?

by Klaus Döring

I still remember my very first flight in 1974 from Hanover to Berlin/Germany. 20 minutes “lang”, but I thought, I wouldn’t survive that. Of course, I did. Later, taking a plane had become the easiest thing for me while doing business, heading from one appointment to the next. Up, up and away — also when it was time for vacation. An annual visit to the Philippines has been one of my most regular events. I really enjoy taking a plane… . Yes, I do. Nowadays, I take a plane if there is really no other way to travel. It seems that many travellers worldwide think in the same way. The results: international passenger demand in the airline industry remain weak as scheduled traffic results for June showed demand declining 7.2 percent from a year ago, the IATA (International Air Transport Association) said. IATA is representing some 230 airlines comprising 93 percent of scheduled international air traffic, including those from the Philippines. In its latest report, IATA also revealed that freight demand was down 16.5 percent — although that is a moderate improvement. Sure, we can all observe a certain improvement in world trade after adjusting for seasonal fluctuations. IATA director general and CEO Giovanni Bisignani voiced it out very clearly and, in my opinion, correct: “International passenger demand remains very weak. While it appears that there is stabilization in some markets, this comes at a steep price. Capacity cuts have not yet kept pace with demand falls. Even with lower fares, the load factor remains 2.3 percent below last year’s levels. Airlines are seeing international revenue falls up to 30 percent at the start of the busy June-August period when airlines traditionally make their money!” The outlook remains bleak, although a press release of Cebu Pacific sounds very optimistic. CEB, Asia’s third largest airline, will increase its frequencies to Catarman, Calbayog, Tuguegarao, and Naga starting August 16, 2009. “Go Lite Fairs” should keep the ball rolling. Cebu Pacific vice president for marketing Candice Iyog said, “Our ever-present commitment is to boost the economy and tourism in the destinations we fly to.” Up, up and away… . I’ll attend two meetings in Cebu and Manila in the near future. I think, I have to take a plane. Aviation still seems to be the best solution. Comments or suggestions? Email me at Klausdoringphil@gmail.com or visit www.Liveinthephilippines.com/Klaus.

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