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AVIATION TAKES OFF
A viation analysts see little let-up in growth in traffic through Thailand over the next few years. The opening of the new airport and a surge in intra-regional services and increased domestic operations by low-cost carriers are big drivers. In addition to their homegrown counterparts, foreign no-frills airlines such as Australia's Jetstar and Singapore's Tiger Airways both have Thailand in their network expansion plans. There is also growth in the full-service sector as relative newcomer
Etihad Airways, the national carrier of the United Arab Emirates, has
proven since its start-up in Bangkok a little over two years ago. Etihad
increased its services on the Abu Dhabi-Bangkok route by starting twice-daily
flights from 4 June, operating its new Boeing 777-300ER aircraft on
the route. Etihad says the there is a big demand for this service from both leisure and commercial sectors, not just between the Middle East and Asia-Pacific but throughout Etihad's global network as Abu Dhabi builds on its reputation as a key hub joining the west and the east. The airline has staked its future on the opposite of the no-frills model, featuring some of the best creature comforts in the skies, including fully flat beds in business class and high-speed broadband wireless internet access throughout its aircraft. Etihad now connects Bangkok with not only Europe but South Africa and New York, with that service beginning late in October. Flag carrier Thai International (THAI) has also been busy adding routes, the latest being flights to Johannesburg and Hyderabad, and increasing frequencies on successful existing routes, such as Munich, Madrid, Beijing, Melbourne and Perth. It is also stepping up its Bangkok-New York direct service to five times a week from four, and direct Bangkok-Los Angeles flights to five a week from three. The airline is also gearing up to expand the number of corporate passengers in its lucrative first and business classes. It is due to add a total of six wide-bodied jets to the fleet in the New Year. THAI was one of the biggest beneficiaries of the Suvarnabhumi opening after making huge investments in the new airport. That made the Bangkok-to-Johannesburg and Bangkok-to-Hyderabad flights possible and is likely to lead to a third daily flight to Shanghai and two weekly flights to Beijing. The airport has also been a boon to domestic travel, with that also being fed by an increase in intra-regional traffic. Bangkok Airways has seen a dramatic jump in net profit and robust growth in revenue and passenger traffic this year although it has yet to fully digest the expense of moving from Don Muang to Suvarnabhumi airport. The airline has been badly affected by rising fuel costs and fears that profits may fall in the coming year. Bangkok Airways is planning to increase seat capacity by 25%, adding four new planes as it phases out older aircraft. The airline carries 600,000 passengers a year from Bangkok to Samui where it operates the airport and is the sole user. That generates 40 percent of the airline's total revenue while passenger traffic has increased 15 percent annually. Bangkok Airways also has its sights on regional flights, recently
announcing that it will become the second Thai carrier to fly to Vietnam
early next year under a code-share agreement signed with the Ho Chi
Minh City-based Pacific Airlines.
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