Nok Air yesterday concluded a landmark accord with the central Chinese province of Henan that could lead to a range of aviation-related venture possibilities.
The letter of intent on cooperation would trigger what the two parties described as "concrete and substantial cooperation in developing an air network throughout China".
The agreement, signed by Henan Civil Aviation Development & Investment Co (HNCA), would initially propel the SET-listed Thai budget airline into launching frequent regular and charter flights from Thailand to Henan as soon as August.
That would be the first step to kicking off cooperation, facilitated by the Charoen Pokphand group, which has extensive business interests in China, before moving into areas related to tourism, aviation and trade, Nok Air chief executive Patee Sarasin told the Bangkok Post.
HNCA, a firm rooted in the civil aviation industry in Henan which is developing the Zhengzhou Airport Economic Zone, is keen to see Nok Air help spur connectivity between Thailand and the Chinese province.
Henan is willing to offer incentives to Nok Air to facilitate its foray into Henan, known as the birthplace of Chinese civilisation, with over 3,000 years of recorded history and a current population of some 100 million, said Mr Patee.
The move will expedite Nok Air's penetration into the Chinese market, which has ranked high on the airline's business strategy.
Henan's governor has advised the carrier to go big once operations commence to match the market size. Nok Air will probably begin with two flights a day from Thailand to the province, he said.
Nok Air could launch flights from three Thai destinations popular among Chinese tourists -- Bangkok, Phuket and Chiang Mai.
Nok Air aside, there is one other Thai-registered carrier, THAI Smile, with plans to serve Henan from Bangkok.
The wholly owned subsidiary and regional airline of flag carrier Thai Airways International aims to offer three flights a week from its Suvarnabhumi airport base to Henan, non-stop.