Myanmar airlines face fare challenges
18 Jul 2017 21:29:29
ttrweekly.com
Myanmar’s airlines are finding it more difficult to compete and grow traffic due to heightened competition from foreign airlines, according to the Myanmar Travel Association.
The country has 10 airlines with a fleet of around 58 planes serving both domestic and international routes.
One of the major problems facing local airlines is the high cost of fuel and taxes. Fares are subsidised for citizens with foreigners paying more than double.
In the long-run fares have to rise to the same level as charged by foreigners, or the market has to open to low-cost airlines and competitive pricing. Open skies and the introduction of low-cost airlines would generate competition and force local airlines to be more efficient.
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