RP's international air traffic rises to 3.44 million in 1st quarter

MANILA, Philippines - International air traffic reached 3.44 million in the first three months of the year or 12 percent higher from 3.08 million in the same period in 2009, data from the Civil Aeronautics Board (CAB) revealed.

Flag carrier Philippine Airlines (PAL) comprised 27 percent of total international passenger traffic with 942,144 passengers flawn from January to March this year.

Gokongwei-owned Cebu Pacific Air ranked second with 482,114 passengers during the quarter, followed by Cathay Pacific Airways Ltd. with 345,768 passengers.

Total incoming passengers was at 1.64 million and outgoing at 1.8 million, CAB added.

PAL expects the growth in its traffic volume to be almost flat, with total passengers carried expected to reach nine million by the end of its fiscal year on March 31, or almost the same as the 8.96 million passengers flown in the last fiscal year.

Last year was a growth year for PAL in terms of traffic, with the 8.96 million passengers flown during the April 1, 2008 to March 31, 2009 period or 17.1 percent higher than the 2007-2008 period.

For the first nine months of the current fiscal year, PAL flew 7.5 million passengers, of which 37 percent are international and the bulk, domestic.

PAL chief commercial group adviser Richard Miller said from April 2009 to January 2010, the number of international passengers flown dropped six percent while those of domestic passengers grew 18 percent.

While international passengers account for only 37 percent of total passengers carried, PAL’s international business contributes 75 percent to total revenues.

Also PAL announced that its recent acquisition of two brand-new Boeing 777-300ER aircraft has paved the way for the resumption of service to two international destinations — Brisbane in Australia and Riyadh, Saudi Arabia-later this month.

PAL is continuously looking at new international routes, even as the company expects to perform better this fiscal year compared to the previous year.

PAL president Jaime Bautista said one of the new destinations being eyed is in India. The last time the company flew there was decades ago.

Meanwhile, as early as 2005 and 2006 when PAL purchased its 777 jets, it has been looking at new destinations in the United States, like San Diego, Seattle, Chicago, and New York.

“The problem now is the yields because of economic crisis. Appetite for travelling has gone down. The low fares has also contributed to low yields,” he noted.

PAL’s chief executive, however, pointed out that they are just waiting for the economy to recover, maybe in one or two years’ time.

Bautista also said that there will always be growth in the domestic travel sector. “Our budget carrier (PAL Express) will continue to grow.