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CPA explores new markets
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Posted on Mar 09 2001
The Commonwealth Ports Authority is mapping out an effective approach to help existing carriers develop new markets, in efforts to revive the islands’ slumping tourism industry.
The Air Service Committee of the Strategic Economic Development Council recommended that CPA and other CNMI government agencies assist signatory airlines tap new tourism markets to increase NMI-bound traffic.
CPA Executive Director Carlos H. Salas mentioned the agency’s Airline Incentive Program, which grants airline companies that would serve new destinations significant discounts on airport charges.
Mr. Salas said this is CPA’s way of extending its assistance to the overall efforts of the CNMI government geared at revitalizing the Commonwealth’s travel sector.
He pointed out that efforts should be geared toward the existing carriers because it would be harder to encourage new carriers to come in at this time when the global economy is not performing well.
“It won’t be good if we entertain new carriers. It would be better if we help signatory carriers sustain their operations and implement a new approach to improve emerging markets,” he explained.
Emerging markets for the Northern Marianas tourism include Taipei, Hong Kong, Pusan in Korea and Haneida in Japan. Mr. Salas said resumption of direct flights between Saipan and Nagoya and Saipan and Osaka are signs of good development.
Continental Airlines is resuming its direct service from Nagoya next month, while it started operating nonstop service out of Osaka in February. Japan Airlines is also dispatching charter flights out of Haneida to the CNMI.
Although these are introductory flights to test the water, Mr. Salas is optimistic CNMI will be able to develop a new market and eventually put an end to the crisis that grips the islands’ tourism industry since 1998.
Mr. Salas is upbeat that some of the existing carriers might be interested to serve the Saipan-Taipei route once Mandarin Airlines stops dispatching flights later this month.
Mandarin Airlines will suspend Saipan-Taipei flights beginning March 24 until June this year to prevent more losses, projected to reach $20,000 per roundtrip. (EGA)
