PATA Travel Mart strength reflects Asia Pacific growth

REPORT - BALI - PATA TRAVEL MART: PATA Travel Mart 2007 (PTM07) opened in Bali today (26 September) with a total built-up floor space of 4,294 square metres (sq m). PATA President and CEO Mr Peter de Jong said: “Going from strength to strength, the Mart is again setting records in 2007.”

“In today’s highly competitive marketplace, this strong sustained growth is a truly remarkable performance.”

Mr de Jong attributed strong member support and increased seller representations from South Asia, Northeast Asia and the Pacific as reasons for the Mart being recognised as one of the biggest travel contracting and networking shows in Asia Pacific.

“In many ways, the success of the Mart is a reflection of the dynamism and the strength of the Asia Pacific region.”

Helping to drive this growth is the strong performance of Asia Pacific travel and tourism, which last year came close to 356 million international arrivals for the first time.

Travel to Asia Pacific destinations will continue to outperform long-term average global growth rates, expanding by around 6% per annum to 2009, according to the ‘PATA Annual Statistical Report 2006’, which was launched yesterday (25 September) at the Mart.

“In 2007, Asia Pacific has so far added an additional 13.8 million international arrivals and expanded volumes by 7.1% year-on-year,” said PATA Director - Strategic Intelligence Centre Mr John Koldowski.

“Flows between China (PRC), Hong Kong SAR and Macau SAR continue to dominate the numbers, adding 3.8 million additional arrivals and expanding 6% in the first six months of 2007,” he added.

Mr de Jong confirmed the official delegate numbers for PTM07. A total of 423 buyers representing 343 organisations from 49 source markets have arrived at Bali International Convention Centre for PTM07.

Buyers have come to negotiate with 830 seller delegates representing 376 travel organisations from 38 destinations.

Mr de Jong described the global nature of Asia Pacific’s source markets: “We are pleased to welcome buyers from emerging source markets such as Cyprus, Fiji, Malta, Slovakia and Turkey.”

Mr de Jong said: “From a seller perspective, we have a good cross-section of inbound operators, hotels, national and regional tourism offices, cruise operators, airlines and airports. Seller representation which has also grown strongly over the last few years has this year extended to include Canada.”

He added: “Not surprisingly, we are still seeing a presence from mainland China, with 14 seller organisations, taking 144 sq m of floor space.”

Mr de Jong reaffirmed PATA’s commitment to growing its activities in the “critical market” of China (PRC).

Highlighting some of the features at this year’s Mart, Mr de Jong talked about the outbound workshops organised by PATA’s Strategic Intelligence Centre which will offer essential insights into the source markets of China and the USA; both collectively generated more than 90 million international arrivals to Asia Pacific destinations last year.

For the first time, the annual PATA Foundation Silent Auction and the PATA Gold Awards presentation ceremony is being held in conjunction with the Mart.

“The awards presentation lunch on Friday is dedicated to honouring our 2007 Grand and Gold awards winners for their exceptional achievements,” said Mr de Jong.

Mr de Jong cited PATA’s continued successful repositioning of the Mart and strong strategic support from the Ministry of Culture and Tourism – Republic of Indonesia, official airline Garuda Indonesia, the Bali Government Tourism Office, and PATA Indonesia and Bali & Nusa Tenggara chapters, as major contributors to the success of PTM07.

DOT opens US - China aviation routes

Flying from the United States to China will be more convenient, thanks to new direct routes from Atlanta and San Francisco announced by U.S. Transportation Secretary Mary E. Peters. The Secretary also announced proposed awards for service from Chicago, Newark, Detroit and Philadelphia.

“By bringing China and the U.S. one step closer, we increase our ability to compete, boost our success in the global marketplace, and make international travel for all passengers easier and more affordable,” Secretary Peters said.

Secretary Peters announced that Delta Airlines had been awarded a new direct route from Atlanta to Shanghai, making them the first airline to fly that route. The Secretary also announced that United Airlines was awarded a direct route from San Francisco to Guangzhou, to begin flying in 2008. Both the Delta and United awards represent final decisions by the Department.

Peters also proposed awards for four new daily flights to begin in 2009: American Airlines for Chicago-Beijing service, Continental Airlines for Newark-Shanghai service, Northwest Airlines for Detroit-Shanghai service, and US Airways for Philadelphia-Beijing service. Final decisions of these proposed awards will be made in the near future after further public comment.

Secretary Peters said the announcement is the result of an agreement signed in July with the Chinese government to open up airways between the two countries and double the number of daily flights allowed between the U.S. and China over the next five years. The agreement also allows for new cargo flights operating to and from the U.S. and China.

By increasing competition, allowing more flight options, and reducing costly stops and layovers, these new direct routes are expected to lower fares and increase convenience for both business and leisure passengers to travel to China, Secretary Peters said.

Russia Aims To Sell 1,000 Superjet Airliners

Reuters - Russia plans to sell at least 1,000 of its new Superjet regional airliners, with 70 percent destined for export, manufacturer Sukhoi said on Tuesday.

The ambitious target exceeds the total number of comparable models on the backlog of the Canadian and Brazilian firms who currently dominate the market for planes under 100 seats.

The 78-98 seat Superjet will be unveiled on Wednesday at a Sukhoi jet fighter factory in Russia's Far East. It is the country's first significant civil aviation project since the end of the Soviet Union.

Sukhoi Chief Executive Mikhail Pogosyan said the state-owned company plans to reach a peak production rate of five or six aircraft a month in 2010 and would break-even after 300 planes.

So far it has sold 73 Superjets, mainly to Russian airlines for delivery starting in 2008. It aims to get the planes certified for use in Europe and the United States next year.

By the end of 2007 it plans to make the first test flight and bring the order book up to 100 jets valued at USD$2.8 billion.

Contractors said there were no signs of a further sale to coincide with Wednesday's roll-out, which is instead being presented as a symbol of Russia's industrial revival.

"This is a very serious step for the company and one of the most important steps towards the renaissance of the Russian aerospace industry," Pogosyan said.

About 1,000 visitors are expected in Komsomolsk for the roll-out, straining the resources of a town once forbidden to travelers as a nerve centre of Soviet submarine and military aircraft production.

Pogosyan, a charismatic engineer credited with selling his Superjet ambition to the Kremlin and foreign investors, gave journalists and suppliers a tour of the massive KnAAPO plant.

Guests were kept well clear of its 15,000 military workers or hardware from Russia's biggest war plane maker, apart from an occasional glimpse of a Sukhoi "Flanker" -- a legendary fighter designed to combat the McDonnell Douglas/Boeing F-15 Eagle.

Boeing is now advising Sukhoi on the Superjet but has not invested any cash, Pogosyan said.

"We have a serious past but the world has changed and we could not continue without a strong civil base," he said.

Russian aviation collapsed after the fall of the Soviet Union but President Vladimir Putin has promised to breathe new life into the sector in a move to reassert Moscow's clout.

Russian aerospace ambitions have caused some unease in Europe after a state-controlled bank grabbed a 5 percent stake in Airbus parent EADS last year. Nerves were also rattled when Moscow recently restored strategic bomber patrols.

In Sukhoi's workshops, traces of the Cold War remain as welding sparks fly under giant paintings depicting the strength of the Soviet worker. But Western industrialists were left with few doubts that Sukhoi is retooling for a commercial battle.

"They are moving forwards and bringing in the resources. When this gets going it will really get going," said Philippe Petitcolin, head of French engine firm Snecma.

Snecma, part of French conglomerate Safran, teamed up with Russia's NPO Saturn to build the Superjet's engines. French firm Thales is providing avionics.

Key to the project's success or failure, according to analysts, is Italian firm Alenia Aeronautica, which took a 25 percent stake in Sukhoi's civil division. Its task is to coordinate after-sales service, seen as crucial for winning airline contracts.

Asked whether Sukhoi might open its civil subsidiary to other investors or a stock market flotation, Pogosyan said: "Everything is possible."

Giant ads planned for airport flight paths

Giant advert billboards the size of three football fields could be in place along the flight paths of some of the world’s busiest airports. UK advertising agency Ad-Air is hoping to kick off the initiative next month at Abu Dhabi, and similar installations are planned near airports in London, Paris, Geneva, Los Angeles, Tokyo and Los Angeles from early next year.

Ad-Air spokesperson Kate Rosser says the 20,000m² ads will be on private property and will easily be visible to passengers on flights approaching the airport. They will be printed on a fabric mesh-type material that will be suspended above the ground, facing skyward.

“This record breaking new medium delivers a captive audience of millions of premium international passengers,” she adds, though she refuses to say which companies will be advertising.

Officials at Hartsfield-Jackson, the world’s busiest airport, say they have not heard about the giant ads