PH plans to hold air talks with Malaysia

The Philippines is eyeing air talks with Malaysia next month to expand commercial air opportunities amid strengthened ties between the two countries following President Aquino’s recent state visit.

Civil Aeronautics Board executive director Carmelo Arcilla said in a text message last week that the CAB was planning to hold air talks with Malaysia on April 4 to 5. He said the schedule would be confirmed in the next few weeks.

President Aquino flew to Malaysia last month in a visit that was seen to bolster trade opportunities between the two countries. Businessmen there were likewise keen on exploring investment opportunities in the Philippines, specifically in banking, infrastructure and agriculture.

Air talks with Malaysia would be the third so far this year after successful deals with Singapore and New Zealand.

Arcilla earlier said weekly flights between the Philippines and New Zealand would rise from three times per week to 21 times.

The new deal, which replaces a previous agreement signed in 2007, also allowed “unlimited” flights to areas outside Manila.

Also, both jurisdictions enhanced their so-called fifth-freedom rights.

Arcilla noted there were still no carrier mounting direct flights between the two countries. Philippine Airlines president Ramon S. Ang said Sunday PAL would “study” whether the route was feasible.

“Although there are no immediate plans for any carrier to operate direct flights between the Philippines and New Zealand given the small size of the current market, the enhanced fifth freedom rights can provide better opportunities for carriers to support start-up operations,” Arcilla said.

This means Philippine carriers can exercise fifth freedom rights to Australia, where previous negotiations have bogged down, while New Zealand carriers can operate fifth freedom rights to China, Arcilla said.

He noted that third country code sharing “will allow the airlines to market indirect but more seamless services between the two countries, via cooperative agreements with third country airlines, which can help develop the market.”

Recently, the Philippines and Singapore concluded air talks that allowed for expanded commercial opportunities between them.

The CAB noted that from the previous 13,800 seats per week for each country,  this was increased to about 17,600.

The Philippines and Singapore last held air talks on Aug. 16, 2012, which ended in a “deadlock.”

The CAB said the new agreement  was necessary given that the original 13,800 weekly flights were “almost fully utilized” by the carriers. Miguel R. Camus