"Hong Kong: No room for complacency with growing competition"

Wednesday, December 8, 2004

No room for complacency with growing competition
The South China Morning Post


AVIATION AND air cargo industry players hail the achievements of the Airport
Authority but are calling for more initiatives to ensure the continuing
success of the airport in future.

The airport's world-class facilities and efficient services are generally
regarded as the reason it is considered one of the best-run terminals in the
world.

By supporting the ever-increasing volume of air cargo and passengers, the
airport is contributing to the growth of Hong Kong's economy and trade with
foreign countries.

Willy Lin, chairman of the Hong Kong Shippers' Council, said the airport's
achievements had been well recognised over the years despite an initial
hiccup at the beginning of its operations after its relocation from Kai Tak.

The airport handled record amounts of air cargo throughput in recent months,
he said. Air cargo throughput at Hong Kong International Airport grew to
299,000 tonnes in October, an increase of 14.6 per cent over the same month
last year. Robust cargo growth has been driven by continued strong demand
for goods from North America, Europe and the mainland.

Mr Lin said there was no room for complacency, and the Airport Authority
should continue its efforts to meet with market challenges. For example, the
Guangzhou Baiyun International Airport would pose a challenge to Hong Kong.

"Although the Baiyun airport's existing air cargo throughput is very little,
Hong Kong needs to prepare itself well to meet the future challenge," he
said.

Mr Lin said many international airlines were looking to expand operations
and open more flights to key mainland cities which should boost passenger
and air cargo flow in China.

Despite Chek Lap Kok's efficiency, more effort was needed to maintain its
competitiveness, he said.

Mr Lin called for more transparency in the structure of airport fees and
better communication between the Airport Authority and the Hong Kong
Shippers' Council.

"There is always room for improvement in the airport operation and closer
co-operation with the customers and users."

Victor Mok, chairman of the Hongkong Association of Freight Forwarding and
Logistics, said Hong Kong was undoubtedly the leading air cargo hub in the
region. "Apart from the world-class airport and cargo terminal facilities,
the status is also attributed to the comprehensive network and substantial
capacity provided by the carriers, and the professional services of the
well-established freight forwarding community in Hong Kong."

However, Mr Mok said the emergence of new airports in the Pearl River Delta
posed a threat to Hong Kong's gateway status.

Rival airports such as those in Shenzhen and Guangzhou had the advantage of
proximity to the sources of cargo on the mainland.

To maintain Hong Kong's role as the air cargo hub, Mr Mok said the Airport
Authority needed to adopt a more progressive approach in public relations
and marketing campaigns to ensure that Hong Kong International Airport was
ready to compete both in services and pricing.

He said efficiency and reliability of airport and terminal operation were
critical for the industry, and the Airport Authority should step up efforts
to drive productivity and eventually pass on the benefits to users and
customers through more competitive pricing.

Laura Crampton, assistant general manager of corporate communication at
Dragonair, said the state-of-the-art facilities and efficient services at
the airport allowed the airline to offer top-class services to its
customers.

Given the increased competition from other airports in the region, however,
she said it was important for Hong Kong to ensure policies and measures were
in place to keep the airport competitive and to attract passengers and
airlines, and to continuously strengthen its status as the region's aviation
hub.


 Do you have an opinion about this story?
Share it with other readers in our CAA Discussion Forums

http://www.californiaaviation.org/dcfp/dcboard.php


*****************************************