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Fresh opportunity for Indonesia's airline industry

Siva Govindasamy
 on July 15, 2009 9:48 AM | | Comments (0) | TrackBacks (0) |
Garuda 737-500.jpgThere must have been a sigh of relief among Indonesian airlines after the European Union confirmed that it would lift its ban on four of them. The quartet can now begin to plan flights to Europe, and they will be able to get European passengers who will be able to book tickets on Indonesian airlines at home.

While the Indonesian domestic market is big and lucrative, the reality is that international passengers are a major source of income that nobody can afford to pass up on - especially in these tough times for the airline industry.

One problem for Indonesia's DGCA is that it is one thing to implement new rules regarding maintenance and safety. It is much more difficult to control the numerous smaller airlines and scheduled operators who fly below the agency's radar. There need to be tighter checks on them to ensure that the regulations are stringently followed.

Still, this is a chance for Airfast Indonesia, Garuda Indonesia, Mandala Airlines and Premiair to show that the country's airlines can meet global safety standards. It will take some time, and they will need to continue working at it and convincing everyone. Letting this opportunity slip could prove disastrous for the Indonesian airline sector.

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