VABA asks relevant authorities to study and adjust the domestic ceiling price bracket for airlines to promote the recovery of the industry. (Photo: afamily.vn) "Vietnam's aviation market is growing rapidly on the recoverytrend but not evenly in all segments," VABA's chairman Pham Viet Dung saidat a national conference between the Prime Minister and businesses lastweek.
According to Dung, the domestic market has fully recoveredcompared to before the pandemic, with domestic passenger transport increasing by12% compared to 2019, but in contrast, the international market hasrecovered very slowly.
At the same time, revenue was disproportionate due to increasedfuel prices and some input prices, airlines still suffered losses, andliquidity did not improve much, the VABA chairman said.
To cope with these difficulties, Dung said aviationbusinesses have made important changes, especially in restructuring to adapt tonew trends. All airlines also prepare to open new routes quite timely forthe recovery period.
Dung said the biggest difficulties and obstacles ofaviation enterprises were the international routes as they must adjust theroundabout due to the negative effect of disputes, putting more coston the operation of aviation.
At the same time, gasoline prices were high, significantlyaffecting businesses. Although the pandemic has eased, it has not ended, meaningthere are still potential international and domestic risks.
Dung said many countries are still cautious inopening the sky, especially those with a large number of visitors to Vietnam, causingthe aviation market to lose many passengers and delaying the recovery ofinternational routes.
Another factor that hinders the recovery of the aviation industryis bottlenecks in infrastructure, especially for large airports such as TanSon Nhat and Noi Bai airports.
Sharing specific difficulties in his business, Nguyen QuocKy, Chairman of Vietravel, said that airlines face grave problems in terms oflabour and finance, as well as the high fuel prices, which sometimes accountfor over 60% of the cost.
To deal with such problems, VABA suggested theaviation industry and State agencies to coordinate witheach other to improve the regulation, airport infrastructure,and thoroughly solving congestion at major airports.
Dung from the VABA asked to speed up the development ofaviation infrastructure and amend policies and legal regulations related to theaviation industry, including the mobilization of investment capital for theinfrastructure of the sector.
The association asked relevant authorities to study andadjust the domestic ceiling price bracket for airlines and continue to maintainsupporting policies related to land and tax exemption and reduction.
In July, to deal with fuel prices, the Civil AviationAuthority of Vietnam (CAAV) also proposed raising air service priceson domestic routes.
In a recent proposal sent to the Ministry of Transport, CAAV askedfor a reduction in environmental protection taxes and import taxes on jet fuelsand an increase in service fees on domestic routes./.
VNA
