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March 17, 2010                             Manila, Philippines
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RP-UAE Air Talks a Boon to OFWs, Trade and Tourism

PUBLISHED ON January 27, 2009 AT 9:25 AM ·

Business, tourism and migrant workers groups have hailed the forthcoming aviation talks between the United Arab Emirates and the Philippines as a major opportunity to expand and strengthen economic ties at amidst the global economic slowdown.

After a long hiatus of six years, the negotiating panels of the Philippines and the UAE are scheduled to meet in Abu Dhabi on January 28-29 to discuss the expansion of flight frequencies between the two countries.

In a statement of support, Makati Business Club Executive Director Alberto Lim congratulated the Civil Aeronautics Board (CAB) for initiating the talks with the civil aviation authority of UAE in order to boost services to OFWs, tourism and business relations between the two countries.

“Expanding air access will greatly ease the lot of OFWs who have to contend with the expensive and unstable travel schedules as a result of the inadequate number of flights to the Middle East,” Lim said. “Flights to the region have been experiencing over 90 percent average load factors. This means that many of our OFWs are turned away and delayed in their travel as the industry standard places 70 percent average load factor as operating at full capacity much of the time.”

He added that there is also a growing demand for flights from the tourism and business sectors as economic ties with the UAE and the Gulf countries have grown in recent years. “The expansion of flight frequencies will fill this need,” he said.

This was seconded by Elizabeth Lee, chairperson of the Management Association of the Philippines (MAP) Trade and Industry Committee, who said the coming air talks was good news because “air travel serves as a vital medium for business.”

“This development will enable businesses to increasingly engage in trade and commerce with the rest of the world, not to mention the increased and convenient service to OFWs,” said Lee, who is also known as the tireless Executive Vice President of Universal Motors, the country’s assembler and distributor of Nissan commercial and sports utility vehicles. “Increased flights per week can also have a positive effect on jobs.”

CAB Executive Director Carmelo Arcilla proposed to “hold bilateral air consultations on 28-29 January 2009 in Abu Dhabi” in a formal letter last January 5 to Mohammed Al Salami, Deputy Chairman and Director General of the UAE’s General Civil Aviation Authority. “It is in the mutual interest of our governments and our designated airlines to amend and update the existing Air Services Agreement with the aim to formally reflect the current state of our civil aviation industry,” he said.

The UAE government, which has long been pressing the Philippine government for an expansion of air services, has accepted the proposed schedule for the talks.

Arcilla will lead the Philippine air panel, which includes representatives from the Departments of Foreign Affairs, Tourism and Trade and Industry as well as from the Diosdado Macapagal International Airport in Clark, as well as designated airlines Philippine Airlines and Cebu Pacific for passenger carriers and PEAC for cargo carriers.

The UAE panel, in turn, will be composed of representatives of the UAE civil aviation authority and its designated carriers – the Dubai-based Emirates and the Abu Dhabi- based Etihad airlines.

The Philippines and UAE are currently entitled to nine flight frequencies a week each. This is broken down to five flights between Manila and Dubai and four between Manila and Abu Dhabi. PAL’s total entitlements are under code share with Emirates and Etihad, bringing up their weekly flights to 10 and eight respectively.

Lim said that Middle East air routes do not serve only OFWs deployed in the Middle East. “They also serve as gateways for those deployed to North Africa and Europe,” he said.

And just as important, he pointed out that improved air services will be a boon to trade and business travel between the Philippines and the region. “There is much traffic now of both goods and business people to and from our country,” he said. “The expansion of air services will also allow visitors from Europe greater access and will boost Philippine tourism, one of the few sunshine industries in these gloomy economic times.”

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