Airasia Move No Threat To Thai Airways: Minister

[webfact]

AirAsia move no threat to THAI: minister

The Nation

BANGKOK: -- Transport Minister Chadchart Sittipunt insisted yesterday that any further expansion in Thailand by AirAsia, the region's biggest low-cost carrier, would not cramp the Thai national carrier, however local rival Orient Thai was not impressed by the statement.

newsjs

Udom Tantiprasongchai, chairman of the advisory board at Orient Thai, said the government's move to facilitate AirAsia's request would not be good for the country's image and credibility. The international business community may raise concerns that the country has no rules for doing business here. Any operator in the aviation industry can request a flight slot or route anytime it wants to.

"It's too late for Thailand's aviation industry. It is still weak and is losing opportunities to stronger players, especially AirAsia.

"It can expand its network here whenever it wants. It shows that our country is not tough on regulation,'' he said.

On Wednesday, Tony Fernandes, AirAsia's CEO, met with Prime Minister Yingluck Shinawatra to ask if it was possible to increase its flight network here. Thailand would also be promoted as its hub.

After the meeting, Chadchart said the prime minister showed an interest in supporting Thailand as a hub for low-cost carriers in Asean.

The carrier will talk in detail on the issue with Airports of Thailand. In the early stage, the airline expects to help double passengers passing through Don Mueang International Airport, its main base here, from 10 million at present. The airport's maximum capacity is 36 million passengers a year.

"I agree with promoting Thailand as the hub for low-cost carriers. The airport will be used as a centre for other airlines, too, especially chartered services. I am confident that the number of passengers will increase significantly according to AirAsia's expectations,'' he said.

As its customer, AOT will have to welcome AirAsia's opinions to prepare facilities to serve its growth.

He insisted the negotiations would be based on the benefits to both sides.

-- The Nation 2013-02-15

[Thai at Heart]

"It's too late for Thailand's aviation industry. It is still weak and is losing opportunities to stronger players, especially AirAsia.

"It can expand its network here whenever it wants. It shows that our country is not tough on regulation,'' he said.

I love it when the true anti competitive attitudes come out.

[Digitalbanana]

"It's too late for Thailand's aviation industry. It is still weak and is losing opportunities to stronger players, especially AirAsia.

"It can expand its network here whenever it wants. It shows that our country is not tough on regulation,'' he said.

I love it when the true anti competitive attitudes come out.

Having seen the state of Orient Thai's fleet, what else could he say?

[rkidlad]

"It's too late for Thailand's aviation industry. It is still weak and is losing opportunities to stronger players, especially AirAsia.

"It can expand its network here whenever it wants. It shows that our country is not tough on regulation,'' he said.

I love it when the true anti competitive attitudes come out.

Yeap, how dare these companies offer Thais more variety and cheaper options!

[fezman]

We need competition on the Bkk to Khon Kaen route ,it's thai air or the bus at the moment .

[Ricardo]

If Air Asia Thailand doesn't threaten Thai Airways, why did TG feel the need to start their own LCC 'Thai Smile' recently, to fly (first plan) regional routes but then (plan 2) local routes replacing TG widebody-jet flights, with A320s just like Air Asia's ones ?

[jaltsc]

"Udom Tantiprasongchai, chairman of the advisory board at Orient Thai, said the government's move to facilitate AirAsia's request would not be good for the country's image and credibility. The international business community may raise concerns that the country has no rules for doing business here."

It's amazing that in Thailand, whenever competition springs up, the knee jerk reaction is to ask that the competition be restricted or eliminated. It never occurs to them that they should improve and create a better product or service in order to compete. The international business community's concern with the rules of free enterprise, capitalism and supply and demand are not good enough for them. The rules Udon seems to want are rules which perpetuate cronyism, lack of competition and overall industrial laziness which do not benefit the consumer in any way. Small wonder that Thai businesses are losing out to the foreign competition.

[OzMick]

What's the better option - allowing AA to expand to meet demand for wealthier passengers, or spending billions on a high speed rail links?

[Moruya]

Udom and his board should be doing time for causing death by corruption.

They should sell his fleet and give the proceeds to the victims

[canopus1969]

If Air Asia Thailand doesn't threaten Thai Airways, why did TG feel the need to start their own LCC 'Thai Smile' recently, to fly (first plan) regional routes but then (plan 2) local routes replacing TG widebody-jet flights, with A320s just like Air Asia's ones ?

Thai Smile is not a LCC in the same vein as AA - Thai Smile is far superior as a product to AA

[Buchholz]

Udom Tantiprasongchai, chairman of the advisory board at Orient Thai, said the government's move to facilitate AirAsia's request would not be good for the country's image and credibility.

Whereas Orient Thai does wonders for the country's image and credibility

"It can expand its network here whenever it wants. It shows that our country is not tough on regulation,'' he said.

Particularly not tough with safety.

On September 2004, an Orient Thai 747 flew within 200 meters of Japan's Tokyo Tower over the heart of downtown Tokyo.

On July 22, 2008, a crash in Phuket killed 89 people

.

[Kananga]

If Air Asia Thailand doesn't threaten Thai Airways, why did TG feel the need to start their own LCC 'Thai Smile' recently, to fly (first plan) regional routes but then (plan 2) local routes replacing TG widebody-jet flights, with A320s just like Air Asia's ones ?

But with fares at twice the price of AirAsia I doubt Tony Fernandes is losing much sleep.

[h90]

What's the better option - allowing AA to expand to meet demand for wealthier passengers, or spending billions on a high speed rail links?

That depends on where an influential person in Dubai has more shares invested. He has a lot in Air Asia.

But on spending billions the tea money will be also good....difficult to judge what is better....but our PM will Skype with the real PM about that topic.

[muttley]

What's the better option - allowing AA to expand to meet demand for wealthier passengers, or spending billions on a high speed rail links?

The question is irrelevant and off topic as the two completely different transport options are not co dependent or interrelated. This thread is about the possibility of Air Asia expanding its routes, not railways..

[zakk9]

Air Asia is sweeping the floor with Thai Airways. When they moved to Don Mueang, I decided to start using Thai and Bangkok Airways instead, but found that not only are they much more expensive. They are also less efficient, hardly offer better service except for free food (but AA's food selection is much wider) and although there's a bit more space between the seats, the planes used for SE Asia flights are older that AA's mostly new Airbus fleet and the seats often worn. The Boeing 737s that Thai uses for inland flights must be approaching 20 years.

So, I'm back to Don Mueang. I've found that, even when living at the opposite side of the city, it only takes 10 extra minutes on the motorway if I depart early and arrive late.

It's a pity. When I flew Thai Airways for the first time in 1976, it was really State of the Art.

[OzMick]

What's the better option - allowing AA to expand to meet demand for wealthier passengers, or spending billions on a high speed rail links?

The question is irrelevant and off topic as the two completely different transport options are not co dependent or interrelated. This thread is about the possibility of Air Asia expanding its routes, not railways..

And I thought that they would have the same customer base. Silly me.

Do you have anything to say on the topic, or are you just assuming the role of moderator again? The report button is on the lower left.

[zakk9]

What's the better option - allowing AA to expand to meet demand for wealthier passengers, or spending billions on a high speed rail links?

The question is irrelevant and off topic as the two completely different transport options are not co dependent or interrelated. This thread is about the possibility of Air Asia expanding its routes, not railways..

And I thought that they would have the same customer base. Silly me.

Do you have anything to say on the topic, or are you just assuming the role of moderator again? The report button is on the lower left.

High speed trains are obviously relevant, but since the trains will only reach a few selected cities (if the lines are ever built), there will still be a need for airlines. With 70 million people and a hopelessly dated public transport system, Thailand needs all the upgrades that can be made available. At the moment, air transport seems to be the most realistic alternative to buses, at least to the larger cities.

One of the problems is that high speed trains are only economical between cities with a large population, the cities that already have airports. What this country really needs is an extensive rail network that covers smaller cities and rural areas. Many of those travelling to and from Bangkok don't have any realistic alternatives than cars and slow bus routes.

[how241]

"It's too late for Thailand's aviation industry. It is still weak and is losing opportunities to stronger players, especially AirAsia.

"It can expand its network here whenever it wants. It shows that our country is not tough on regulation,'' he said.

I love it when the true anti competitive attitudes come out.

Yeap, how dare these companies offer Thais more variety and cheaper options!

+1

[Ricardo]

If Air Asia Thailand doesn't threaten Thai Airways, why did TG feel the need to start their own LCC 'Thai Smile' recently, to fly (first plan) regional routes but then (plan 2) local routes replacing TG widebody-jet flights, with A320s just like Air Asia's ones ?

Thai Smile is not a LCC in the same vein as AA - Thai Smile is far superior as a product to AA

That must be why its prices are also far higher than Air Asia's, within a whisker of Thai Airways', in fact.

But wasn't Thai-Smile supposed to be a lower-cost-carrier, under the previous president's strategy ?

Whereas with its current TG-lookalike service/fares, they might just as well have introduced the new fleet of A320s, without all the hullabaloo, of starting a new subsidiary, or 'sister airline' as they sometimes prefer to call it.

The plain fact is, TG can't or won't compete head-to-head with the LCCs, and the Minister is also in-denial.

[pistachios]

Of course they will not threaten thai airways, they were kicked out of suvarnabhum...

[OzMick]

AA regularly offers advance purchase fares DM -Nakhon Phanom for B790. Lately, I don't even bother to check TG etc for comparison - waste of effort.

[TheGhostWithin]

We need competition on the Bkk to Khon Kaen route ,it's thai air or the bus at the moment .

I prefer the bus, the last time I flew this route (and the only time) the air hostess provided everyone on-board water, except for the young Farang guy. She pretended she could not speak English when passing it out, and ignored me when I spoke to her in Thai. Not the best on a roasting hot summers day. At least with Chan Tour Bus I get a bottle of water and some sandwiches. And at 1/3 the price or cheaper than flying.

It takes 3x the time to get there, but hey, I love the Thai countryside, it is one of the most beautiful and redeeming qualities of this country. And the people I meet on the bus (yes, I like to talk to the strangers, and share smiles with them) are so much nicer than the Taxi drivers you will meet in Bangkok, or the "agents" you will meet at Suvarnabhumi when looking for a taxi or a new flight when you missed yours.

Edited February 15, 2013 by TheGhostWithin

[TheGhostWithin]

Of course they will not threaten thai airways, they were kicked out of suvarnabhum...

Kicked out for being too competitive, and as a result becoming too popular. And now posters as the poster above, are making Don Muang their permanent home. Leave Suvarnabhumi for the "sheeple" and the Sheeple herders with the flags, perhaps? I found TG domestic putrid, and their international service is slowly going the same way, with an aging fleet and aging fleet of air hostess'.

Air Asia still gets me to where I want to, and I can say I was only ever delayed once out of Penang, I sometimes do 10-20 flights over a 5-6 week period when I travel.

[ginjag]

AA regularly offers advance purchase fares DM -Nakhon Phanom for B790. Lately, I don't even bother to check TG etc for comparison - waste of effort.

+1,,, same Udon.

[ginjag]

We need competition on the Bkk to Khon Kaen route ,it's thai air or the bus at the moment .

I prefer the bus, the last time I flew this route (and the only time) the air hostess provided everyone on-board water, except for the young Farang guy. She pretended she could not speak English when passing it out, and ignored me when I spoke to her in Thai. Not the best on a roasting hot summers day. At least with Chan Tour Bus I get a bottle of water and some sandwiches. And at 1/3 the price or cheaper than flying.

It takes 3x the time to get there, but hey, I love the Thai countryside, it is one of the most beautiful and redeeming qualities of this country. And the people I meet on the bus (yes, I like to talk to the strangers, and share smiles with them) are so much nicer than the Taxi drivers you will meet in Bangkok, or the "agents" you will meet at Suvarnabhumi when looking for a taxi or a new flight when you missed yours.

BUS-Chan tour is the best, if you have the time .

[Buchholz]

AA regularly offers advance purchase fares DM -Nakhon Phanom for B790. Lately, I don't even bother to check TG etc for comparison - waste of effort.

+1,,, same Udon.

+2 for even less during their January sale.

Picked up two round-trip tickets (four flight tickets total) DMK-Ubon-DMK for 1,515 baht total.

Same on Thai (economy) was 14,050 baht total....... hmmmm, easy decision.

.

Edited February 15, 2013 by Buchholz

[ginjag]

AA regularly offers advance purchase fares DM -Nakhon Phanom for B790. Lately, I don't even bother to check TG etc for comparison - waste of effort.

+1,,, same Udon.

+2 for even less during their January sale.

Picked up two round-trip tickets (four flight tickets total) DMK-Ubon-DMK for 1,515 baht total.

Same on Thai was 14,050 baht total....... hmmmm, easy decision.

.

Good on ya, but as some have been arguing with me about AA bad service, and they get a lounge and a bottle of water and willing to pay extra for Thai Nok-BKK air super service. And all this blaaa for 50 min flight HaHa.

[zakk9]

AA regularly offers advance purchase fares DM -Nakhon Phanom for B790. Lately, I don't even bother to check TG etc for comparison - waste of effort.

+1,,, same Udon.

+2 for even less during their January sale.

Picked up two round-trip tickets (four flight tickets total) DMK-Ubon-DMK for 1,515 baht total.

Same on Thai was 14,050 baht total....... hmmmm, easy decision.

.

Good on ya, but as some have been arguing with me about AA bad service, and they get a lounge and a bottle of water and willing to pay extra for Thai Nok-BKK air super service. And all this blaaa for 50 min flight HaHa.

Must be some water if it costs several thousand baht per bottle

[Kananga]

+2 for even less during their January sale.

Picked up two round-trip tickets (four flight tickets total) DMK-Ubon-DMK for 1,515 baht total.

Same on Thai was 14,050 baht total....... hmmmm, easy decision.

.

Good on ya, but as some have been arguing with me about AA bad service, and they get a lounge and a bottle of water and willing to pay extra for Thai Nok-BKK air super service. And all this blaaa for 50 min flight HaHa.

Must be some water if it costs several thousand baht per bottle

Dont forget the snob factor in choosing the national carrier of a third world country over a low cost carrier.

[rubl]

In the mean time while preparing for ASEAN 2015 ... ... ...