MIA in bid to boost air traffic

Negotiations are underway between Malta International Airport and airlines from five European countries with a view to increasing both the number of passengers and frequency of air traffic to the island.

The talks should reach a climax during the annual Routes Conference held later this month in Madrid.

MIA chairman Michael Höeferer said during a press briefing yesterday that the company was focusing on the Spanish, Belgian, French, Swiss and Irish markets. "There is demand from this market which is currently being underserved," he said.

Mr Höeferer said some of the airlines involved in the discussions have already flown to Malta but all of them were still in the planning phase of their new schedule which would start in November.

Talks are also underway with two "major European cruise lines" to start using Malta as a home port and Mr Höeferer said one such company would be doing so as of next summer.

This summer MIA welcomed about 21,000 guests who came by air to start a cruise from Malta. The Cruise and Fly concept is expected to yield a turnaround of 24,000 passengers by the end of next month. Mr Höeferer said 20 per cent of guests who come to Malta to take a cruise would stay in the country either before or after the cruise.

He said a lot had been achieved in the two years since the MIA was privatised and the first results could be seen as of this summer. These included new destinations, new airlines and an increase in traffic. He explained that this summer there was a five per cent increase in traffic over last year, 70 per cent of which was to new routes or by new airlines.

"We are very optimistic for the future," he said. In the first eight months new airlines that were attracted to Malta contributed to 76,000 additional passengers."

With regard to cargo, Mr Höeferer said that an increase in volume in this area had been experienced since January of last year. In fact, last year there was a 22 per cent increase in volume over 2002 while during the first half of this year a 26 per cent increase was registered over the same period last year.

He said the plan was to transform Malta into a regional cargo hub by putting in place freight operations to connect Europe with the Middle East and Africa. Cargo activities are set to improve with the completion of a second cargo shed, which is expected to be ready by November and will increase storage space by 50 per cent.

Meanwhile, MIA had found partners - including Malta Freeport, the Malta Maritime Authority and Air Malta - to help it develop Malta as a multi-modal transport hub. It was also trying to get EU funding for the project.

Mr Höeferer said there was a plan to increase the non-aviation area - which includes retail outlets and restaurants - by about 50 per cent. Earlier this year MIA presented its plans for the Mediterranean Business Park, which the company said were generating "considerable interest" from foreign investors who had already started talks with MIA about them. He said a feasibility study about the business park would be discussed at next month's board meeting.

Mr Höeferer said that the board had just reconfirmed the appointments of chief executive officer Peter Bolech and chief financial officer Austin Calleja for a further three-year term.