Merpati Airlines fall, this was the fifth plane crash of Chinese production

The fall of Merpati Airlines, MA-60 aircraft to the waters of the Kaimana, West Papua, on Saturday (7 / 5) is the fifth time for an aircraft accident made in China. This accident is also the most fatal accidents have ever experienced MA-60 aircraft since the first time operated by Sichuan Airlines in 2000.

The first accident occurred on January 11, 2009. At that time, Xian MA-60 belong to Zest Airways flight 865 with 22 passengers and 33 crew members have undershot on Runway 06. The accident occurred when the plane landed at Godofredo P Ramos Airport, Philippines. Landing gear and propeller aircraft suffered severe damage. Three people were injured. However, there were no fatalities.

The second accident occurred on June 25, 2009. At that time, Xian MA-60 belong to Zest Airways flight number 863 with 54 passengers and 5 crews have overshot on landing at Godofredo P Ramos Airport. No injuries in the accident.

The third accident occurred on November 3, 2009. Xian MA-60 UM-239 owned by Air Zimbabwe hit five wild boar during takeoff from Harare International Airport. The plane managed to stop the takeoff process. However, plane was badly damaged in a collision.

Meanwhile, on December 7, 2010, the fourth accident occurred at Rangoon International Airport. Xian MA-60 aircraft at that time also skidded while landing.

The latest accident and the worst crash is Merpati Airlines MA-60 type in Kaimana, West Papua, on Saturday (05/07/2011) afternoon. The plane crashed and sank.

PT Merpati Nusantara Airlines (Merpati) ever stop operating (grounded) MA-60 aircraft made by Xian Aircraft of China following the damage to the rudder (wing section) back of the plane.

"Grounded we do because there was a crack on the rear wing," said (late) Director of Merpati Airlines, Bambang Bhakti after a hearing with Commission XI DPR-RI at the parliament building on Wednesday (10/6/2009).

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Garuda Indonesia Airways grab Singapore Airlines MARKET

The airline Garuda Indonesia Airways began to seize market foreign airlines, including Singapore Airlines and Malaysia Airlines who could fill in the gaps for the overseas Garuda Indonesia flight routes.

Currently, several international flights such as to Japan, Seoul, Hong Kong, and China, could be said Garuda Indonesia has become the primary choice in upper secondary market. Average monthly load factor according to Director of Marketing and Sales Arif Wibowo, reaching more than 80%.

"Only Japan has decreased by about 15% because of the earthquake and tsunami a while back. But we believe this market will soon recover. Japan is one of a solid international routes," said Arif in Toulouse, France, when to pick up a new aircraft of Garuda Indonesia, Airbus 330-200.

Met separately in Toulouse, President Director Danny Limarga Shilla Tour, said of a thousand inbound tourists per year that he signed, almost all using Garuda Indonesia, except for a flight to Amsterdam. "Frequency of Garuda Indonesia flight to Amsterdam was still a little. But for countries in Asia, Garuda Indonesia has become the primary choice. For Shilla Tour is perfect because we were working on upper middle-market tourists," said Danny. In the future, Danny hoped Garuda Indonesia could increase flight routes to countries in Europe. Also strengthening the flight route in Asian countries.

The same hope is presented by Eka Moncarre, Managing Director of Panorama Tour of Europe. Eka explains, the French tourism market relatively unaffected by the world financial crisis. "They rarely play the stock, so not too affected. That's why, demand for travel to Indonesia, especially Java and Bali continue to rise, "said Eka at Paris.

In 2010, the number of French tourists to Indonesia, which is handled Panorama reach 100 thousand people. From the number, 70% of them targeting the island of Java and Bali. "That's why, we hope that Garuda Indonesia can fly longer of Paris routes. Tourists market in this country is big enough," said Eka.

By the closing of Paris track around 1994, the current French tourists who came to Indonesia was forced to bundle with other foreign airlines such as Singapore Airlines and Malaysia airlines. "This is related to additional tariffs, due to use of Garuda Indonesia, the first tourists to be flown to Amsterdam. That is why, we sincerely hope Garuda again fly over Paris," said Eka.

Arif Wibowo said the management of Garuda Indonesia already had plan to open new routes in several Europe countries, including Paris, France. To support the plan, Garuda Indonesia has ordered the aircraft that can serve long-distance direct flights.

Vice President of Marketing Garuda Indonesia, Don JP Bustan, the French gave similar statement. Management of Garuda Indonesia, he said, did have a plan to immediately fly several European countries, including Paris, France."Routes to be flown are in the study. We still measured the needs work on the main market in business class, including the leisure market with more economic tariffs," he said.

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AirAsia plans to INCREASE flights frequency to SINGAPORE

The airline company, PT Indonesia AirAsia plans to increase frequency of flights from Jakarta and Denpasar to Singapore. Adding of one-time flight to Jakarta to Singapore route that became six times a day. As for the route Denpasar - Singapore flights increased by one so that it becomes four times the flight.

"The addition of this flight frequencies will effective on 20 April," said President Director of Indonesia AirAsia, Dharmadi.

The addition of frequency to Singapore, according to Dharmadi, because of the many customer requests to go to Singapore. "Singapore became one of our customer's favorite route, as well known as a shopping paradise and city tour," he said.

Related to that, Director of Marketing and Distribution AirAsia Widijastoro Nugroho said, AirAsia will offer special prices to travel to Singapore.

The special prices that offer by AirAsia is start from IDR 149,000 for the Jakarta-Singapore route and start from IDR 199,000 for the Denpasar - Singapore route. "This will be valid from 23 to 27 March 2011 with scheduled flights from 20 April - 10 November 2011,"said Widijastoro.

INDONESIA Airlines Ask for EXEMPTION to Surcharge RULES

The Indonesian Air Carrier Association has called on the government to allow domestic airlines to add fuel surcharges to airfares to reflect rising oil prices that may affect their operating costs.

Tengku Burhanuddin, secretary general of the association, also known as Inaca, said jet fuel prices have hovered between IDR 7,000 and IDR 8,000 (US$0.80 and US$0.91) per liter, but outside forces such as Middle East political crisis could send prices above the government’s price assumption.

Transport Ministry regulations allow airlines to impose surcharges if jet fuel prices exceed IDR 10,000 per liter and carriers experience a 20 percent rise in operational costs for three successive months.

Not imposing surcharges would be a burden to airlines already struggling to stay profitable, Tengku said. “If we are allowed to impose it now, it will be a lot easier to maintain our profit margin,” he said, adding that each airline has different calculations on the surcharges needed to cover operational costs.

Fuel typically makes up 30 percent to 40 percent of an airline’s operational costs.

Brent crude prices surpassed US$116 per barrel on Thursday after forces loyal to Libyan leader Muammar el-Qaddafi bombed oil industry infrastructure, inflicting damage on the country’s exporting capacity, Reuters reported.

Last year, the Business Competition Supervisory Body (KPPU) accused the country’s nine largest airlines of using fuel surcharges to boost revenue even though fuel prices had declined. It leveled IDR 80 billion in fines and IDR 504 billion in compensation to customers against the carriers.

However, the Central Jakarta District Court struck down the KPPU’s ruling last month, saying there was no evidence of price-fixing between the airlines.

Elisa Lumbantoruan, finance director of flagship carrier Garuda Indonesia, said the airline had raised its economy class fare 5 percent and increased seat allocations for business and executive class to cope with rising fuel costs.

“Because we don’t hedge our fuel supply, we have to deal with this by increasing ticket prices and adjusting seat allocations,” he said. “We haven’t made any plans to add fuel surcharges.”

In 2007, when oil prices reached US$140 per barrel, Elisa said airlines began adding IDR 150,000 in fuel surcharges to airfare for the Jakarta-Surabaya route, for example.

Edward Sirait, general director of Lion Air, said his company was also increasing the number of seats in the executive class to compensate for rising fuel prices. Dharmadi, president director of AirAsia Indonesia, has said the airline could offset rising fuel prices of up to US$130 per barrel with ancillary revenue.

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WINGS Air open MALANG-DENPASAR flight route

The Indonesia airline company, Wings Airs, a subsidiary of Lion Air is starting open their flight route service from Malang - Denpasar, as an answer for the market need for this on the tourist route of these two destinations.

Wings Air uses ATR 72-500 aircraft with a capacity of 72 seats, which is said to have equipped with modern cabin.

Andi Burhan, Wings Air general manager explained, the flight is seven days a week, departing from Abdul Rachman Saleh Airport, Malang at 14:25 with flight number IW 1841, and departed from the Ngurah Rai Airport, Denpasar at 14.00.
This ATR aircraft is a new aircraft purchased from Avions de Transport Regional (ATR) manufacturer, which also manufactured turboprop-powered aircraft in France.

The number of aircraft would be ordered and will be operated by Wings Air is 30 aircrafts, has started operation since January 2010. "Up to February 2011 has been received and operates ten aircrafts, and five more planes is planning arrive until August 2011," said Andi Burhan.

The Malang-Denpasar route had been waiting since 2005, when the Civil Airport Abd Saleh Malang re-operated facilities that utilize the Air Force at Air Field Saleh Abd. "Malang always expect there is a direct route to and from Denpasar flight, as well as to and from Yogyakarta," said Head of Transportation Department of Malang Regency, Nasarudin Selian.

This is to confirm the Malang ambition along with it’s satellite city Kota Batu and Malang regency to assert its identity as a city or region of national and international tourist destination, besides Yogyakarta and Denpasar.

"We always hope that overseas tourists will travel  the Malang - Denpasar flight route, before entering Yogyakarta city, after entering Indonesia through the door of Denpasar. Similarly, on the contrary, from Yogyakarta or Jakarta to Denpasar via Malang," said Nasarudin.

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IATA: Soaring fuel costs will cut 2011 airline profits nearly 50pc

THE International Air Transport Association (IATA) has cut industry 2011 profit 2011 forecast to US$8.6 billion from last's year's $16 billion because of high oil prices.

"Today oil is the biggest risk. If its rise stalls global economic expansion, the outlook will deteriorate quickly," said Giovanni Bisignani, IATA's director general and CEO.

IATA raised its average oil price forecast to $96 per barrel, up from $84 in December, factoring in the impact of fuel hedging which is roughly 50 per cent of expected consumption.

"This year the industry is performing a balancing act on a very thin tight-rope of a 1.4 per cent margin. It is a structural problem that the industry has faced with an average margin of just 0.1 per cent over the last four decades," he said.

Oil prices could still damage the industry despite global GDP forecast increase of 3.1 per cent and demand in both passenger and cargo sectors, up 5.6 per cent and 6.1 per cent respectively. Cargo yields are up by 1.9 per cent from previous forecast of zero growth.

Regional winners continue to be Asia-Pacific at $3.7 billion collective profit although much reduced from the previous year's $7.6 billion through its exposure to low hedging on fuel price. Inflation fighting measures in China are also slowing trade and air cargo demand.

Middle East carriers are expected to return a profit of $700 million, much better than the $400 million previously forecast, but down from the $1.1 billion profit that the region posted in 2010.

source: shippingazette.com / picture: google.com