The bankruptcy of Cyprus Turkish Airlines, or KTHY, has dealt a heavy blow to the tourism industry in northern Cyprus, which is only recognized by Turkey. Sector representatives say airline companies have started using Larnaca Airport in Greek Cyprus, a tendency that threatens the future of Ercan Airport in the north
The bankcrupcy of Cyprus Turkish Airlines was something the Turkish Cypriot tourism industry had been expecting for a few years. Hürriyet photo
The bankcrupcy of Cyprus Turkish Airlines was something the Turkish Cypriot tourism industry had been expecting for a few years. Hürriyet photo
The bankruptcy of Cyprus Turkish Airlines, or KTHY, in late June is increasingly prompting tourism entrepreneurs in northern Cyprus to use Larnaca Airport in Greek Cyprus.
Representatives of the Turkish Cypriot tourism sector say the government should focus on attracting more airlines, and especially charter flights, to Ercan Airport. There is an urgent need to add connections to Ercan to compensate for the flights that have been discontinued because of the bankruptcy.
Mehmet Dolmacı, chairman of Turkish Cypriot Hoteliers Union, or KITOB, said since the bankruptcy of Cyprus Turkish Airlines, an increasing numbers of tourists to northern Cyprus are choosing to fly to Larnaca Airport. Some 20 percent of all tourists to the north arrive through Larnaca these days. During the high season, some 2,000 tourists arrive in northern Cyprus each week.
"Larnaca is a good option as transferring from there to the resorts in the north only takes about one and a half hours. However, northern Cyprus hoteliers cannot rely on Larnaca, and we also have our own airport, Ercan, which we should really focus on using. Although flying to Ercan usually means a stopover on the way, a transfer time of 45 minutes compensates for this," Dolmacı said.
Dangerous dependency
Özbek Dedekorkut, former president of the Turkish Cypriot Travel and Tourist Agents Association, or KITSAB, said if the Turkish Cypriot government does not now work to attract more airlines to Ercan Airport, more of the European tour operators bringing tourists to northern Cyprus will start using Larnaca Airport as the default destination from next year on. "This situation has forced us to find alternatives, of which one of the best is Larnaca Airport. However, we do not want to depend on it because of the current political situation," Dedekorkut told the Hürriyet Daily News & Economic Review in early July.
"In order to cover the loss of seats KTHY was offering - about 800,000 a year - we must have more airlines landing in Ercan. The new route by Turkey’s Onur Air, which will start flights here in a while, as well as additional flights by Pegasus Airlines and Anadolu Jet will not cover the loss. We need around five new airlines here, for example, European charters and Sun Express," Dedekorkut said. SunExpress is a joint venture of Germany’s Lufthansa and Turkey’s Turkish Airlines.
Dolmacı expects two new airlines to launch flights to Ercan in the near future. "In order to attract more airlines here, both Turkish and European, the government should provide incentives, and for example, reduce service costs at Ercan and apply a tax relief on these firms," he said.
Dedekorkut agreed. "If the government opens the road for charter airlines and makes regulations easier, many airlines will be happy to fly here. We need to convince current airlines to schedule more flights, use Turkish Airlines more efficiently, and use Anadolu Jet more," he added.
National carrier not a necessity
Increasing charter flights to northern Cyprus is a more reliable business model in the current situation, according to Dedekorkut. "Charter carrying is very important now as charter flight prices are more reasonable and tour operators commit themselves to fill the seats. If we manage to run charters some eight to 10 months of the year from next spring, we can fill in the gap created by the bankruptcy of KTHY," he added.
Dedekorkut noted that the bankcrupcy of KTHY was something the Turkish Cypriot tourism industry had been expecting for a few years. He believes the Turkish Cypriot government can manage without a national carrier. "Rather than opening a new airline, the government should support existing ones. KTHY was just a symbol which we do not necessarily need in this economic environment. Supporting existing routes to northern Cyprus and inviting new airlines here is of utmost priority as 90 percent of our economy depends on universities and tourism, which both partly rely on the airline business," he said.
http://www.hurriyetdailynews.com/n.php? ... 2010-07-28
