Price war that was triggered among domestic airlines after the operation of Fokker-100 jetliner has brought cheers to the domestic consumers. As a result, the consumer are able to purchase air tickets at an 'amazingly' cheaper prices on three major routes of the country, thanks to Open Sky Policy that has been promoting competition. "It is pleasure to get air ticket at such lower price," said, elatedly visible Mahesh Lal Shrestha. Shrestha had a ticket to fly to Biratnagar. He added that the new prices have been making their journey easier at a time when traveling by vehicles has created more nuisances due to frequent security checking and poor road condition. In response to the Cosmic Air's announcement to operate Fokker-100, a big-bodied aircraft on three sectors that include Kathmandu-Bhairahawa, Kathmandu-Biratnagar, and Kathmandu-Biratangar at the prices 40 percent below the standard fares, Yeti Airlines reduced fares on the same routes from today. The new fares of Yeti Airlines were less by Rs 100 on each route in comparison to the Cosmic Air.Bhoj Raj Ghimire, secretary at the Ministry of Culture, Civil Aviation and Tourism, attributed the competition to the Open Sky Policy. "The Policy has been able to trigger the kind of competition as the government had expected while introducing it," he said.

Prem Maharjan, general secretary of Nepal Consumers' Forum said that the new competition in the aviation sector has provided consumers with variety of choices at lower prices. "This shows that the competition makes the consumers enjoy maximum benefits," he said. He was also of the opinion that the new prices should be long lasting. Talking to the Post, Bikas Rana, president of Airlines Operators' Association of Nepal (AOAN) said that if competition makes consumers the gainers, it is positive. He, however, said that the price triggered by the competition should be sustainable and that there must be healthy competition. "If unhealthy practice is adopted to emerge triumphant over this competition, this will hurt both the consumers and airlines sector in the long-run," he said. Though the price war has surfaced on the busiest routes of the country, people in remote palaces are still forced to pay higher price for air tickets. More importantly, they are facing shortage of air tickets though they are ready to pay even the higher price. "As the remote places do not seem be as lucrative as the urban places, airlines are hesitating to operate flights to meet the growing demand to these places," said an airlines operator, requesting anonymity. He added that if the government wants to operate flights at these places, it has to implement Remote Area Subsidy Fund, providing subsidy to the airlines launching their service to these areas.

OTHER NEWS

• Phuket Air to link Kathmandu: Phuket Air (PA), a private Thai airlines, is going to operate three flights a week on Bangkok-Kathmandu-Dubai route from the first week of December. According to a press release issued here recently, the forthcoming flight to Katmandu is the fourth international flight of PA.
  
  
• Nepal to hold Expo in France: Nepal-France Chamber of Commerce and Industry (NFCCI), in collaboration with Paris Chamber of Commerce and Industry (PCCI) France, will be organizing Nepal Trade Promotion Expo-2004, Paris at La Rotonde, Bourse de Commerce CCIP in Paris. According to a press release issued here recently, the objective of the Expo is to bring together the French and Nepali importers and exporters to enhance the trade between the two countries.
  
  
• Nepal-Tibet bus service likely from May: If everything goes as planned, Nepal Tibet direct bus service will start from May 1 next year. Talking to the Post, Spokesperson of Ministry of Labor and Transport Management (MoLTM), Dhruva Kumar Sharma said that final decision is likely to be made in December when a Chinese delegation is scheduled visit the country to inspect the roads and workshops.
  
  
• Tourist arrivals dip 12.3pc: Tourism industry continued to go on a declining trend, as the number of tourists visiting the country went down by 12.3 per cent in October. According to statistics compiled and released by the Ministry of Culture, Civil Aviation and Tourism, some 33,510 tourists visited the country by air during the review period, down from the 38,000 tourists in the corresponding month last year. Talking to the Post, Tek Bahadur Dangi, chief executive officer of Nepal Tourism Board attributed the decline to the unprecedented incidents happened in the recent months.
  
  
• Finnair begins Nepal flight: A charted plane of Finnair, a Finnish airlines today landed at Tribhuvan International Airport (TIA), Kathmandu, carrying 160 tourists, including five journalists. This is the first time that an airline from Finland has operated its chartered flight to Nepal. Welcoming the tourists at the TIA, Pauli Mustonen, charge d'affair of the Kathmandu-based Finnish embassy said that even the chartered flight will be helpful to attract tourists in Nepal from Finland as there is no direct flights between the two countries. "Finland has a tremendous potential for Nepal tourism industry," he said. Marsa Luukkonen, a tourist from Finland viewed that though Nepal is mired in domestic conflicts, it is a safer place for the tourists. "The conflict is an internal problem and it has nothing to do with the tourists. So, tourists do not need to be afraid and over cautious to visit Nepal," she said.
  
  
• Nepal promotion campaign kicks off in Paris: A promotional campaign about Nepal kicked off in Paris on Thursday to attract visitors from Western Europe. A press release issued by Nepal Tourism Board on Saturday stated that a conference was held in Paris of France, which was attended by around 70 French travel writers, journalists and tour operators. The conference was held with an aim to update tourism situation and to showcase attractions of Nepal amidst the prevailing security apprehension stirred by international media and unfavorable travel advisories. Various presentations were made on the occasion that included clarification on the tourist safety and security situation in Nepal. The release further stated that Marc Bertard-a renowned French Everest summiteer shared his pleasant experiences about Nepal on the occasion.
  

By Hari Shrestha, Resident Representative in Kathmandu