The Malta Independent 19 April 2024, Friday
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Malta: A benchmark for other Mediterranean islands

Malta Independent Friday, 19 September 2014, 17:00 Last update: about 11 years ago

MIA is already an award winning airport, and has been enjoying record breaking results recently, with August this year being its busiest month ever. What is the driver of this success?

Malta International Airport has registered growth and reached record levels of traffic month on month. MIA, in close collaboration with MTA and the Government actively seeks to keep improving Malta’s accessibility especially with regards to year round operations. The growth achieved to date is also a result of these continuous efforts. MIA first launched its incentive programme in 2007, including the Strategic incentives amongst others, which are structured in a way that promotes winter operations by giving up to 60% rebate on our Passenger Service Charge during the winter season. Over and above this, we have not increased our airport charges since 2006, and for the 4th year running MIA will be offering Free Landings to scheduled carriers throughout the whole Winter Season. This year, despite the turmoil in Libya and the instability in Russia, traffic has exceeded our forecast so far for the period, partly due to the additional capacity that was brought on by the introduction of new carriers as well as by the strong load factors from all carriers during the period. Given these traffic results together with our most recent winter flight schedule, we have recently revised our forecast to a 4.2% increase over last year. This would make 2014 yet another record year in terms of passenger movements.

You currently have plans to improve the VVIP complex and the Schengen facilities. How will these improvements help MIA provide a better service to travellers, and what is the schedule for their implementation?

As part of an investment program, which since privatization has totalled €59 million (excluding Skyparks Business Centre), we are consistently investing in providing a quality tourism product. We have the crucial role in being the first and last impression of the Maltese Islands, are we are constantly improving various areas within the airport.

The Non-Schengen area will be enlarged by 650 sq. metres, as part of a project worth €2 million which will be completed in the Summer of 2015. This investment will improve our overall passenger experience by adding facilities and space in an area which in 2014 saw over 30% of the airport’s passenger flow. The extension will allow for three new gates to be added, increasing flexibility to the current five flexi-gates and will improve passenger comforts.

Moreover in the past couple of years we have taken on various operational expansions. These include our baggage reclaim area, which was migrated from a separate double carousel system to a single loop conveyor configuration. The new system is larger and brings more flexibility to the common check-in facility.

Meanwhile, works on the apron and taxiways were completed early in 2014. This upgrade ensures more efficient utilisation of the runway and maximises aircraft parking space.

Our VIP product is particularly relevant when positioning Malta as an aviation industry player. The VIP terminal was traditionally used exclusively by senior government officials. It is now being upgraded and extended for use by commercial passengers. This €450,000 investment will be completed by the end of September. Through the new VIP terminal, clients will have access to an exclusive lounge area where all the standard travelling procedures will be processed within the VIP terminal itself, giving visitors the premium travel experience they deserve.

How many different airlines currently fly into Malta and how many destinations does the airport service?

There are 31 airlines currently flying into Malta operating 86 routes. We have secured 2 new airlines for 2015: Finnair and Jet2.

The World has changed significantly over the last 50 years. Between budget air travel and the rise of Dubai as an international hub. What do you see as the key current trends in international air travel impacting on Malta?

Budget air travel has a solid future and further capacity will be taken up by this segment which will continue to dominate the short-haul European market. As we’ve seen in the recent past, there will be further consolidation in the flag carrier segment. The major airlines are seeing strength in unity and this aids in reducing the over-supply.

Logistics is being spoken about as a growing part of the Maltese economy. Do you see MIA benefitting from this, and if so how?

Logistics is a key business for Malta due to its geographic location whereby it can act as a bridge between North Africa, Europe and even the Middle East. This is a sector which is important for Malta and continues to see growth. MIA sees itself as a partner that can support local businesses by ensuring widespread accessibility and the right infrastructure.

And what do you think may be the key trends to look out for in the future?

Looking forward we must find ways of attracting more ‘quality tourists’, placing our focus on markets that deliver higher spenders. Also, as already mentioned, we see a lot of potential for growth in the shoulder and winter months and will keep searching for ways of pushing these periods through events, conferences, and promoting Valletta in its own right, especially with V18 on the horizon. It is also imperative for us to keep a healthy business mix and to manage our traffic effectively.

MIA is listed on the Maltese Stock Exchange. How does this listing support MIA’s operations and financial requirements?

Being listed adds credibility, responsibility and stability to our operations. The need for added disclosure means we are more transparent with our shareholders and in turn our customers, industry stakeholders and the general public. We are also consistently striving to give our shareholders, which include the Government of Malta and 7,000 local shareholders, a return on their investment, which makes us continuously hungry for growth.

From a business perspective what do you feel has been the key to Malta’s successful 50 years of independence?

Malta has developed and improved its overall tourism product through the years, and in fact we are often a benchmark for other Mediterranean islands. Malta’s strategic location has brought a lot of business to the island and through this we have managed to work together to ensure stability and growth over the past 50 years.

What do you think that the next 50 years has in store for Malta?

As a tourism stakeholder, we are cautiously optimistic about the future. We have managed to attract several new airlines in the past years, which we expect to grow as they gradually develop their markets. Albeit our weaker months being of strategic importance to growth, we must never neglect the summer months’ arrivals. These are crucial to the industry and any drives to promote the weaker months will not achieve the desired results without the continued success of the peak summer months.

We hope Malta will continue to generate investment and if we focus on having an attractive tourism product, with regards to our cultural sites, beaches, service quality and our accommodation offering, we will certainly continue on the path to a stable future. 

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