Vietnam’s aviation business just isn’t prepared for a brand new airline and such requests can solely be thought of after the market has recovered, the transport ministry has mentioned.
The business has been going via main difficulties as a result of the Covid-19 pandemic and now just isn’t an appropriate time for the institution of a brand new airline, even a cargo service, the ministry mentioned in a report back to the Prime Minister’s workplace.
Native airways have been struggling to outlive the pandemic and have resorted to turning passenger planes into cargo carriers to earn revenues, the report mentioned.
The ministry mentioned that the request to determine IPP Air Cargo will be made after the market has recovered, which is anticipated to be subsequent 12 months on the earliest, the ministry mentioned, including that this conclusion was reached at a current assembly with the Vietnam Airways Group, Vietjet, Bamboo Airways, Vietravel Airways and IPP Air Cargo itself.
IPP Air Cargo was proposed by retail firm Imex Pan Pacific Group (IPPG) to be established next year. It will be the primary full-fledged cargo airline in Vietnam. All six current carriers prioritize passenger transport.
Vietnam Airways has lately proposed that it establishes a cargo carrier as a part of efforts to shore up its enterprise that has been arduous hit by Covid-19 outbreaks.
Within the first six months, home airways served 16.2 million passengers, up 1.9 % year-on-year, in keeping with the General Statistics Office.