Myanmar Times-July 27

     In the past year, Myanmar rejected joint venture proposals involving Japan’s ANA and Malaysia’s AirAsia, citing the need to insulate local players from foreign competition. But with three domestic airlines, including FMI Air just this week, being forced to shut down and the remaining seven struggling to turn a profit, it is clear that the government’s protectionist policy should be scrapped.

The Department of Civil Aviation was right to say that industry players need to merge. For a developing market, Myanmar operates way too many airlines. Running an airline is capital and labor-intensive. Myanmar used to have 10 airlines – a staggering number which has fallen to 7. In comparison, there are four main carriers in the US, two in Japan, two in South Korea, four in mainland China and two in Taiwan.

Read more at: https://www.mmtimes.com/news/editorial-hostile-environment-protectionism-hurt-airlines-and-tourism.html

First published in Myanmar Times