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Business

Parochial mindset at CAB

SPYBITS - The Philippine Star

The other week we stopped over in Dubai on our way back from a business meeting in Lisbon, Portugal. We bumped into some of our old friends from Qatar Airways who informed us about their request for additional flight frequencies. To their surprise – Qatar Airways’ request was rebuffed tersely with no reasonable explanations whatsoever by CAB executive director and Philippine Air Consultation Panel vice president Carmelo Arcilla.

We are told the Philippine Air Negotiating Panel is composed of the Transportation Secretary, the Tourism Secretary, the Foreign Secretary, the Trade Secretary, representatives from the airlines and other individuals as may be authorized by the President. After checking with Qatar’s lawyers, we were informed that the other members of the air panel including the deputy chairman were not apprised of Arcilla’s seemingly unilateral decision – summed up in less than 20 words – to thumb down the request. According to the information we got and contrary to Arcilla’s claims, the decision did not have the full “consensus” of the other panel members. 

The Qatari flag carrier currently operates eight weekly frequencies and they were requesting for 13 additional weekly frequencies due to the high volume of passengers coming from Doha to Manila and vice versa. Qatar happens to be one of the biggest destinations of overseas Filipino workers and there is an estimated 250,000 OFWs currently employed in Qatar (whose population is pegged at two million). Thus, the additional flights would support the rising demand from the growing Filipino community in Qatar which the current eight weekly frequencies obviously could not service sufficiently. Besides, carriers from neighboring countries where a large number of OFWs are deployed have also increased their weekly frequencies, like the United Arab Emirates which has 42 weekly frequencies.

As explained by our Qatari friends, the additional flights they were requesting would be during late at night and early morning hours when air traffic is at a minimum so as not to add to the air traffic congestion at the Ninoy Aquino International Airport. Sounds reasonable enough, given the fact that passengers would be given more options in choosing their time of travel especially those who prefer to travel by night or the wee hours of the morning to avoid the traffic in Metro Manila during peak hours. Besides, we’re told that Philippine carriers would also be given the same reciprocal benefits if they too wish to avail of increased flight frequencies to Doha.

Qatar just happens to be the world’s richest nation with a GDP per capita of $100,899 according to the International Monetary Fund’s World Economic Outlook Database as of October 2013. It has an unemployment rate estimated at 0.5 percent. From being one of the poorest Gulf states, Qatar has transformed into a very wealthy nation thanks in large part to its oil and gas reserves.

According to Ambassador Crescente Relacion, trade volume between Qatar and the Philippines is projected to reach $1 billion for 2013, and he is optimistic that the agreement for reciprocal promotion and investment protection will translate to more investments and stronger bilateral trade relations between the two countries. Potential investments from Qatari businessmen are placed at a minimum of $300 million in agriculture, mining and tourism.

If one could recall, the Emir of Qatar His Highness Sheikh Haman bin Khalifa Al Thani visited the Philippines in April 2012, during which time several memoranda of agreement was signed between him and President Aquino covering long-term cooperation in several areas that include tourism – described as a mainstay of the economy for both countries.  The aviation industry is a major cog in strengthening tourism and in promoting investments, trade and employment generation for Filipinos – but for some reason, there are people who prefer to be narrow minded and inflexible. Which reminds me of a comment made by our STAR colleague Bobit Avila several years ago, lamenting the insistence of CAB to live within its “narrow-minded, archaic regulatory functions” and clinging to protectionist policies.

We’re told that the Departments of Tourism and Transportation are open to Qatar Airways’ reasonable request for more frequencies, but for some unknown reason the CAB executive director is reportedly resistant. Many people are wondering if such a parochial perspective is a common denominator among officials who are holdovers from the previous administration. President Aquino keeps reminding everyone to walk the straight path, but it appears there are those who seem to be bent in making a U-turn.

Time for Pacman to hang up his gloves

Many Filipinos agree with Jinkee Pacquiao’s appeal for her husband Manny to retire from boxing after regaining the WBO welterweight title from Timothy Bradley in a convincing 12-round bout last Sunday. Manny has nothing more to prove as far as boxing is concerned – especially because it is so obvious that Floyd Mayweather has no intention to fight Manny and is just covering up his fear by doing his best to annoy the Filipino champ. 

We all want to see Manny retire from boxing while he is healthy and at the top of his game. After interacting with him a couple of times, we all want to see the boxing icon retire and do well as a congressman. Everybody will agree, Manny Pacquiao has his heart in the right place. As they say, best to quit while you’re ahead, and that health is wealth.

***

Spy Bits will be taking an Easter break starting tomorrow and will be back next Tuesday.

***

Email: [email protected]

AMBASSADOR CRESCENTE RELACION

ARCILLA

BOBIT AVILA

CARMELO ARCILLA

DEPARTMENTS OF TOURISM AND TRANSPORTATION

FREQUENCIES

PRESIDENT AQUINO

QATAR

QATAR AIRWAYS

QATARI

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