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Growing Tourism and Travel Industry in Pakistan
Pakistan's travel and tourism industry is booming with significant improvement in security situation. In 2015, it contributed 7% of Pakistan's GDP. It includes foreign and domestic travel and tourism spending or employment in the equivalent economy-wide concept in the published national income accounts or labour market statistics.
There are are multiple indicators showing this industry will contribute more this year. Growth in air travel and hotel occupancy are among the top indicators of travel and travel and tourism industry growth.
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Hotel Occupancy:
“The rate of hotel occupancy has surged to 80% across the country compared to 35% before the current calendar year started,” said Beach Luxury Hotel Director Business Development Rehan Wahid, according to report in the Express Tribune newspaper. “Hotels in Islamabad and Lahore are fully booked most of the days. However, this is yet to happen in Karachi,” he said.
Thanks to the ramp-up of China-Pakistan Economic Corridor (CPEC) related projects, Gwadar is leading the way for new hotel construction with permits issued for least 5 new 5-star hotels so far in the new port city. These include a 250-room hotel apartment project of the management of Pearl Continental Hotels and another one of the Bahria Group. Gwadar Airport growth of 73% was the fastest of all airports in Pakistan.
Air Travel:
Pakistan air travel market is among the fastest growing in the world. IATA (International Air Transport Association) forecasts Pakistan domestic air travel will grow at least 9.5% per year, more than 2X faster than the world average annual growth rate of 4.1% over the next 20 years. The Indian and Brazilian domestic markets will grow at 6.9% and 5.4% respectively.
Pakistan saw 23% growth in airline passengers in 2015, according to Anna Aero publication. Several new airports began operations or expanded and each saw double digit growth in passengers. However, Gwadar Airport growth of 73% was the fastest of all airports in Pakistan.
The top 12 airports all saw large double digit increases. Multan grew 64%, Quetta 62% and Faisalabad +61% all climbing one place as a result of all of them seeing a growth of over 60%. Turbat Airport in Balochistan is the newest airport to reach the top 12 in terms of traffic.
Security Situation:
The key reason for travel and tourism boom is significant improvement in the security situation since the launch of Pakistan Army anti-terror campaign called Zarb-e-Azb. Civilian deaths have been cut from 2,378 in 2011 to 412 this year until August 14, 2016. Total number of deaths, including civilians and security personnel, have been reduced from 11,704 in 2009 to 1232 so far in 2016, according to South Asia Terrorism Portal (SATP.org)
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Terrorism-Related Deaths in Pakistan Source: South Asia Terrorism P... |
Summary:
Hotel occupancy rates have risen from just 35% in 2015 to 80% this year. Air travel is growing rapidly with IATA forecasting Pakistan to be among the world's fastest growing air travel markets. All airports in the country, including several new ones, are seeing double digit increases in the number of passengers flying in and out of them. Improved security since the start of Operation Zarb e Azb and political stability are underpinning growing confidence in Pakistan.
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Views: 2892
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Comment by Riaz Haq on January 29, 2018 at 7:30am
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5 airlines to venture into Pakistan
Source: Xinhua| 2018-01-29 20:13:38|Editor: Lifang
http://www.xinhuanet.com/english/2018-01/29/c_136934060.htm
ISLAMABAD, Jan. 29 (Xinhua) -- Five national and international airlines have applied for regular public transport airline license of Pakistan Civil Aviation Authority (CAA) to venture into the country's aviation industry, local reports said Monday.
The airlines are expected to get permission to carry out the flight operation in the country's skies during the next one year, which is likely to bring down passenger fares, local newspaper Express Tribune said.
Airlines including Askari Air, Air Siyal, Go Green, Liberty Air and Afeef Zara Airways have applied for the license to be a part of the aviation industry which is expected to be around 9 percent per annum and likely to keep the same pace till 2020, according to a forecast of the International Air Transport Association, a trade body of world's airlines.
Pakistan's air traffic has soared up to 40 percent over the past five years to 20 million passengers, and is continuously witnessing an upward trend due to improvement of law and order situation in the country, which is bringing in more tourists in the country.
The China-Pakistan Economic Corridor (CPEC) has also resulted in the increase of air traffic in the country.
Most of the upcoming carriers will target low-profit, far-off destinations including Gwadar, Turbat, Panjgur, Khuzdar, Dalbandin, Zhob, in Balochistan province where CPEC projects are in full swing, and the tourist destinations of Rawalakot, Skardu, Chitral, Gilgit, Bannu and Parachinar.
The destinations could generate immediate profits because of their tourism potential and work on CPEC projects.
For these remote regions, the new carriers will bring airplanes suitable for small airports.
The entry of new airlines in the country's airspace is expected to further increase challenges of the country's national flag carrier Pakistan International Airlines, which was the sole operator in most of these routes in the past.
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The International Air Transport Association (IATA) expects 7.8 billion passengers to travel in 2036, a near doubling of the 4 billion air travelers expected to fly this year. The prediction is based on a 3.6% average Compound Annual Growth Rate (CAGR) noted in the release of the latest update to the association’s 20-Year Air Passenger Forecast.Pakistan's total aviation market grew 5.11% from 2015-16 to 2016-17, according to CAA data.
Pakistan's domestic market increased 3.2% from 2015-16 to 2016-17.
Pakistan's international market grew 6.1% from 2015-16 to 2016-17.
A total of 21.7 million passengers (7.2 million domestic, 14.6 million international) flew commercial airlines in Pakistan in 2016-17, up from 20.7 million (6.95 million domestic, 13.76 million international) in 2015-16, according to Civil Aviation Authority (CAA).
https://www.caapakistan.com.pk/upload/AT/stats/2016%20-%202017-APT.pdf
https://www.caapakistan.com.pk/upload/AT/stats/2015%20-%202016-APT.pdf
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Opinion Pakistan
Air travel in Pakistan is a journey to the 1950s
Flying in the country is a pleasure compared with India, but there are downsides
KIRAN STACEY
https://www.ft.com/content/6fc0dc08-3283-11e8-b5bf-23cb17fd1498
Flying in Pakistan is unlike anywhere else I have been — and the polar opposite to flying in India, where I live. Departing from any of the three major Pakistani cities is the closest a modern traveller is likely to get to experiencing what flying was like in the 1950s.
Checking in is effortless and there are no queues at security. At Islamabad airport, you do not even have to go to your gate: you can sit in the café until your flight is called and then leave via a downstairs door that takes you straight on to the tarmac and a waiting minibus.
Just hours earlier, I had suffered the regular indignity of catching a flight from Delhi airport. It took 20 minutes of disorganised queueing to check in, and another 30 to get through security. Getting on the aeroplane, as usual, reminded me of warfare at the Sino-Indian border, where troops are unarmed and so fight by jostling each other using only their torsos.
But while flying in Pakistan is a joy for those used to Indian airports, it is not necessarily a good sign for the country’s development in comparison with its larger neighbour.
The reason the experience is so civilised becomes clear to me when on board the small propeller aeroplane, where my colleague realises he knows the person next to him — a prominent environmental activist and the wife of a senior diplomat. Unlike in India, catching a flight in Pakistan remains the preserve of a small and wealthy elite.
In 2016-17, 7.2m tickets were sold for domestic flights in Pakistan — equivalent to about 3 per cent of the population. In India, that figure was 108m, equivalent to 8 per cent of the population. According to Air Asia India, the low-cost carrier which is part of the group owned by the Malaysian entrepreneur Tony Fernandes, 26 per cent of their customers are first-time flyers.
Indians have better access to air travel in part because they are richer, but also because, for them, air travel is much cheaper. A highly competitive domestic aviation market means that a passenger looking to fly from Delhi to Mumbai on July 1 this year, for example, can pay as little as $35. In Pakistan, someone wanting to do the roughly equivalent trip from Islamabad to Karachi will probably have to fly with the government-controlled Pakistan International Airlines and pay at least $100 to do so.
While both countries allowed private airlines to set up from the early 1990s, companies have had a more difficult time in Pakistan.
“Since 2003, Indian low-cost carriers have genuinely democratised airline travel,” says Kapil Kaul, chief executive of the Centre for Asia-Pacific Aviation, an industry consultancy.
“With close to 70 per cent market share, these companies have structurally changed aviation in India. Pakistan, on the other hand, is yet to realise the massive social and economic potential of bringing air travel to the masses.”
The rapid expansion in the number of Indians able to fly has caused difficulties for both the companies and the travellers themselves. Aviation executives say first-time flyers tend to treat air travel as they do bus travel, where timings are uncertain and passengers who do not board quickly can be left behind. Air Asia India is even making a video to try to educate new customers on the basics of air travel, such as how to clear security and when to turn up at the terminal.
As I stand to gather my belongings from the overhead bin and wait in an orderly queue to disembark at Islamabad, I am grateful not to have a fellow passenger pushing past me to get to the door more quickly.
But I also know that while this is good news for me and the 60 or so other people who have been able to afford this flight, it means that millions of others have been denied the opportunity.
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#BritishAirways compete with #Virgin Atlantic for flights/passengers to/from #Pakistan. BA plans to add a 2nd route to Pakistan, 4 times a week from #London Heathrow to #Lahore as Virgin Atlantic starts service #Manchester-#Lahore. #tourism #economy #PTI https://ukaviation.news/ba-to-take-on-virgin-in-pakistan/
British Airways (BA/BAW) has announced that it plans to added a second route to Pakistan, from London Heathrow to Lahore.
The move comes just days after Virgin Atlantic announced that it was launching services to Islamabad and Lahore from London and Manchester.
The British Airways flight will operate 4 times-per-week using a Boeing 787 Dreamliner.
BA director of network and alliances, Neil Chernoff, said: ““Our new flights will give us the opportunity to open up more of Pakistan to travelers from the UK, so they can experience its delights and rich culture,”
Adding: “We also think this will be hugely popular with the British Pakistani community, giving them more convenient options to visit family and friends.”
The first flight will operate on 12th October, a month before Virgin’s operations begin.
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#Pakistan's Lakson Group, Air Arabia to start a new low-cost #airline. Fly Jinnah will operate as a joint venture using low-cost model of Air Arabia. It'll promote travel & #tourism sector and contribute to the country’s #economic growth and #job creation. https://www.reuters.com/world/middle-east/pakistans-lakson-group-ai...
Pakistan's Lakson Group and Middle Eastern budget carrier Air Arabia (AIRA.DU) said on Friday they would launch a low-cost airline serving domestic and international routes from Pakistan.
The new carrier, Fly Jinnah, will operate as a joint venture between the pair, they said in a statement, adopting the low-cost model operated by Air Arabia.
The statement said the new airline would help Pakistan’s travel and tourism sector and contribute to the country’s economic growth and job creation.
Air Arabia operates from Sharjah and Ras Al Khaimah in the United Arab Emirates, and has similar joint ventures in Abu Dhabi, Egypt, Morocco and Armenia. Its shares are listed on the Dubai Financial Market.
The airline has been pushing ahead to expand in the wake of the coronavirus outbreak last year as low-cost carriers bet on a post-pandemic surge in travel.
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The Pakistan International Airlines (PIA) has performed a successful test flight at a Chinese-built runway in the mineral-rich region of Balochistan’s Saindak town, China Urdu reported.
https://tribune.com.pk/story/2320056/watch-pia-performs-successful-...
The development comes a day after Juzzak Airport in the Chagai district of Balochistan was made operational for flights to and from Karachi mainly for the Chinese engineers working on projects in the region.
Last month, the Parliamentary Committee on China-Pakistan Economic Corridor (CPEC) was informed that the progress on New Gwadar International Airport (NGIA) was on track and it would be fully operational by September 2023.
In a meeting of the committee presided over by Sher Ali Arbab, the Aviation Division secretary told the panel that the project, which was originally expected to be completed by next year, has been postponed till October 2023.
The China Airport Construction Group informed the Pakistan Civil Aviation Authority (PCAA) about the new time limit for the project, deferring the project funded by the Chinese company.
According to the document obtained by The Express Tribune, the passenger terminal building of the project will be completed by June 2023; work related to air traffic control will be completed by March 2023 while the overall construction of the airport will finish by October 2023.
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Travel & Tourism
Development Index 2021
Rebuilding for a Sustainable
and Resilient Future
INSIGHT REPORT
MAY 2022
https://www3.weforum.org/docs/WEF_Travel_Tourism_Development_2021.pdf
As mentioned, Japan is the top performer in both
the APAC region and globally, with Australia (7th)
and Singapore (9th) ranking in the global top 10.
However, it is lower-middle-income economies such
as Viet Nam (+4.7%, 60th to 52nd), Indonesia
(+3.4%, 44th to 32nd) and Pakistan (+2.9%, 89th
to 83rd) that have improved their TTDI scores the
most since 2019. China, which ranks 12th on the
TTDI, has the region’s largest T&T economy, while
the Philippines, which depended the most on T&T
for its GDP in 2020, ranks 75th. Although Japan
and Singapore lead the ranking in the Eastern APAC
and South-East Asia subregions, respectively, India
(54th) is the top scorer in South Asia.
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https://tribune.com.pk/story/2358988/pakistan-up-six-notches-in-wor...
“Six points increase in the ranking of Pakistan on global travel and tourism index is quite a significant progress and now Pakistan is among the countries in the Asia Pacific Region that have improved its ranking the most since 2019,” PTDC Managing Director Aftabur Rehman Rana said.
He added that during the last two years, the federal and provincial governments had made significant progress in improving the performance of tourism sector in Pakistan by taking various steps to upgrade tourism services infrastructure, business environment, safety and security, health and hygiene, and socio-economic resilience.
“Although we have made good progress, we still need to do a lot more to further enhance the performance of tourism sector in Pakistan in coming years, which has huge potential to play a key role in the overall socio-economic development of Pakistan,” he added.
Overall, Japan has occupied the top spot on the latest edition of the index. Japan is followed by the USA, Spain, France, Germany, Switzerland, Austria, Singapore and Italy which have been ranked in top 10 on the Travel and Tourism Development index, respectively.
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Gwadar airport to be operational by December
$246 million greenfield Gwadar International Airport (NGIA) being built at an area of 4,300 acres
https://tribune.com.pk/story/2360858/gwadar-airport-to-be-operation...
QUETTA:
The test flight from new Gwadar International Airport would be started from December this year as the construction work on site has been expedited, an official of Gwadar Development Authority said on Thursday.
The new $246 million greenfield Gwadar International Airport (NGIA) being built at an area of 4,300 acres would be made operational before the deadline which was September 2023, the official said.
The government has also expanded the 50-bed Pak-China Friendship Hospital Gwadar to 150 beds state-of-the-art medical centre in order to ensure best health care facilities for the people of Gwadar.
The authority would ensure state-of-the-art free medical facility to the inhabitants of the port city of Gwadar from January next year, he said.
The officials were making all-out efforts to expedite the infrastructure and development projects for its timely completion.
The GDA said the authority has expedited the implementation of old town rehabilitation plan of Gawadar to provide best infrastructure and provide every facility to the masses of the port city. With the support of federal government, the project worth Rs3.3 billion for old town rehabilitation of Gwadar was in full swing to develop the city on modern lines to end the sense of deprivation among the people of the area, he addd.
The federal government would be funding 67 per cent of the total cost while Balochistan government would bear the remaining cost for the old town rehabilitation under the Gwadar development plan.
Under the plan, water drainage, supply and distribution of utility projects would be completed soon, besides ensuring the supply of clean drinking water to the dwellers.
The official said the water supply issue in Gwadar would be resolved in the short period of three months as desalination plant is also in progress to cater to the need of whole city.
The authorities have been directed to strictly adhere to Gwadar Master Plan while carrying out development and other public welfare projects in the city.
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New Gwadar International Airport is a Class 4F airport. It is only the second greenfield airport in Pakistan.
https://youtu.be/6VBF1uIkDx8
The airport's 4C, 4D, 4E, 4F... are the flight zone levels, which are represented by numbers + letters. The number indicates the length of the runway, and "4" indicates 1800 meters or more. The letters indicate the wingspan and wheelbase of the aircraft that can take off and land, from A to F, the larger it becomes.
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Karachi Airport Certified for Aircraft Operation up to Aerodrome Reference Code 4E
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Islamabad Airport has been certified for aircraft operation up to aerodrome reference code 4F that allows Airbus A380 flight operations.
The purpose of this AIRAC AIP Supplement is to notify the aviation industry of the aeronautical
ground facilities, navigational equipment and services that are available at Islamabad Int’l airport for
aerodrome reference code 4F Cargo / Commercial Operations. The airport is located at a distance of
14.08NM from Islamabad city.
https://caapakistan.com.pk/Upload/AIS/AIRAC%20AIP%20Supplement%20S-06(18).pdf
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Xinhua Video: New Gwadar International Airport
Key Highlights
Being built by China Airport Construction CompanyRising Phoenix shape like a wing4F class---2nd greenfield airport after New Islamabad Airport (longer than 1,800 meters)3,650 meters long runwayProject started October 2019Original schedule was for completion in 36 monthsDelayed due to pandemic, now expected to be completed by December, 2022
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