Business

Penang eyes regional aviation hub status

State tourism exco Yeoh Soon Hin confident with island’s ability to attract main players in cargo, passenger sectors

Updated 4 years ago · Published on 25 Feb 2022 5:41PM

Penang eyes regional aviation hub status
Penang tourism exco Yeoh Soon Hin emphasises that Penang International Airport has always received strong recognition in the international arena. – Twitter Pic, February 25, 2022

by Ian McIntyre

GEORGE TOWN – Penang plans to position itself as an aviation hub for passenger and cargo shipments in the Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT) region.

The state is confident of securing the status despite concerns that the proposed nearby Kulim International Airport may grab some of its business away, seeing that there are indications that the state is prime to become an aviation hub in the region instead of just within Malaysia.

State tourism exco Yeoh Soon Hin said in a statement that Penang has strategies to woo the aviation players in both the cargo and passenger sectors based on the concurrent development and promotion of passenger and cargo flight services. 

The passenger-to-cargo flight service conversion has been a common practice of many airlines in view of the pandemic that has caused palpable decline towards passenger flight service.

“This shift in trend has transformed cargo flight service into a new economic generator.

“Meanwhile, despite the global pandemic outbreak, Penang International Airport’s (PIA) cargo route did not cease, but instead recorded commendable growth and is now Malaysia’s primary channel for the import and export of goods,” he said. 

The Paya Terubong Assembly cited the World Tourism Organisation’s prediction that the passenger flight service market will only soar to its pre-pandemic glory in 2023 or 2024.

Looking at the expected recovery to take two more years, Yeoh explained that Penang’s direction to manoeuvre out of this doldrum is to make cargo services the backbone of its aviation market, paired with the usual passenger flight services.

“Penang, as the gateway to northern Peninsular Malaysia, will gear up our efforts to inspire progress among other states and take the initiative to explore the long-haul market. This allows Penang to command superiority in the air passenger and cargo industry.

“Penang’s precedence and trump card lie in our strategic location within the IMT-GT, coupled with an international airport equipped with adequate infrastructure to accommodate take-off and landing of cargo and air passengers,” he added.

Earlier, Yeoh received courtesy calls from Turkish Airlines Malaysia country manager Muhammed Hamza Arslan who observed discussions about the development potential of Penang and Istanbul.

He also attended the signing of an agreement with Malaysia Aviation Group, which operates the national carrier – Malaysia Airlines and the Firefly budget carrier.

According to Yeoh, tourist arrivals in Penang prior to the pandemic were mainly from Asia such as Indonesia, China, Thailand, Singapore, and India.

However, he added that Penang needs to be resilient and scout for new markets such as Australia, the Middle East, and Turkey to strengthen long term economic development.

“Expanding Penang’s cargo market prior to the full recovery of passenger flights is critical in maintaining PIA’s competitiveness,” he added.

He also emphasised that PIA has always received strong recognition in the international arena and that many airlines have remained in operation through the passenger-to-cargo flight service conversion. – The Vibes, February 25, 2022

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