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Singapore says close to full open-skies agreement

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Singapore says close to full open-skies agreement

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Old 26th Jan 2005, 10:16
  #21 (permalink)  
 
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Titan, I take your point, there is no such thing as a level playing field, it is a dream. However there is serious economic argument that if the opposing player wants to subsidise his business, then we are better off taking his money and using ours for some more productive purposes.
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Old 26th Jan 2005, 10:17
  #22 (permalink)  
 
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Cool

I cant see the problem;they are not entitled to anything and should they be allowed in;they will try to screw anyone and any business that is not owned and controlled by that little Chinese owned Island State.
they are a racist bunch of low life ratbags,so tell them to P%$## off.We dont need or want them.
End of story.
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Old 26th Jan 2005, 10:32
  #23 (permalink)  
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Lightbulb

As biased and bigoted as fugitive sounds, the reality is Singapore Inc. plays extremely hard ball, when it comes to ANYTHING to do with Singapore.
IMO, Dixon has vastly under-estimated the lengths to which The Lyin' City will go to obtain the upper hand - in spite of his perceived interpretations of written agreements.

Dixon could do worse than to enlist the assistance of ex-SQ Captain, Ryan Goh, as an adviser in dealing with Sing Inc....but then again why enlist experience, when "All you need in life is ignorance and confidence; then success is sure" [Mark Twain].
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Old 26th Jan 2005, 13:53
  #24 (permalink)  
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Thurs "Sydney Morning Herald"

Qantas bashes Yeo's ear
January 27, 2005



Geoff Dixon ... defending us from northern invaders.

Christine Lacy listens as the flying Kanga defends its territory from interlopers.

Preoccupied with the task of keeping Singapore Airlines off Qantas's money-spinning Los Angeles route, airline boss Geoff Dixon gave Singapore's Transport Minister, Yeo Cheow Tong, a taste of Aussie hospitality this week.

Before heading up to collect the gong as Asia Pacific Airline of the Year at the Centre for Asia Pacific Aviation Awards in Singapore, Dicko looked to be having something of an intense chat with the pollie.

And with Yeo set to discuss a possible "Open Skies" agreement with the Federal Government next month, Dicko didn't mind revealing the substance of their dialogue as he rose to accept his latest award.

"I just asked him not to go to Australia. Qantas needs to win this award next year and I know he was sitting next to CS [Singapore Air chief Chew Choon Seng] and I know what CS was talking about.

"We'll keep trying to keep the minister out of our turf."

Dicko, however, did have some kind words for AirAsia chief Tony Fernandes, whom he congratulated on winning the low-cost airline and airline executive of the year awards.

No surprise there, given Tony earlier in the day had been "250 per cent" behind Dicko when he lay the boot into Singapore Airlines over his frustrations flying into the island state.

"He's a great guy but I must tell him in Australia there's a saying that every dog has its day."

Perhaps Dicko was referring to Virgin Blue, which won last year's airline of the year award. It's unclear whether repeated profit warnings disqualify airlines from winning such awards. Virgin didn't even bother to attend.

=============================================
Thu "The Australian"

SIA claims credit for open skies
Steve Creedy
January 27, 2005

IN the most audacious claim yet in the PR battle to open up air services between the US and Australia, Singapore Airlines has taken credit for decisions by existing carriers such as Qantas to improve services on the Pacific.

The claim came during a speech to a Centre for Asia Pacific Aviation conference in Singapore at which Singapore Airlines chief executive Chew Choon Seng was extolling the virtues of liberalisation and free market competition.

"I would submit that, at the very least, our indication of interest has at least sparked the incumbent carriers to put on more capacity to try and do better at making the route more competitive, more accessible," Mr Chew said.

The Singaporeans are lobbying the Australian Government for permission to fly passengers between Australia and the US, arguing it will make it easier to get seats, give people a greater choice in pricing and raise Australia's tourist profile. Qantas is attempting to derail the Singaporean bid, arguing permission to fly the route would put it at an unfair advantage.

However, the Australian carrier has already moved to boost capacity on route and last week announced that it would fly its first four A380 superjumbos to the US.

Mr Chew described the Pacific route from Australia as "demonstrably underserved" and said the airline was aware corporate customers in Australia found it hard to get seats and paid higher fares at certain times of the year.

He said the tourism potential from the Americas to Australia was also not being realised because of a relative shortage of capacity.

"So I would submit that the opening up of the sector would see more accessibility, more options of price, service, alternatives for travellers to choose from," he said.

Lobbying for the new route is intensifying ahead of a meeting next month between Transport Minister John Anderson and his Singaporean counterpart, Yeo Cheow Tong. The Singaporean push is likely to complicate any moves by Virgin Blue or entrepreneur Richard Branson to start up their own US services.

But Mr Chew said Singapore was not party to any moves by Virgin Blue to spread its wings across the Pacific.

"All I can observe is that under the entitlements to the Virgin trademark for airline usage, Virgin Blue's application is limited to continental Australia," he said.

The Singapore boss predicted that only a handful of the low-fare start-ups proliferating in the region would survive.

He said legacy airlines such as Singapore, Thai International and Cathay Pacific had all watched and learned from what happened with low-cost carriers in North America and Europe.

He also believed some of the local start-ups were not truly low cost.

"And definitely we are not taking the challenges lying down," he said.

============================================

Last edited by Wirraway; 26th Jan 2005 at 14:16.
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Old 27th Jan 2005, 04:21
  #25 (permalink)  
 
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National carriers such as QF, BA, SQ and EK are less vulnerable to the ebb and flow of the market place than most airlines because of the (often perceived) strategic economic and political value they provide the host country. Qantas enjoyed Government protection from the forces of the free market (if ever there was such a beast) for most of its life and stands as a powerful force now directly as a result.

There is now and never was a "level playing field" in the airline industry, something for which the employees of Qantas should be very thankful.

404,

"They work to a different set of rules than Australia and there intentions are not honorable."

Are you implying that the Australian Government works to an honorable "set of rules"?

"One country openly encourages full and free trade"

Oh really. Tariffs, trade barriers, quotas, import tax. They don't exist in Australia do they?

Crusty

"Great. Less flying for Australian pilots and more for foreign nationals."

"what does it do to our economy as a whole when potentially thousands of jobs"

3 bars

"No problem, more Australian workers join the scrap heap"

Singapore Airlines entry into the US - AUS market will eventually happen. It may take a couple of years and a few failed diplomatic standoffs but it is a fait de compli.
This may result in Qantas requiring fewer employees but the industry is relatively small - the political impact of such a policy shift would not harm Howard nor would the economy suffer.
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Old 27th Jan 2005, 05:58
  #26 (permalink)  
 
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Are you implying that the Australian Government works to an honorable "set of rules"?
All governments have their own motives for doing what they do. The Australian Government is no different and does what it does for the good of Australia, not Singapore or anyone else for that matter. The big difference between Australia and Singapore though is with Australia you get what you see.
Oh really. Tariffs, trade barriers, quotas, import tax. They don't exist in Australia do they?
Yes they do but as promised to our main trading partners they have been dramatically reduced over the last ten years with more reductions to follow. Australia has honored its pledge to reduce trade protectionism unlike some counties in the region.

Fifth freedom protection is the thorniest issue in aviation. It has been the thorniest issue since WWII. If it weren’t so contentious we wouldn’t be having this discussion. The reality is that as a percentage of total airline traffic, less than 5% is operated under fifth freedom rights. If the rest of the world can’t agree on it why should Australia be so stupid to give fifth freedom rights to a country that has nothing to offer in return? As more and more airlines start flying longer-range aircraft, countries like Singapore will become irrelevant as a destination, after all it is little more than a shopping mall and a fuel stop now.
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Old 27th Jan 2005, 11:11
  #27 (permalink)  
 
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Why don't we offer an olive branch?

Why don't we let them fly Singapore citizens SYD-Lax?

Sounds fair to me.
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Old 28th Jan 2005, 00:03
  #28 (permalink)  
 
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404 - how did you feel when Air NZ were operating SYD - LAX. Was that more acceptable?
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Old 28th Jan 2005, 00:29
  #29 (permalink)  
 
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404
As more and more airlines start flying longer-range aircraft, countries like Singapore will become irrelevant as a destination, after all it is little more than a shopping mall and a fuel stop now.
You make a good point. this could be a way for Singapore to start planning for their own future. With little more to offer than shopping and fuel they could go like Nauru when their only resources have dried up.

I suppose it could be likened to the progress of the Hume Hyw. as it has grown and now bypasses most of the local communities along its route, some business have gone resulting in closures and populations to move on. Because all they ever really offered for all those years was fuel , shopping and a refreshing stop over.

What really is Singapores motive.
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Old 28th Jan 2005, 04:00
  #30 (permalink)  
 
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Would Qantas have the commercial clout over Singapore with out the need for the Australian Govt to act as it's negoiator. Qantas is the biggest user of Changi outside of SQ themselves. What would be the ramifications for Changi if QF upped and went to say Sepang which has been trying to lure the white rat for a number of years? I really wonder what the commercial advantage of hubbing at Changi is? The Singaporean population that totals to the about the same as Sydney would not be a crucial market for any airline especially with the number of carriers operating out of Changi so why the attraction? Sepang is new modern and provides all that changi does when it comes to transit.
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Old 28th Jan 2005, 11:21
  #31 (permalink)  
 
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To say that Singapore will become irrelevant because of longer range aircraft shows an ignorance of the market which SIA, and to a lesser extent Qantas, serves. Changi operates as a hub, and one visit to the airport will make it obvious that it is set up for a smooth flow of pax from one flight to another - much more so than most other airports anywhere around the region. An example is the same-level arivals and departures with no requirement for transfersbetween floors as is the case in somewhere like HK. They feed pax from destinations such as India through to the US, Australia, Europe to Asia. Their great advantage is their central location where they can be hub and spoke, not like a largely end to end carrier like Qantas. This is not a defense of SIA, simply an observation.
The fact that Singapore is Qantas' second biggest international hub outside of Sydney says that they also see the advantage of the place. They don't hub from Darwin to Australian ports, or Perth or Cairns but Singapore.
Also, for all SIA's faults, they know their product and rarely take their eye off the ball when it comes to the customer, something which Qantas can't claim (Jetstar being a prime example). If Qantas have not served their customer's well on the Pacific then they deserve the competition. They will not relish competing with this particular carrier though.
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Old 28th Jan 2005, 11:27
  #32 (permalink)  
 
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They don't hub from Darwin to Australian ports, or Perth or Cairns but Singapore.
Thats because they cannot reach Europe from these places... YET!

Wait till they can and Singapore will become a backwater as far as QF is concerned. Singapore knows this as well.
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Old 29th Jan 2005, 01:24
  #33 (permalink)  
 
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I seriously doubt it!
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