Airports Council ACI-LAC Advocates for Aviation Policy Liberalization in Latin America

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The Airports Council International Latin American and the Caribbean (ACI-LAC) is calling on governments across Latin America to embrace further liberalization of air transport policies, emphasizing that such changes are crucial for unlocking the region’s aviation market potential. Rafael Echevarne, ACI-LAC’s director general, underscored the urgency of this initiative in his remarks ahead of Routes Americas 2024 in Bogotá, highlighting the critical barriers that currently hinder market expansion—bureaucracy, high taxation, and restrictive rules on route development.

Echevarne advocates for streamlined airport access and simplified regulations for foreign carriers, arguing that these reforms would lead to reduced operational costs, enhanced connectivity, and substantial economic benefits across the region. The goal, he explained, is to open the market to all players that meet safety standards, thereby fostering a more competitive and accessible aviation landscape.

Latin America’s absence of a unified regulatory body, akin to the European Union, has resulted in a fragmented market often characterized by protectionist policies. ACI-LAC aims to mitigate these challenges by promoting intra-regional air travel, enhancing the connectivity between economies and regions, and facilitating the expansion of international services from secondary and tertiary cities.

Current data for the upcoming northern summer 2024 season, analyzed from OAG Schedules Analyser, shows that Latin America and the Caribbean are set to operate 462 intra-regional international routes—a figure that pales in comparison to Europe’s more than 6,400 intra-regional international routes. This stark disparity underscores the potential for growth and integration within Latin America’s aviation sector.

Echevarne pointed to Europe’s aviation framework as a model for aspiration, suggesting that while achieving full open skies might be ambitious, the region should work towards allowing airlines to operate across borders without necessarily including their home country in the itinerary. This approach, he believes, could significantly broaden access to international services, particularly from less prominent destinations.

Highlighting the underutilization of secondary airports for international traffic, Echevarne cited Peru and Chile as examples where an overwhelming majority of international flights are concentrated in the capitals, Lima and Santiago, respectively. This situation starkly contrasts with the more distributed aviation networks seen in other parts of the world, suggesting a significant area for policy reform and market development in Latin America.

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