Qatar Airways CEO defends Gulf carriers

Author: 
REGAN E. DOHERTY | REUTERS
Publication Date: 
Thu, 2011-02-10 21:57

Al-Baker defended Gulf carriers after comments made last
month by the secretary general of the Association of European Airlines, Ulrich
Schulte-Strathaus, at a meeting of the International Aviation Club in
Washington DC.
Schulte-Strathaus suggested Gulf airlines were run as
part of a national strategy and a "vertically integrated economic
chain" and in contrast to the way in which other carriers around the globe
were operated.
"Can he tell me of any country of the world which
does not consider its air transport industry, be that an individual airline or
a multitude of them, as part of national interests? Has not the position of the
US consistently been to preserve the national identity and ownership of the US
airlines?" Al-Baker said.
"The European airlines were pioneers in a large
number of areas. We in the Gulf airlines community have learnt a lot from them.
They should accept competition and that the customer is in the driver's
seat."
The rapid expansion of Qatar Airways, Dubai's Emirates
and Etihad of Abu Dhabi has unnerved older airlines and fueled mutual
accusations of protectionism. Many carriers fear Gulf-based superjumbos will
drain their own hubs. 
Air Canada's chief executive last year accused Emirates
of wanting to "flood" Canadian skies with airline seats so it can
scoop up travelers and divert them through Dubai.
"(Schulte-Strathaus's) comments weren't made off the
cuff. They were made out of a deep-seated concern that the seismic shifts in
the industry are being driven by forces other than market ones," David
Henderson, information manager for the Association of European Airlines, told
Reuters.
"European airlines' competitiveness has been
severely damaged in the wake of the recession. The more we look, the more we
are concerned that (Gulf carriers) are developing a business model apart from
the one that we are used to, and we are asking questions about it."
Qatar, the world's largest exporter of liquefied natural
gas, is building a new airport with the capacity to accommodate 50 million
passengers per year.
Qatar Airways said in December it is planning to launch
an initial public offering (IPO) in early 2012 after three consecutive years of
profit.

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