Passenger Business

Macau International Airport has processed over 220,828 tons of airfreight in 2004; with a growth rate of 56% when compared with 2003, and representing a 98% growth over the 111,268 tons handled in 2002.


In 2004, the Macau International Airport has handled a total of 3,714,259 passengers, representing a 28% growth comparing with the previous year, but when compared with 2002’s 4,170,000 passengers handled, there was a 12% drop recorded. In 2004 there has been a significant increase of passengers, mainly due to the 2003 SARS outbreak, which caused a slow down in the passenger numbers.


A total of 40,506 aircraft movements have been registered, representing a growth rate of 29% in comparison to 2003. There are 7 airlines flying to Macau International Airport and a total of 17 air links. In the near future, Macau International Airport will put in more effort to resolve difficulties and challenges, while continuing to strive and allow the airlines to become more aware of Macau’s open sky environment, in order to attract more airlines to use MIA.


MIA Passenger Business Development
Ms. Liu Suning, Senior Assistant to the Chairman and Director of Marketing Department stated that, in 2004, Macau International Airport has handled a total of 3,714,259 passengers, representing a 28% growth comparing with 2003 (in which 1,209,791 passengers coming from Mainland China represented 33% of the total). Macau International Airport had successfully introduced low-cost carrier in July 2004, it has not only greatly benefited Macau’s aviation market by bringing in this new approach to travel, but also giving more options to passengers in the region, making Macau International Airport more attractive.


Looking back at last year, the tourism industry has grown continuously, in 2004 tourist arrival climbed to a new record level, reaching 16 million visitors; when comparing with 2003, there was a surge of 40%. Among them, 9.5 million were from Mainland China indicating a 66% increase, of which 4 million with FIT visas, representing 30% of the total. In 2005, it is expected that the number of tourist arrivals will carry on the 2004 trend. Following this development, it is expected that passengers utilizing Macau International Airport will be over 4 million.


Along with the continuous upsurge of Mainland China tourists coming to Macau, it is believed the number of future Mainland China tourists will increase significantly as well. Reviewing 2004, there were 1,209,791 passengers originating from Mainland China came through the Macau International Airport, representing a 27% growth comparing to 2003, but when compared with 2002, there was a 5% drop.This indicates that the Macau International Airport has not been greatly benefited by the increase of Mainland China tourists. This is mainly due to Macau’s close proximity to neighbouring airports, which are continuously increasing their competitiveness and improving their facilities, leading Macau International Airport to face this very competitive environment. In addition, the cost of flying to Macau is higher than flying to the neighbour airports, therefore, majority of the tourist have chosen to fly via other neighbouring airports, then continue their trip to Macau using connecting land or sea routes.


Ms. Liu Suning indicated that, passenger traffic development of Macau International Airport and the Macau tourism industry are closely related to each other. It is necessary to improve and perfect the airport’s facilities, exploring more scheduled flights, new routes, more air links as well as attracting more airlines to use MIA in order to cope with Macau’s current vigorous development in the tourism industry.


In order to achieve the 2005 passenger traffic goal, Macau International Airport is carrying out a series of positive efforts such as attracting more low costs airlines and more international airlines who intend to further their businesses in Mainland China or its neighbouring region using Macau International Airport; establishing long-haul routing network; stepping up the cooperation with nearby airports; increasing promotion; stregthen the “Express Link” Service, launching of customer VIP cards, improving the Airport’s facilities and so on.


MIA Cargo Business Development
Macau International Airport has processed over 220,828 tons of airfreight in 2004; a growth of 56% compared with 2003, and representing a 98% increase over the 111,268 tons handled in 2002. In 2005, it is expecting to maintain the figures as in 2004, based on the foundation to strive for a steady growth rate. Mr. Cui Guang, Director of Logistic Cargo Development Department quoted that, the current cargo facilities were designed to handle 165,000 metric tons of freight per year, however 220,828 tons of airfreight were processed during 2004, exceeding its capacity, therefore it is necessary to speed up the process of the Cargo Terminal expansion project.


At present, Macau International Airport is still facing some challenges when it comes to airfreight, for example the further liberalization of the airfreight markets in Mainland China; the competition with neighbouring airports; capacity of the airfreight facilities were surpassed; the latent influence of the direct air links between China and Taiwan as well as the time limitation on Macau and Zhuhai customs.


Mr. Cui also expressed that in order to achieve the 2005 cargo objective, he will continue placing an effort on developing more cargo airlines to fly to Macau, assisting the base airline to further develop its cargo business, speeding up the process of the expansion of Cargo Terminal facilities and most importantly to maintain good communication with the concerned government departments aiming at making further improvements on the cargo and logistic environment of Macau.


CAPA Asia Pacific Airport of the Year, 2004
Melina Leong, Director of Communications Department expressed that, Macau International Airport Company Limited, as the owner and developer of Macau International Airport undertakes the responsibilities of the airport’s development, financing and marketing, is delighted to be awarded the CAPA Asia Pacific Airport of the Year, 2004.


Since the Centre for Asia Pacific Aviation is the leading specialist aviation organization in the Asia Pacific region it is encouraging to be recognized by industry specialists on the outstanding effort MIA have endured in the past year . It wasn’t only the aggressive marketing strategy that the Macau International Airport Co. Ltd. put through, but that teamwork and spirit was demonstrated when undertaking the Company’s strategy, with the support from the industry members as well as from the sub-concessionaires at the MIA.


International Airports Conference
In addition to the achievement of the passenger and cargo results, Ms. Melina Leong said that the Macau International Airport Company Limited also valued very much the establishment of close relationship with the nearby airports. This proven through participating and supporting international airport organizations’ activities, such as the PRD A5 Group and East Asia Airports Alliance (EAAA). Macau International Airport Company Limited has the honour to be the host of the forthcoming 4th East Asia Airport Alliance Regular Meeting, which is scheduled to take place on 25th February 2005 in Macau. In this 4th EAAA Regular Meeting, delegations from the 8 member airports including Beijing, Shanghai, Japan, Korea, Hong Kong and Macau will be present at the meeting. The meeting will focus on issues of Customer Satisfaction, Cost Efficiency Management and Signage Standardization – aiming to share the practices and experiences in member airports


Ms. Leong expressed also, , in December 2004, Macau International Airport Company Limited organized the first “China and Portuguese-speaking Countries Airports Conference – Macau 2004” which took place from 7 to 10 December 2004 in Macau with great success. The event had demonstrated Macau’s role as a platform for China and Portuguese-speaking countries and brought together in Macau over 100 participants from Airports and Civil Aviation Authorities from China and the Portuguese-speaking Countries namely Portugal, Brazil, Angola, Cape Verde, Guinea Bissau, Mozambique and East Timor. Local aviation representatives joined the conference as well.


Moreover, to strengthen external promotion and communication, Macau International Airport Company Limited has participated in several airport and aviation related conference and exhibition activities, for example, in September, we have organized a delegation to participate the 22nd International Air Cargo Forum and Exhibition held in Bilbao, Spain. A promotion booth was set up, creating the opportunity to introduce Macau International Airport, its development, passenger, cargo business and all related services to the international aviation community. In early June, the company also participated in the “2004 China Aviation Summit” which took place in Shanghai. In July, participated in the “First Pan-Pearl River Delta Regional Cooperation and Development Trade Fair” in Guangzhou. Again, a booth has been set up at the exhibition to promote the airport and its latest development.


In conclusion, Macau International Airport Co. Ltd. has been placing much effort in achieving a satisfactory result in the past year. Although in 2005 the Macau International Airport will still be facing some difficulties and challenges, the Macau International Airport Company Limited holds an optimistic position on airport’s passenger and cargo development, and will continue to strive and to resolve the difficulties and challenges. At the same time, it is important to put efforts in allowing the airlines to become more aware of Macau’s open sky environment, thus attracting more passenger and cargo airlines to use MIA.


(Background Information)
4^th East Asia airport alliance Regular Meeting
The East Asia Airports Alliance (EAAA) founded in 2002, is an organization, involving airport corporations from Korea, Japan and China, to improve air transport and passenger service in the East Asian region through discussion of common issues associated with airport operations and management. The 8 member airports include: China’s Capital Airports Holding Company, Shanghai Airport Authority, Hong Kong Airport Authority and Macau International Airport Company Limited. Japan’s Narita International Airport Corporation and Japan Airport Terminal Company Limited. Korea’s Incheon International Airport Corporation and Korea International Airport Corporation.


Macau International Airport Company Limited has the honour to be nominated as the host of the forthcoming 4th East Asia Airport Alliance Regular Meeting in Macau, which is scheduled for the 25th February 2005. On the occasion, delegations from the member airports and their respective leaders will attended this international airport meeting.


The PRD A5 Group
Hong Kong, Guangzhou, Zhuhai Shenzhen and Macau, these 5 airports form the PRD A5 Group which its main objective is to promote joint studies on ways to simplify passenger and cargo handling procedures, with a view to attracting more traffic to the PRD.


Macau International Airport integrated the PRD A5 Group promotion when participating in the “2002 International Air Cargo Forum and Exposition” in Hong Kong, with more than 3,000 most senior executives from the global air cargo industry and 250 exhibitors participating such as Boeing, Airbus, Federal Airlines and the Chief Executive Offices of several airlines, FedEx Express, the American Chamber of Commerce, Hong Kong General Chamber of Commerce, Shanghai Airport Authority, China Southern Airlines, Air France, Alitalia, etc.. The ACF provided an opportunity for air cargo decision-makers from around the world to address current industry challenges and opportunities.