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Philippine Airlines and the Mindanao Business Council schedule formal talks

Travel News Asia 6 February 2003

Philippine Airlines and the Mindanao Business Council (MBC) have scheduled formal talks to forge a joint strategy for opening up the country's second-largest island to more flights by foreign airlines.

Officials from both sides will sit down shortly to hammer out a "joint action agenda" that will push the so-called "pocket open skies" policy in Mindanao, primarily by convincing foreign carriers to exercise their unused right to operate to the island, said MBC chair Joji Ilagan-Bian.

"We look forward to collaborating with you on this very crucial strategy to the further development of Mindanao's economy," wrote Bian in a letter to PAL president Avelino L. Zapanta.

The MBC, the umbrella organization of business chambers throughout the island, will take the lead in the campaign to prod foreign airlines to fly to Mindanao - an idea first proposed by Zapanta last Jan. 30 in Davao City.

In a speech to MBC members, the PAL chief assured them that the flag carrier would do all it could to promote Mindanao as an international destination, including lobbying with foreign airlines to start direct services.

Currently, 44 carriers have the right to operate passenger and cargo flights to four Mindanao points - Davao, General Santos City, Cagayan de Oro and Zamboanga - but only Silk Air of Singapore takes advantage with a twice-weekly service to Davao.

This has not sat well with local officials. "We need to find out why the other airlines are not using their landing rights. This despite the fact that a lot of routes are open and many areas of Mindanao are not served at all by foreign carriers," said Davao councilor Mabel Laman.

Laman said she will introduce a motion in the city council expressing support for PAL's initiative to expand international air access to the island.

Bian also welcomed the flag carrier's efforts to encourage more competition from foreign airlines in the Mindanao market.

"The MBC has always been supportive of any policy that brings about competitiveness and reduces the cost of doing business in Mindanao," she said at the open forum following Zapanta's Jan. 30 presentation.

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