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One year of the policies of Open Skies in Ecuador, we review the progress and initial results.
Are already 12 months since the Ecuadorian Government implemented with the Decree 256, just a 27 from December, with which the increase of airlines is sought, frequencies and routes to and from Ecuador.
We recently reviewed the airlines and frequencies that started the 2018 and those that await us in the 2019, which shows that the country has started a long-awaited commercial aviation improvement with great growth prospects with the arrival of more airlines, more tourists and income for the country.
Since these policies were implemented and they apply only to international flights, Ecuador managed to get the world's attention, but above all from the airlines, who now see the country with better eyes and those differences are beginning to be noticed.
Although for now Ecuador has not signed any Open Skies agreement with any country and none of the airlines or frequencies that have increased until today have been due to this declaration, procedures have been made more flexible or improved bilateral agreements with other countries as was the case Mexico.
Ecuador, under the IATA air connectivity index it is the third smallest connected country in Latin America, but this is fortunately changing thanks to the growing arrival of new airlines, new destinations and increased frequencies of those that already operate, driven by commercial aviation measures that the country has taken, tourism growth and greater confidence for investment.
We consulted with the Undersecretary of Air Transport of the Ministry of Transport and Public Works of Ecuador with his representative Pablo Galindo and among the achievements of these first months, where there is still much to do in order for Ecuador to continue growing in its international air market, stand out:
Based on this policy, The Undersecretariat of Air Transport has submitted proposals framed in the concept of promoting connectivity without limitations in the number of frequencies, extend the freedoms of the air and multiple designation with:
- Arab Emirates
- Germany
- Mexico (Subscribed)
- Argentina
- Russia
- Qatar
- Saudi Arabia
- Kuwait
- Ethiopia
- New Zealand
- European Union (In consultations)
Subscription of the Open Skies Agreement between Ecuador and the United States
The Ministry of Transport and Public Works has requested the pertinent pronouncements from the Internal Revenue Service, as well as, to the Ministry of Economy and Finance, in order to solve the EE query. UU., related to a possible exoneration of the tax on the outflow of currency (ISD) to US airlines operating in Ecuador. At this point it is important to indicate that, To date, the negotiation process of this international instrument cannot be started due to the fact that, At the moment, a position is not defined as to what is proposed by the United States..
Whereby, the Presidency of the Republic has been asked to issue a statement in this regard, in order to give a response to the counterparty and thus culminate with the process prior to the final negotiation and the signing of the Agreement..
Open Skies Goals
- Adopt the full liberalization of air transport as a National public policy.
- Negotiation of traffic rights in Bilateral Agreements.
- The Ministry of Transport and Public Works and the Ministry of Foreign Affairs and Human Mobility, in coordination with the Ministries of Tourism and Foreign Trade, will be in charge of the open skies negotiations in execution of this Decree.
- Promote the principle of free and healthy competition that guarantees permanent services, preventing unfair practices that limit this right or the abuse of dominant or monopolistic positions.
- International airports will exclusively be used those of continental Ecuador.
Profits
- Biggest Offer: Freedom of access to markets without limitation of capacity or frequencies for air operators.
- Greater offer benefits users with more competitive prices, there is no airline limit.
- Expand the country's connectivity with the world.
- Openness to investment by foreign capital.
- Promotes the formation of cooperative trade agreements (Shared codes, interlineas) between airlines.
- Reciprocity of opportunities for exploitation of traffic rights.
- Multiple designation of airlines.
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The benefit is from Ecuador and the users
The open skies policy without having signed a specific agreement is the consequence of these increases in airlines and frequencies and if above all the negative non-intervention that existed from the DAC that has had to refrain from influencing and let them operate according to traffic
What I understand is that the country wins in tourism, we win the Ecuadorians in offers and prices. I also understand that the increase in frequencies and lines in the last year is due to this, it's not by chance, sorry if i'm wrong.
The employer should not always benefit for it to be good policy.
Greetings Nicolas!
Hi Vincent, effectively, all Ecuador wins, definitely. Regarding the increase in frequencies and airlines in recent times, not related to the Open Heavens, since so far, no such agreement has been signed with any country and current bilateral frequency agreements are being used.
The open flights from Ecuador are just a salute to the flag there is no real intention to apply the true principle They always condition the attempts to operate with bureaucratic obstacles that the citizens do not know
They have looked for countries that in reality could have little interest in our country
Open skies is for everyone
The USA has intentions but obstacles begin with the ISD tax after the cities from which they can operate and so on others
Our aviation will never get out of this situation if it does not do it seriously
Our businessmen with bad previous experiences with the policy of the DAC and the CNAC are not interested in creating flag airlines due to the heavy investment without sufficient protection
What a shame we will continue dreaming
I see interesting the possibility that new air service operators come to Ecuador, but that would also cause the disappearance of the only "Bandera" airline that will hardly be able to continue flying on some of the international routes on which it flies compared to better structured and more efficient companies..
An airline if it is not able to compete on a par and face to face with others wherever they are from, shouldn't be called an airline. In a globalized world, all must be able to compete.
The article does not mention figures of the results that the open skies policy has brought. Basically the "advances and results" are ZERO. Of the countries mentioned in the article, 7 they are only good intentions and more to try to show that something has been done. Say there would be direct flights from Russia, Qatar, Kuwait, Saudi Arabia, New Zealand, Ethiopia or UAE is a government smoke sale. It will be difficult for them to materialize in the next 10 years. In any case, thanks for the permanent information on the aeronautical market. Your articles are very interesting.
Thanks Jose, It seems to me that it is still too early to obtain official figures on the results, I find that the 3 O 5 years of these policies it will be possible to measure the impact.
I respect criteria but Ecuadorian aviation has benefited very little from "open skies". Which countries have signed open skies agreements with Ecuador?. Ecuador has an aeronautical park that allows it to compete at the level of South America?. Who have really benefited?
As it says in this post, no open skies agreement has yet been signed with any country, but without any doubt, has helped put Ecuador on the map and get the attention of airlines, and also, procedures have been facilitated to reduce the time of AOCRs. I also don't think it's about competing with South America, otherwise, may the region and the world come to us, if we can't go to them.