Koreans make aviation bid in Laos

A Korean company is keen to establish a new airline in Laos, according to reports in a local Vientiane newspaper, 3 August, that quotes Lao Civil Aviation Department director general, Yakua Lopangkao.

He told local media that the Korean owned Booyong Company wants to establish an aviation company in Laos to offer commercial airline services.

According to the report the government has urged relevant sectors, including the ministries of Public Works and Transport and Planning and Investment, to facilitate the Korean company’s bid.

It is understood that Booyong Lao Company manager, Khonesavanh Sengthavy, confirmed the company’s interest to establish Lao-Booyoung Airlines and is currently preparing an economic feasibility study.

He said the company would “like to commence operations this year, initially offering a Vientiane-Seoul-Hong Kong service using a 150-seat Airbus 320.”

According to the report, Booyoung Company has financed educational development in remote areas of Laos as well funding facilities for the 25th SEA Games, which Laos will host in December 2009.

In December last year, the Lao government has also granted a license to the Booyoung Company to carry out a feasibility study for the proposed new Vientiane International Airport and also to initiate direct flights between Vientiane and Hong Kong. The agreement was signed in Vientiane by Minister of Public Works and Transport

According to the report, the new airport will be built between km marker 21 and 27 on Road 13, south of the city, in Xaythany district. A 5,000-ha site was set aside for the new airport three years ago.

Lao National Tourism Administration reported tourist arrivals, from Korea, dropped 4% from 5,234 to 5,049 during the first quarter of this year.

In 2008, Korean visitor arrivals jumped, from 9,770 in 2007, to 31,569 arrivals in 2008. According to LNTA, Korean tourist visitors are now granted visa exemption for 30 days.