Wednesday, 14 December 2011


         The prospect of national airline business was today still high, where the number of passenger continued to grow with the increasing middle class people thanks to national economic growth. The growth was felt by two airline which managed to transport more passengers than other airlines. PT Garuda Indonesia Tbk the national airline posted growth of 15%. In quarter ll of 2011 Garuda posted growth up to 39% for the domestic market or an increase of 5% against same period of 2010, although still surpassed by Lion Air whose market share reached 50%.

         In view of the number of number of passengers carried by national airlines, in reality domestic routes were dominated by Lion Air, the national airline. In semester l 2011 the number of domestic passengers carried by PT Lion Air was 11,815,540 passengers while Garuda Tbk carried 6,380,700 passengers. As with international routes most of the passengers were carried by Garuda, i.e. 1,477,372 passengers while Lion air carried only 423,526 passengers.

           In case of international airline business, the market segment served by Garuda showed an increase of 32% or above other airline which were only 10%. In spite of slowdown of the global economic growth, i.e only 3.7% in the present condition, national airline were continuing to expand their fleet through 2011. Additional aircrafts had no correlation with slowdown of growth of international airline business because fleet expansion was accompanied by increasing number of passengers in the domestic route. In spite of the global crisis, local airline carried on with their plan to add more airplanes, regardless of crisis.

          Some aircrafts which were to be used to expand fleet of airlines like Lion Air, Sriwijaya Air and Garuda were wide-body and medium type aircrafts like Boeing 737-800NG, Airbus 330-200 and Airbus A 320. PT Garuda Indonesia Tbk still planned to operate seven 737-800NG 737-800NG by 2011 3 units of which were medium size aircrafts which were to serve domestic and regional routes like Singapore, Bangkok, Hong Kong and China. Furthermore 1 unit of Airbus A320 which soon would be used by Citilink, a subsidiary airline of Garuda.

           PT Garuda Indonesia Tbk now sets target to operate 154 units of aircrafts in 2015 with average life span of 5 years. Today the number aircrafts in operation numbered 89 units which were 7 to 8 years old and the condition were better than 2008 which were 12 years old on the average. The aircrafts purchased in 2011 were new aircrafts and there would be no more used aircrafts.

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