The Gulf based carriers are sure reshaping the global aviation industry, something that has been appreciated by flyers the world over. Indeed, these airlines keep placing new aircraft orders worth billions of dollars, a move complemented by further expansion of new airport terminals within the six-nation grouping.
Dubai based Emirates is the biggest operator of the A380 with regular announcements of new cities to be served by the world’s largest passenger plane. Notably, Dubai International Airport has emerged as the busiest in the world thanks in part to transit passengers. The Hamad International Airport in Doha is certainly the trendiest in the region.
Understandably, many travellers from all over the world like to fly GCC carriers — namely Emirates, Qatar Airways and Etihad — thanks to their ever expanding networks. In the words of an American diplomat, he always finds himself landing in Dubai, Doha and Abu Dhabi while travelling to places in India and China.
The three airliners provide numerous daily flights to places in Australia, Japan, China and the US. There are direct flights from Dubai, Doha and Abu Dhabi to major cities across the US. In contrast, US carriers Delta, United and American Airlines are pressing the Obama Administration to look into allegations of unfair competition resulting from Emirates, Qatar Airways and Etihad receiving ‘governmental subsidies’.
In fact, when Real Madrid and Barcelona meet for the El Clasico, the two teams carry logos of Fly Emirates and Qatar Airways respectively. On June 6, when the Barca side lifted the 2015 Champions League trophy, fans throughout the world could see the Qatar Airways branding.
It remains to be seen if the Catalan giant would press for a renewal of contract with Qatar Airways when the deal expires in 2016. The three-year agreement provided the Barcelona side a handsome €96 million, specifically €30.5 million in 2014, €32 million in 2015 and €33.5 million in 2016. This marked the first time Barcelona had agreed to a corporate sponsorship of its jersey.
As sponsors, the stadiums of Manchester City and Arsenal are named after Etihad and Emirates. To be sure, the business of investing in sports continues without let. Recently, Emirates signed a 30 million pound contract to sponsor the FA Cup (the world’s oldest tournament), which will be known as Emirates FA Cup from August for a three-year term.
The aviation business inside the GCC is so good to the extent that new operators are coming into being. The Saudi Gulf Airlines, not to be confused with Gulf Air of Bahrain, is due to start flying in November with services to Riyadh and Jeddah and a single international destination. Based in Dammam, Saudi Gulf is owned by Abdel Hadi Al Qahtani & Sons. Last year, the new airlines singed a $2 billion deal with Canada’s Bombardier to purchase 16 planes with options for 10 more.
This is likely to be followed by Al Maha, owned by Qatar Airways. It won a contract to operate inside the kingdom’s vast domestic market, currently served by Saudi Arabian Airlines and budget operator National Air Services.
In another notable development, Sharjah-based Air Arabia started a new hub in Amman with a local partner. The step follows other regional hubs in Egypt and Morocco, also as joint ventures.
GCC carriers are experiencing a golden age and with no end in sight.
The writer is a Member of Parliament in Bahrain.