Air Canada manipulating its government

Airlines using government support to help the economy is one thing. Using it to enhance profitability by depriving passengers of essential transportation services is another.

Air Canada proposed a comprehensive commercial joint venture with Emirates in 2006 as a pre-condition to give it access to the Canadian market. The latest news, published by Gulf News on Saturday, on Air Canada's tactics reflected its design to unethically benefit from the market and stands against the basic fundamentals of good business practice and principles that guide free market economy. Essentially, Air Canada and the Canadian government were willing to give UAE carriers all the landing slots they wanted as long as profit was shared. So, the issue is not about "the interests of the Canadians" as the Harper government stated, but the selfish interests of one company.

Unfortunately, Air Canada had been vocal against government support and subsidies to airlines — an allegation its officials love to level against Gulf carriers — when they themselves seek to benefit from.

Air traffic between the GCC and Canada is growing as a large number of expatriates have families in Canada while they are working in this region. Business activities are also growing between the economies. However, Air Canada's stand and its influence on Canadian government is hampering both.

It is also surprising to see how the Canadian government has let itself be used by its national carrier against another country. The question is: what about people, passengers and economic growth? Aren't the government and airlines supposed to be answerable to the people? Records show, open air policy does not hamper economic growth. In fact, it helps create jobs and businesses. Dubai is a living example of that.

Instead of blocking Gulf airlines from entering its market by holding the government at ransom, Air Canada will do better to expand services to the Gulf and Dubai and help serve the growing number of passengers.