Kuwait Critical to MidEast Business Aviation Boom
Kuwait, with its recent multimillion dollar investment in the business aviation infrastructure, is key to the future development of the Middle East’s rapidly growing charter market said a leading industry figure on a visit to the country today.
Ali Al Naqbi, founding chairman of the Middle East Business Aviation Association (MEBAA), the organisation behind the Middle East Business Aviation (MEBA) show, from November 16-18 – the dedicated B2B show for the business aviation sector – identified Kuwait as a major driver in the market.
“Massive Middle East growth is predicted over the next five years. We think the regional business aviation market will be worth $1bn by 2012 and we are seeing yearly growth rates of 15-20 percent.
Kuwait has already made significant investment in infrastructure to accommodate growth and we are seeing more and more companies increasing their presence here to capitalise on this potential,” he said.
Al Naqbi was referring to the $42million, Royal Terminal at Kuwait International Airport, currently the largest Fixed Based Operation (FBO) in the region. The lavish facility has created a buzz among private charter operators including US-based Mercury Air Group Inc, which has started flight operations there.
Al Naqbi reiterated that Kuwait had a lot to contribute to regional expansion and encouraged local companies to join MEBAA – the regional association established to represent the sector in the local and international aviation arenas – and attend MEBA.
“By the time the show kicks off we will have more than 250 exhibitors, making this year’s edition triple the size of 2007,” he said, adding that the event is organised and run by renowned international exhibitions company, F&E Aerospace. “We think these figures are a good indication of the event’s importance to the regional industry and they serve as a clear barometer as to where the sector is heading.
“And despite uncertain global economic conditions, the Middle East’s resilient business aviation sector continues to fly ahead. New operators are setting up facilities, established players are consolidating their market positions and buyers are actively seeking out private transportation to meet growing demands for fast turn around and convenient international travel solutions.”
Business aviation is set to account for 40 per cent of the Middle East’s overall aerospace market within four years, according to Al Naqbi, and he hopes the significant gains on offer will prompt more Kuwaiti companies to join MEBAA and assist the sector’s evolution.
“We have been pleased with how the membership of MEBAA has progressed this year. We now have around 150 members from a start-up number of just 16 and we are aiming for 300 in four years’ time. Kuwait is a core target area for us and we are hoping to encourage even more new members through this MEBA event,” he said.
Al Naqbi also added that many recent MEBAA members are companies from North America and Europe, looking towards the Middle East to escape the uncertain financial climate in the West. .
And Ammar Balkar, CEO, MEBAA, also in Kuwait for the press conference, echoed these sentiments by stating that astute companies in the country were increasingly using private charters as a cost-effective and convenient alternative to pricey commercial flights.
“Fuel prices are increasing and as a result commercial air ticket costs are spiraling. What we are seeing is that companies are doing the math and realising that an entry-level jet can be chartered at a convenient time, fly more executives in the same luxury as first class, but on a more cost-effective budget,” he said.
F&E Aerospace also announced that MEBA’s 2008 outing will see growth across the board, with exhibitor numbers, countries represented, visitor attendance and aircraft on display all significantly up.
“The evolution of this show has been in parallel with that of the Middle East business aviation market. The need for a regional high-level, interactive sales and discussion platform is a key driver for the development of the industry and will greatly benefit the show’s standing on the world-wide stage. It really is the must-attend for anyone wanting to get ahead in this dynamic sector,” said Alison Weller, Director, F&E Aerospace.
And with more than 5,000 expected to attend the three day event – an increase of more than 50 percent over 2007- buyers and industry leaders will have a unique opportunity to meet and conduct business in an interactive one-stop setting.
In addition, visitors and exhibitors will be able to see up to 60 aircraft on the dedicated static park, covering a wide-range of models from the world’s most respected manufacturers, such as Dassault, Gulfstream, Embraer, Boeing, Cessna, Bombardier, Hawker Beechcraft and Airbus to name a few.
MEBA is held under the patronage of His Highness Sheikh Ahmed Bin Saeed Al Maktoum, President of the Department of Civil Aviation, Government of Dubai and Chairman of Emirates Group.
MEBA officials travelled in style during their visit to Kuwait in a luxury Gulfstream G200, which was laid on by Gulfstream – a major sponsor of the event. With more than 200,000 flight hours accumulated, the G200 fleet has an established track record in terms of performance and reliability. More than 150 have been delivered with a dispatch reliability which has now reached 99.75 percent. The Gulfstream G200 was the first of the new generation of super mid-size business-jet aircraft to enter service. It can seat up to ten passengers, fly 3,400 nautical miles nonstop and is capable of reaching speeds of up to .85 Mach.
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