New Udon Thani Airline Spreading Its Wings

1st Nov 2012

With the aim of making Udon Thani Airport a major hub in the region, a newly formed airline is offering light aircraft for rent on charter flights out of Udon Thani to Pitsanulok/Ubon Ratchathani. The small plane, a Piper Navajo, is propeller-driven which is was acquired from an American company for 15 million THB.

The announcement was made by Mr. Pornthep Saksutjarit, the administrator of the new airline and currently the chairman of Udon Thani Industrial Council. Although he registered the airline as Ratchapreuk airline, Mr. Pornthep clarified that the airline will use the trademark "Master Tech Airline."

The new company has a start-up capital of 30 million THB and initially purchased the aircraft for its immediate use. According to Mr. Pornthep, the new airline will eventually expand to neighboring countries such as Cambodia and Laos as soon as it find its foothold. Possible routes in the future include Hong Kong and Shenzhen in China.

Already in the pipeline is the acquisition of another plane, this time an Amber Blue Lance which it expects to arrive soon before the year ends and put into service shortly after, possibly by mid-January. In its infancy stage, Master Tech Airline will focus on catering to the needs of small groups of local and foreign businessmen involved in AEC, although tourists can also be accommodated.

While awaiting the completion of its registration as well as the delivery of its first aircraft, it has completed setting up its new office and began selling tickets.

The businessman also presented his marketing strategy to various groups of businessmen including tourism industry stakeholders in both Udon Thani and Ubon Ratchathani. He submitted a proposal of an investment ratio of 40:40:20, which means Udon Thani investors will own the majority of stakes in the new venture. The rest shall come from Bangkok investors.

Later on, market tests will be conducted to find out if demand for return travel between Udon Thani & Ubon Ratchathani and Udon Thani & Pitsanulok. Passengers have to shell out 2,100 THB per person on a one-way ticket.

If these routes are found to be viable, Mr. Pornthep said that the airline will expand its network to cover the eastern and northern regions of the country as well. As the market grows, it will also acquire bigger aircraft that seats 16 persons to service routes like the Hua Hin-Tapao sector.

Still further ahead into the foreseeable future, he is hoping to expand beyond Thailand, initially perhaps to neighboring countries of Cambodia and Laos as well as Hong Kong and Shenzhen in China. He desires that local investors would help develop the airline industry of the province through capital investments. He would like to see Udon Thani transform itself to become the hub of air travel and merchandising in this part of Thailand.

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