International airline companies believe governments all over the world should not treat the business of flying people across cities as a public service.
Instead, the governments should remove regulatory impediments coming in the way of their economically efficient operations.
This was the broad message three chief executives of international airline companies conveyed at a World Economic Forum session on the aviation industry.
The participants were: Andre Dose, president and CEO of Swiss International Airlines, Stelior Haji-Ioannou, chairman of EasyGroup of the UK and Tom Weidemeyer, chief operator officer of United Parcel Service, which is a part of the US Airways.
Endorsing their view was another participant--Dan Lewis, president of Booz Allen Hamilton's worldwide commercial business.
Dose referred to the political pressure Swiss International Airlines had to face following its recent plan to scrap an uneconomic route, which could get only about six-to-seven passengers per flight. The problem, he said, was that airlines were often treated as public services.
Haji-Ioannou said there was no problem if the government wanted to run an uneconomic route as long as it subsidised the operation.
"You decide an uneconomic route and offer that to the lowest bidder - the airline that demands the least subsidy for running the service," he said.
Weidemeyer wanted the bilateral convention regulating the airline routes to be changed to promote the aviation sector, which was a key agent for trade facilitation.
Airlines flying from Hong Kong to the US west coast via Tokyo were now barred from carrying cargo from Hong Kong to Tokyo, just as there were curbs on night-flying which if allowed would help expeditious movement of goods across markets.
On the future of the aviation sector, Dose said the airlines industry would see consolidation after the spurt in capacity addition in the last one year.
Haji-Ioannou forecast that the industry would be segmented in two categories - short-haul routes and long-haul routes.
"These are two markets and should be focused separately," he said while adding that many airlines were likely to exit from the business in the coming years if they found the going too tough.
Weidemeyer said volumes were slated to increase in the coming years. But a barrier to growth was the high cost imposed on airlines by airports, air traffic controllers and insurance companies.
The airlines had some choice in respect of insurance companies, but there was no competition in respect of airports and air traffic controllers, as a result of which the airlines often got a raw deal, he said.