| Concerning the background
of Air Fiji. In 1997 the airline expanded and doubled
its fleet, what were the main reasons and consequences
in doing so?
The company was established in 1967 and now we are the
largest air serving domestic operator in Fiji. Air Fiji
was relatively small for a period of 20 years, mainly
servicing the smaller outer islands. Some of our major
services today are to provide the vital link between Fiji's
two main islands, Viti Levu and Vanua Levu, and of course
our services between Nadi and Suva. We have also been
providing an essential service to smaller but equally
important outer islands for many years. Our role besides
transporting passengers and essential supplies is also
to see if we can assist develop outer island niche tourism
development projects by providing the necessary air links.
Most of the islands are very exotic and untouched. There
is not really much planned at this stage but the link
is there and opportunities exist. Back to your question,
we expanded and doubled the fleet in 1998 for various
reasons. Air Fiji was considered the airline that largely
looked after the locals whilst our competitor was the
airline that served the tourists. I was brought on board
in 1997 to try and increase the airlines tourist market
share. There was a need to increase our fleet size to
do this effectively. Five years later, we have largely
achieved what we set out to do by concentrating our focus
on the two islands of Vanua Levu, and the garden isle
of Taveuni. The other reason for our fleet expansion was
due to Air Fiji commencing International Services to the
Island Nations of Tonga and Tuvalu in 1999. These services
have proved to be successful and are aptly named Pacific
Link. "Air Fiji Pacific Link" provides both
domestic and South Pacific Regional Charters to as far
away as Nauru and Kiribati.
What is the shareholding structure of Air Fiji at the
moment?
Air Fiji is a private company with 50 shareholders. The
major shareholders are the Government of Tuvalu and CATIC,
a Chinese Aeronautical Manufacturer and Distribution corporation.
The Government of Fiji is also a significant shareholder.
There are future plans to float Air Fiji on our local
stock market.
There is an increasing partnership approach between
companies within the airline industry and between airlines
and other industry-related companies. How do you measure
the importance of good partnerships for the future growth
of Air Fiji and how do you plan to increase your partnership
network?
Air Fiji assists the Fiji Visitors Bureau and the Fiji
Hotel Association by providing numerous discounts or free
services to wholesalers, travel agents, photographers
and people who are able to boost the tourism image of
Fiji. We have had a good working relationship with Qantas,
Air Pacific and Air New Zealand and are also the general
sales agents for Air India, Air Vanuatu and Polynesian
Airlines in Fiji. Due to the nature of our business we
have a close working relationship with not only tourism
oriented businesses and airlines but with a diverse range
of corporations and companies. Due to the relatively small
size of our economy, and airline, the economical opportunities
that may exist for large national and multinational carriers
do not have the same bearing for Air Fiji, although there
may be future opportunity in Regional cooperation.
How does the merger between Qantas and Air New Zealand
affects Air Fiji?
Firstly it does not really affect Air Fiji. Qantas is
a proven and well established airline, whilst Air New
Zealand was considered, at one time, to be amongst the
best. Air New Zealand made some very unfortunate expansionary
blunders, which almost cost the country its airline. With
continued escalating costs, the proposed "partnership"
appears to make sense, only time will tell.
In the last Tourism summit in Savu-Savu, the aim was
to go towards the billion dollar industry. What is your
opinion about this?
It is not an easy task. However, It will be achievable
if new hotel and resort projects come on line (as projected)
within the next two to three years, and additionally,
appropriate hotel and management training is implemented
as soon as possible. There will need to be an effort that
will entail everyone in Fiji, so as a genuine Fiji experience
is felt when you go anywhere, from shops to buses, markets,
excursions, etc. not only the large International Resorts.
|
We need
to go back to basics and try hard to live up our old FVB
adage "Fiji, the way the world should be". In
today's troubled world, the sense of romance and exoticness
which is synonymous with the South Pacific, can be a very
strong attraction to those potential visitors that are
just fed up with the daily media dose of world troubles.
Fiji is very well poised to attract visitors to meet our
target given the fact.
After the coup of May 2000 there was a dramatic decline
in tourism arrivals. Is Air Fiji financially recovered
from that time? What can you tell us about your latest
financial results and expectations for 2003?
Our results for both 2001 and 2002 have been very encouraging
with acceptable profit levels achieved in both years.
Certainly, I would like to think that we can do a little
better than last year for 2003. I am very optimistic about
2003. It is going to be a good year all around for us
given the noticeable increase of tourism from our primary
markets of Australia and New Zealand and the upcoming
South Pacific Games in July.
After the event of May 2000 the Fiji Tourism Industry
has tried to attract visitors back to Fiji. What has been
Air Fiji's role in this effort?
Air Fiji has contributed to the various "damage control"
tourism committees that were formed to combat the negative
media reporting associated with the event of May 2000.
We contributed financially and through professional input.
We also worked very closely with the Fiji Visitors Bureau,
the Fiji Hotel Association and with wholesalers by providing
discounted or free domestic air travel to journalists
and travel agents so that they could witness for themselves
the remarkable quick recovery. In fact, some island resorts
off Nadi continued to record very good occupancy during
and immediately after the event of May 2000. If you look
at the many troubled spots in the world, you find that
Fiji is a very resilient country, meaning that after a
significant negative event, the people of Fiji by our
nature, are able to get on with life and business very
quickly. The year 2003 is a prime example of this. We
are projecting a record number of visitor arrivals, two
years after a major setback, and it will certainly be
achievable.
What are the main challenges Fiji has to face in the
near future?
If Fiji's tourism industry is to achieve its aim of being
a billion-dollar industry in the short medium term, then
it is crucial to have new Resorts and Hotels "breaking
ground" as soon as possible. Once there is one major
project on its way, I think this will act as the catalyst
and the confidence will then spread and you will see other
projects getting off the ground. With Air Pacific expansionary
plans it is vitally important that Government does everything
within its power to attract investors to develop the Resorts
and Hotels. The Government is addressing required infrastructure
to support the development of Resorts and Hotels, i.e.
electricity, water, roads, etc. the overriding challenge
facing Fiji is to attract investors by offering them very
competitive incentives that will make Fiji exceptionally
attractive to them.
What is the regional expansion strategy for Air Fiji?
Air Fiji is also a regional operator through our "Pacific
Link". We provide a service to Tuvalu twice a week
and to Tonga three times a week. The South Pacific offers
limited expansion due to most island nations having their
own national carriers. This coupled with a small population
base does offer limitless opportunities. However, we are
carefully monitoring developments and if we feel that
there is an opportunity we will certainly explore the
potential. One area we do see as having some potential
is that of regional charters.
Could you tell us more about your personal background
and future challenges?
I did my career at Beachcomber Island Resort in Fiji in
1975. I began as a Management Trainee and worked my way
through various management positions in Islands In The
Sun, which managed Beachcomber and Treasure Island Resorts.
I worked in the Hotel and Resort industry in Fiji for
around 20 years. In 1997 I started with Air Fiji as Marketing
Manager to try and lift Air Fiji's tourism market share.
Four months after I joined I was offered the position
of Chief Executive and still hold the position. I see
myself in Fiji for a long time yet. I have always believed
that tourism has the greatest potential for Fiji provided
it is developed sensibly and with care. |