Monday 10 January 2011

Brazil and US Close to Open Skies Agreement

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US - Brazil Economic and Political Cooperation Handbook (World Diplomatic and International Contacts Library)
The US and Brazil are set to sign a new agreement that will boost aircraft operations at key Brazilian airports with effect from October next year. The so-called ‘Open Skies’ agreement will lift present limits and allow more US commercial flights to Rio de Janeiro and Sao Paulo airports. To date, the wording for this agreement has been worked out, but no formal approval has been given. Potentially, though, the US and Brazilian Open Skies agreement should see flight numbers grow, while ticket prices reduce.
“The agreement will strengthen and expand our already strong trade and tourism links with Brazil, benefiting US and Brazilian businesses and travelers by expanding air service and encouraging vigorous price competition by airlines, while safeguarding aviation safety and security”, the US State Department explained.

US/Brazilian Open Skies Treaty

Under the initial terms established, full US/Brazilian Open Skies treaty procedures will begin in 2015 - the service will be limited up until that point. In simple terms, between 2011 and 2015, passenger airlines operating between the two nations will just be allowed to fly more often but, after 2015, they will be able to offer a far more market and passenger-driven service.
Destinations, routes and ticket prices can all be chosen by the airlines, and both capacity and flight numbers will be unlimited, in theory.

Open Skies Agreement: US and Brazil

If this Open Skies agreement between the US and Brazil is inked, it will become the 101st of its kind. “This agreement means the travelers, shippers, airlines and economies of both the United States and Brazil will benefit from competitive pricing and more convenient service”, Ray LaHood – US Transportation Secretary – stated at the end of last week. Brazil’s Rio de Janeiro International Airport is the largest in the country, and use of the site for aircraft operations dates back to the early 1920s. Close to 12 million passengers were handled in 2009, while over 119,000 aircraft movements took place and 80,000 tonnes of cargo were processed.

Sao Paulo-Guarulhos International Airport is larger, still: over 21 million passengers used it last year alone. Aircraft movements totalled over 209,000, while more than 350,000 tonnes of cargo passed through.

Source: Airport International’s Global Correspondent

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