Currently, the Estonian national carrier Estonian Air is a fierce rival to airBaltic, so the Latvian national airline has to revise its strategy not to lose influence, tourism industry representatives say.

“We can see that Estonian Air, also a publicly funded company, is a great competitor. Latvia is about to lose the last thing it was ahead of Estonia with. It is now much cheaper to fly from Helsinki to Riga via Tallinn,” says Asnate Ziemele, president of Country Traveller (Lauku ceļotājs) association, which seeks to promote rural tourism.

Tez Tour Latvia CEO Konstantins Palgovs points out that they are collaborating with airBaltic for the fourth season now. A total of ten routes have been opened, forming 10% of airBaltic business.

“Of course, these are seasonal routes, but still they make up 10% and it is quite enough. What we expect in return? There are still no large aircraft. If we do not think about the next season now, after a few years, all possible airBaltic rivals will operate in Latvia.”

He adds that Riga could no longer be a hub. airBaltic is professional enough, but it needs growth and outlook. The former CEO Bertolt Flick was replaced eight months ago. It is now time for visible changes and public investments in the fleet. Otherwise, tomorrow “we will be flying with Spanish, Turkish and German companies.”

Vanilla travel chairperson Inga Kavaca stresses that fuel prices have hit costs of both charter and direct flights.

“I think this year also airBaltic clients will feel it. Two years ago carriers, for example, Turkish Airlines flew to Bangkok for 350 lats (625 dollars). The current price is no less than 600 lats (1 071 dollars). Prices are up almost twice,” she says.

Ref: 104.000.000.1833