Tuesday, July 27, 2010

Airlines starting to worry about airports and the Cup

In a clear warning about the need for quick and decisive action to upgrade Brazil’s airports, the country’s main airline companies have questioned the ability of the federal government’s central airports body to resolve existing infrastructure deficiencies in the near future, let alone have host cities ready on time for the 2014 World Cup.

Brazil´s growing middle class has pushed demand for flight to all time highs and a number of airports are already running at maximum capacity. From January to June airline traffic increased 27.6% on the same period from 2009, creating a range of problems including shortages of boarding gates, parking spaces and check in terminals.

According to a recent study by consultancy McKinsey, of the country’s 20 main airports, seven are at full capacity in terms of patios and passenger terminals, four of these in host cities for the 2014 Cup. The study also pointed out that in 2009 Brazil´s combined airport capacity was 126 million with demand for 111 million, with a predicted demand of 146 million by 2014.
Infraero, the government´s airports body, has a budget of R$6.5 billion to invest over the coming years, R$5.5 billion of which is for 2014 Cup host cities.

The consensus from airlines is that while the funding will be sufficient, there is very little time to waste to ensure current demand and specific Cup requirements, which will involve an estimated 2.25 million additional passengers, are satisfied.