Airports of Thailand and AOT Ground Aviation Services came together in Langkawi to offer a one-stop service to airlines
There was something familiar for visitors to Routes Asia at the Airports of Thailand (AOT) stand, as mock kickboxer fights entertained delegates throughout the day. A new feature, though, was the teaming up of AOT and ground services provider AOT Ground Aviation Services (AOTGA) at the show for the first time.
“Our presence together here at Routes Asia is a new strategy aimed at supporting the airlines [looking to start new service in Thailand],” said Thitirat Charoenyingwattana, Executive Vice-President at AOTGA. The services provider was established in 2018 as a joint venture by AOT, which is a 49% shareholder in AOTGA, with the majority held by SAL Group (Thailand) Co Ltd.
The Civil Aviation Authority of Thailand will only approve an airport slot request if the carrier can demonstrate that it has an acceptance letter of service provision from a ground handler. “That is why we’ve teamed up at an event for the first time so we can provide quick answers to service requests,” said Charoenyingwattana.
At the show, AOT was able to check slot availability for airports such as Bangkok Suvarnabhumi, Don Mueang or Phuket. Simultaneously, AOTGA would establish its handling service availability, with an answer delivered in 15 minutes. This is much more convenient for everyone as it is a process that can usually take up to 30 days, she explained.
“This approach was designed to be line with the government’s policy of attracting more airports to Thailand,” said Charoenyingwattana.
Thailand is working hard to recover its pre-Covid traffic levels. The slow return of Chinese travellers is the main drag and has only reached about 50% of pre-pandemic levels, said Peerapat Surapolchai, Deputy Vice President Corporate Strategy at AOT.
“Our main target here is to try and capture interest from the Chinese and the Indian markets,” he said. At present, there are 20 routes between Thailand and India with the potential for more. It is a booming market boosted by a visa waiver programme for Indian visitors to Thailand.
Overall, the international market has recovered to about 70% of pre-Covid levels. Two new long-haul routes have arrived in Bangkok, with Air Canada serving the airport as of winter 2023 from Vancouver, while Norse Atlantic began flights from Oslo in the same period, said Surapolchai.
AOTGA, which has handling licences at Don Mueang and Phuket, is hoping to significantly expand its operations in Thailand with a bid to win the third handling licence at Suvarnabhumi alongside Bangkok Flight Services and the Thai Airways ground handling unit.
The recovery of traffic at Bangkok’s main hub makes the need for another handler increasingly urgent. Although the process has been delayed, it is believed the bidding will begin this summer, with the licence award expected later this year in time for operations to start in winter 2024.
Although it does not have a full licence at Suvarnabhumi, AOTGA has had a contract as a “pop-up” operator since 2023, enabling it to handle a limited number of flights, said Charoenyingwattana. For instance, it serves four Chinese airlines handling 15-20 daily flights.
AOTGA is expanding in other business areas at Suvarnabhumi, she noted. For example, it has won a concession to operate at the airport’s Multi-Modal Transportation Terminal to provide cargo and transhipment services.
In addition, following customer requests, in June the company will open a line maintenance base at Suvarnabhumi, said Charoenyingwattana. Some Chinese carriers take an engineer on flights to the airport to perform the return leg maintenance sign off the aircraft, which will no longer be necessary when the AOTGA service is in place.
As it expands, AOTGA is also seeking to develop its training operation. “We already have some 4,700 staff today and we see a big need for training, upskilling and reskilling,” said Charoenyingwattana. In early 2025 the firm will establish the AOTGA Academy in Bangkok.
