MUCH HAS been written and said about PAL and the ?open skies? policy, an issue we should consider for the benefit of our tourism industry. Indeed, open skies can be considered as an option, but with caution. Traffic rights are commodities every nation uses to negotiate.

What do we want to achieve? Our tourism infrastructure is poor, not at par with what our neighbors offer. Hence, what market will airlines that do not fly to Manila want to capture?
Every carrier wants a share of the OFW market; add the balikbayans and you have a business worth a pile of dollars.

Many people do not realize how important PAL is to the national economy. Airline business is no joke. You need a deep pocket to remain in business. Personally, I do not know Lucio Tan, but I can tell you that he and his team have managed to stay alive in an industry where many have gone long ago. Granted, PAL may not match the quality and sophistication of other carriers, but it offers a price adequate to the market it caters.

PAL is a big operation?just think of the number of flights it mounts daily, both local and international. As of late, PAL continues to suffer the inability to operate in the United States with the latest and most modern aircraft, the B777, on account of the downgrading of the airport.

Why am I defending PAL? Because, what is the alternative to PAL? Is there a group of local billionaires willing and able to enter the arena of aviation? Expect them to downsize or increase fares few can afford, or they may convert PAL into a low-cost carrier.
Open skies? Yes, but also open investments in all areas of tourism. We have a very simple and limited tourism product today to offer the world.

Manila, as a destination, has not much to offer. No world-class hotels in its surroundings. You have to fly out. What kind of tourism priorities do we have? Are we ready to allow foreign investors to have full control, operate and manage tourism resorts? Why not? But also ensure we have adequate support from local governments.

Most of our domestic airports do not have night landing facilities. Why not privatize them?
We are proud of the beauty of Boracay, and rightly so; but we could easily have five Boracays if we knew how to attract investors and developers who are willing to invest in the many alternatives the country offers. Even the Banaue Rice Terraces have almost been forgotten.

A former president of Piata, (Philippine Association of IATA Travel Agents), I am still very much in the industry. I and many others are concerned that we may find ourselves in a deep predicament if PAL is unable to continue operating in a profitable way and forced to downsize or close because we failed to study well what the tourism industry will need in the near future.

Indeed, tourism is a complex industry these days, when the world economy is drifting; but yet so important for our nation, including the second generation who live abroad and who can turn to PAL as a source of heritage and nationhood.

?JUAN JOSE BERENGUER-TESTA,
president, Mondial Tours and Travel,
info@mondialtours.com.ph