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Tue, April 4, 2006 : Last updated 21:47 pm (Thai local time)



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Home > Business > THAI, Lao Airlines ink Indochina gateway pact





THAI, Lao Airlines ink Indochina gateway pact

Thai Airways International has signed a memorandum of understanding with Lao Airlines, aiming not only to provide an additional travel option for tourists and business people, but also to create a network link for the aviation industry.

The agreement - "Tourism Cooperation: Gateway to Indochina" - which becomes effective this month, will encourage tourism to Laos through Thailand as "the gateway to Indochina".

The agreement was signed by THAI's acting president, Somchainuk Engtrakul, and Lao Airlines' president, Somphone Douangdara.

"THAI foresees the importance and growing capacity in trade, investment and travel which has steadily risen over the past years between Thailand and the Lao PDR, especially in tourism," Somchainuk said.

According to the Pacific Asia Travel Association, 926,875 tourists travelled to Laos in 2005 and the number is expected to increase to more than one million in 2007. The majority of visitors to Laos come from Thailand. The rest are from the United States, France, Britain, Japan and Germany.

The agreement between the two airlines provides for the promotion of Laos as a destination for tourists in major markets. It will involve "double prefix" cooperation in the initial stages, but will later develop into code-sharing cooperation on routes between Bangkok and Vientiane and Luang Prabang and Chiang Mai.

The agreement will also involve "inter-line" cooperation for tourists wishing to travel to Laos on long-haul journeys from the US, Australia, France and Japan.

The agreement will also encourage both Thai and Lao residents to travel conveniently between the two countries for business and leisure as well as providing a gateway to Indochina from Thailand which could lead to additional cooperation in the future. - The Nation







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