Analytics Main
11.08.2016

Not by sky alone. Why does Ukraine need to promote overland transport?

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The air transport market has shown good results for the last seven months. Our airports have 15% of growth, and national air companies have about 23%.

The development of international transfer carriages by the UIA air company through the Boryspil Airport and the increase of charter programs mainly to Turkey are two engines of growth.

However, this positive tendency has potential risks. Almost 70% of all Ukrainian airline companies is accounted for by one transporter – the UIA. Both the business competition and the operation stability of the airports, which is practically tied up of one transporter, are suffering in this case. These problems are being discussed periodically, but the regulator doesn’t have the common strategic vision yet.

However, it is should be noted that much has been done to promote the Ukrainian air transportation market. Particularly, the existing airport infrastructure allows serving much bigger amount of flights than it is presently. Also, the motivation program for airline companies to open new routes approved by the Government has started to work.

At the same time we must remember that any measures of additional promotion are expenses from the state budget, which possibilities are very, very limited. Here it is important to set priorities adequately.

It is needed to understand that air transportation in Ukraine is not a segment that requires active artificial promotion. The main priority is an urban public transport and suburban rail transportation. We need to concentrate upon the renewal of electrical trains rolling equipment, service stations and platforms. The parks of urban buses, trolleybuses and trams also need the renewal and improvement.

It is that massive social segment providing Ukrainian citizens with the billions of trips per year. Even, if it is mainly “at work – from work”. While about 2 % of population uses the air transport.