Vietnam is entering the Thai turf: Cambodia Angkor expands to Bangkok

September 14, 2012
By Rapeepat Mantanarat
TTRweekly

HO CHI MINH CITY, 14 September 2012: Cambodia Angkor Air, the national carrier of Cambodia, will start flights to Bangkok this November from Siem Reap.

The airline’s executive, marketing department told TTR Weekly at the 8th International Travel Expo in Ho Chi Minh City that the Siem Reap to Bangkok service will operate four times weekly using a ATR72 aircraft. If passenger response is good the airline will increase flights to daily.

A service between Phnom Penh and Bangkok is also under consideration. The only airline serving the Bangkok-Siem route is Bangkok Airways.

Sacrava's Political Cartoon: Welcome to Makorwat

Cartoon by Sacrava (on the web at http://sacrava.blogspot.com)

The mysteries of a national carrier

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The mysteries of a national carrier

Cambodia Angkor Air is nothing more than a subsidiary of Vietnam Airlines. It does not serve Cambodia's national interest!

Ever heard about CAA? Behind the acronym hides Cambodia Angkor Air, officially the national carrier of the Kingdom of Cambodia. Discretion is really the best word to describe so far the airline’s strategy.

Luc Citrinot - 18 July 2012

Travel Daily News

PHNOM PENH- There is very little to say about Cambodia Angkor Air (CAA) beside the fact that most clients probably will even not remember the name of the carrier. Since July 2009, CAA is officially the national carrier of the Kingdom of Cambodia, a carrier born thanks to an agreement setting a joint venture between the Cambodian State (51%) and Vietnam Airlines (49 %). The airline is in reality a proxy of the Vietnamese national carrier Vietnam Airlines. The four aircraft in the fleet –ATR 72 and Airbus A321- come from Vietnam and all the management is Vietnamese. Mr. Trinh Ngoc Thanh, CAA current Chairman and CEO is at the same time Executive Vice President of Vietnam Airlines.

Looking at CAA network, the airline serves only three cities out of Siem Reap: Phnom Penh, Sihanoukville and Ho Chi Minh City. Despite promising at the beginning to serve more international destinations with one or two years- they were rumours about Bangkok, Singapore and China soon to be added. By mid-2012, the network looks basically the same than in 2010, Sihanoukville excepted. The route serving Cambodia’s largest seaside resort was in fact requested by the government to set up a proper air connection to what is considered as Cambodia’s third largest destination.

Cambodian new national airline [owned and run by the Yuons] makes profit

24 December 2009
AFP

PHNOM PENH: Cambodian Prime Minister Hun Sen on Thursday said the country's new national airline, Cambodia Angkor Air, had begun to turn a profit, raising hopes it would not fail like its predecessor.

The airline, which has capitalisation of US$100 million, was launched in July following the failure of a previous effort in 2001.

Cambodia Angkor Air, a joint venture between the government and Vietnam Airlines, aims to promote Cambodia as a destination and boost tourism.

"We expected the airline to make losses for two years, but now this airline is making profit because a lot of passengers are using it," Hun Sen said during a provincial ceremony.

The last national carrier, Royal Air Cambodge, folded in 2001 after running up losses of US$30 million.

Cambodia Angkor Air flies between tourist hub Siem Reap and Vietnam's Ho Chi Minh City.

Tourism is one of the only sources of foreign exchange for impoverished Cambodia, which is recovering from nearly three decades of conflict that ended in 1998.

The kingdom aims to lure three million tourists annually by next year, and in 2009 attracted more than two million holidaymakers.

A number of foreign airlines, including Japan Airlines and Qatar Airways, currently operate direct flights to Cambodia.

VN investment in Cambodia reached US$1.5 bn

Tue, November 17, 2009
Rasmei Kampuchea
Asia News Network

Phnom Penh : Vietnamese investors consider Cambodia as a big potential investment destination in the future. So far, its investment in Cambodia has reached US$1.5 billion in the last few years in different sectors such as construction, agriculture, and banking sector.

Tran Bac Ha, chief of a delegation of Vietnamee investors told Prime Minister Hun Sen on October 16 that Vietnam government allowed three Vietnamese companies to invest in Cambodia in real estate, construction and agriculture.

Tran Bac Ha added that Vietnamese company planned to buy in 2010 between 300 000 and 400 000 tonnes of paddy from Cambodia to boost Cambodian economy and reduce poverty.

Recently, Vietnamese investors planned to plant rubber trees on 50 000 hectare in the Northeast of the country and they put in place the mobile phone company, Viettel, and at the same time, Vietnamese airline company has invested in running the Cambodian National Airline called "Cambodia Angkor Air". The joint venture investment costs $100 millions, of which , Cambodia holds 51 per cent and the rest belongs to Vietnamese side.

While the diplomatic row has increased between Thailand and Cambodia, Some Thai leaders threatened to close the border. But, in his reaction, Prime Minister Hun Sen threatened to stop buying Thai products and in stead using products from other countries.

Attack on a Viet director of a Cambodia Angkor Air office branch

19 October 2009
Everyday.com.kh
Translated from Khmer by Socheata

The director of an office branch of Cambodia Angkor Air, who is a Vietnamese citizen, was pursued by 2 unknown men riding a motorcycle. The pair followed him to his house and started to shoot him, but fortunately, the Viet director was not hit by the shots. This incident took place at house No. 23 on Street No. 310, Boeung Keng Kang I commune, Chamcar Mon district, Phnom Penh, at 12:15 AM on 16 October 2009. Truong Chin Vu is the name of the 39-year-old Vietnamese citizen who was attacked, he was staying at the guesthouse where the incident took place. Truong Chin Vu told the police that he never had any dispute with anybody in Cambodia. The reason for the shooting is unknown. The police said that, currently, Truong Chin Vu already left to return back to Vietnam already.

Cambodia to stop Bangkok Airways' Cambodian domestic flights

PHNOM PENH, Sept. 25 (Xinhua) -- Cambodian government will not renew its agreement with Bangkok Airways, under which the Thai-owned airline flies Cambodian domestic routes, when it expires on Oct. 25, local media reported on Friday, citing a senior aviation official.

State Secretariat of Civil Aviation (SSCA) Secretary of State Mao Havannal was quoted by the Phnom Penh Post as saying that the decision was made to give a boost to the new national carrier Cambodia Angkor Air (CAA), which made its maiden flight on July 28.

"Now that we have our own domestic airline, Bangkok Airways will not be allowed to continue flights when the agreement finishes on Oct. 25," he said.

Bangkok Airways has been flying four flights daily between Phnom Penh and Siem Reap since taking over the route last November when its subsidiary, Siem Reap Airways, was grounded by the SSCA.

SSCA Cabinet Chief Long Chheng said Thursday that the body sent Bangkok Airways a letter last week informing it of the decision.

Bangkok Airways Acting Country Director Amornrat Kongsawat has not been available for comment.

Cambodia to end Bangkok Airways domestic flights

Friday, September 25, 2009
AFP

PHNOM PENH — Cambodia's civil aviation authority said Friday it will not renew an agreement for Thai-owned Bangkok Airways to operate domestic services in the kingdom when it expires next month.

Bangkok Airways has been flying daily between Phnom Penh and the tourist hub Siem Reap -- home of the Angkor Wat temples -- since last year after its subsidiary, Siem Reap Airways, was grounded for safety concerns.

Mao Havannal, secretary of state for the state civil aviation, said the government will not extend the agreement for Bangkok Airways to fly the routes when it expires in late October.

"We have already informed Bangkok Airways about the decision," Mao Havannal told AFP without elaborating.

But it appears that the decision was made in order to give a boost to the country's new national airline, Cambodia Angkor Air, which was launched in July to promote tourism in the country.

Tourism is one of the only sources of foreign exchange for impoverished Cambodia, which is recovering from nearly three decades of conflict that ended in 1998.

The kingdom aims to lure three million tourists annually by 2010.

A number of foreign airlines, including Japan Airlines and Qatar Airways, currently operate direct flights to Cambodia.

Bye, bye Bangkok Airways ... Hello Vietnam Airlines (Oops! Cambodia Angkor Air)

Bangkok Airways to lose Siem Reap-Phnom Penh route

Fri, 25 Sep 2009
By Michelle Chen
DPA

Phnom Penh - The Cambodian government said it would not renew the contract allowing Thai carrier Bangkok Airways to operate the domestic Phnom Penh-Siem Reap route when the deal expires next month, local media reported Friday. Officials said the decision would boost passenger numbers for Cambodia's new operator, Cambodia Angkor Air, a joint venture between the Cambodian government and state-owned Vietnam Airlines. It started operations in July.

Mao Havannal, the head of the State Secretariat of Civil Aviation, told the Phnom Penh Post newspaper that the decision had been taken to give the new airline a boost.

"Now that we have our own domestic airline, Bangkok Airways will not be allowed to continue their flights when the agreement finishes on October 25," he told the paper.

Bangkok Airways operates four flights a day between Cambodia's capital and the key tourist destination of Siem Reap, home to the famous Angkor Wat temple complex, which is visited by millions of people annually.

Bangkok Airways began flying the route last year after its subsidiary, Siem Reap Airways, was grounded amid reports of financial irregularities and safety concerns following an audit by the International Civil Aviation Organization.

[Vietnamese-owned] Cambodia Angkor Air takes delivery of an A321

Wednesday, 02 September 2009
Nguon Sovan
The Phnom Penh Post

New national carrier Cambodia Angkor Air (CAA) will receive today delivery of a new Airbus A321 at Phnom Penh International Airport, an official said Tuesday.

Soy Sokhan, undersecretary of state at the secretariat of civil aviation, who is in charge of all matters related to CAA within the government, said the new passenger jet would go into service from Saturday.

"In operating the new aircraft, we will triple return flights between Siem Reap and Ho Chi Minh City -- so now 21 flights a week -- and double return flights between Phnom Penh and Ho Chi Minh, so that will be 14 flights [per week] from Saturday," he said Tuesday.

The airline -- which launched July 27 -- had seen a steady increase in passenger numbers, with an average passenger load of between 30 and 40 percent during the first month of operations, he said, without supplying official data, which he said was not yet available.

Sacrava's Political Cartoon: The new Xmer language

Cartoon by Sacrava (on the web at http://sacrava.blogspot.com)

Could it be that Cambodian leaders do not know Khmer language?

Cambodian Prime Minister Hun Sen (centre) and other government officials walk in front of a plane during the official launch of Cambodian national carrier Cambodia Angkor Air at Phnom Penh international airport. (AFP)

The website of Cambodia's national airline "Cambodia Angkor Air" carries information exclusively in Yuon and English. Could it be that Cambodian leaders do not read Khmer language when they announced that this national airline is Cambodia's pride and joy?

Cambodia AngkorAir: national airline pride?

27 July 2009
Editorial by Sopheak
On the web at http://sopheak.wordpress.com
Translated from Khmer by Heng Soy
Click here to read the original article in Khmer (NOT Xmer!)

For the Cambodian government, 27 July is a humongous and victorious historical day for Cambodia which finally has a national airline that can show that Cambodia was indeed a former empire (sic!).

If one were to hear Cambodia Angkor Air, this name is music to the ears because the country is very famous for its Angkor temple, and wherever one turns, one surely hears the word “Angkor.” It is true that “Angkor” is Cambodia’s pride and it is an unavoidable fact. Nevertheless, can Cambodia Angkor Air actually represent our national airline pride?

The history of the Cambodia Angkor Air shows that it is half owned by Cambodia and half owned by Cambodia’s tens-of-thousand-years-old brother: Vietnam. However, right from the start, Cambodia Angkor Air did not show its aspiration to be Cambodia’s pride to the more than 14 million Cambodians at all.

It is in fact very regrettable and very shameful that, currently, Cambodia does not have the ability to form its own 100% national airline where the Cambodian flag adorned with Angkor Wat can be displayed.

When one tries to reach the Cambodia Angkor Air website (www.cambodiaangkorair.com), no information in Cambodian can be found. Quite to the contrary, the Vietnamese language is quite prominent, from airline reservation to airline flight routes etc… Could it be that Cambodia Angkor Air is merely a sexual toy of Vietnam Airlines? Is this what Cambodia Angkor Air pride amounts to?

We praise and encourage the Cambodian government that puts effort to bring back the national airline, but in the case of Cambodia Angkor Air, our pride on this so-called national airline is still doubtful.

We wish Cambodia Angkor Air a good operation and that it may become popular with Cambodians and foreigners alike who will be using this airline for their travel needs!

Bravo, Cambodia Angkor Air!
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Comment from Chanroeun:

Bravo! your analysis is so obvious. I was so surprised to see the name of the board of directors, of this so called Cambodian National Airline, are all Vietnamese http://www.k6-air.com/Home/Intro/Generalinfo/BoardofDirectors/tabid/620/Default.aspx. A joke has become a real story.

After Long Void, Cambodia Launches Airline [that is ironically half-owned by Vietnam]

By Ros Sothea, VOA Khmer
Original report from Phnom Penh
29 July 2009

Cambodia Angkor Air, a joint venture between Vietnam’s state-owned airline and Cambodia, made its first commercial flight Monday, in what government officials hope will be a boost to tourism and the economy.

The new carrier fills an eight-year absence, following the bankruptcy of Royal Air Cambodge, which folded in October 2001 owing more than $33 million to creditors.

Prime Minister Hun Sen said at a ceremony Sunday that Angkor Air was part of Cambodia’s open-sky strategy, providing air transport for Cambodians and a boon to tourism.

“The success of a Cambodian national airline will bring national pride and help develop the tourism sector, which is a force of economic growth,” said Hun Sen, who was accompanied by Vietnamese Deputy Prime minister Truong Vinh Trong.

Minister of Tourism Thong Khon said the new airline would increase the number of visitors to the famed temples of Angkor Wat, which have seen a decline in numbers in the wake of the global economic crisis.

With an investment of $100 million, Angkor Air has a pair of ATR 72-500 aircraft that will fly three routes, linking Phnom Penh to Siem Reap and Ho Chi Minh City.

Mao Havannal, secretary of state for the State Secretariat of Civil Aviation, said the airline will start with 32 flights per week between Phnom Penh and Siem Reap and 14 flights per week between Phnom Penh, Siem Reap and Ho Chi Minh City.

Phan Ngoc Minh, an executive for Vietnam Airlines, said another Airbus will be transferred to Cambodia in early September 2009. Within a year, the airline will have eight planes, he said.

Angkor Air is entering a market that has seen a number of failures in the past 15 years, with bankruptcy hitting Royal Phnom Penh Airways, Kampuchea Airlines, Angkor Airways and Royal Air Cambodge.

There are currently 10 different airlines linking Cambodia to international destinations.

Phan said the new national carrier will become a strong competitor.

“I do believe Cambodia Angkor Air will soon become strong and solid enough to support Cambodia’s aviation industry, to support development and benefit for the Royal Government of Cambodia,” he said.

The new airline will also have to contend with an industry that has been marred by safety concerns, following several crashes that have killed a total of 80 people in recent years.

Mao Havannal said Angkor Air was indeed safe.

Sacrava's Political Cartoon: Scambodia-Makor Airrrrr

Can it still be called "national" carrier when it is half-owned by Vietnam?

Cambodia gets national carrier with Vietnam's help

PHNOM PENH, July 27 (Reuters) - Cambodia launched a new national carrier on Monday, a $100 million, three-aircraft venture set up in a bid to boost the tourist sector with the help of Vietnam Airlines.

Cambodia will hold 51 percent of Cambodia Angkor Air and Vietnam Airlines the rest.

The airline will operate domestic flights from Cambodia's capital, Phnom Penh, to Siem Reap, site of the Angkor temples, the country's biggest tourist destination, and to the coastal tourist town of Sihanoukville.

'The government is investing to facilitate the company's flight operations to carry tourists for competitive fares, to attract more visitors,' Prime Minister Hun Sen told a crowd at Phnom Penh International airport.

The new airline will initially operate with two ATR 72 planes and is scheduled to get an Airbus A321 in September.

It was looking to expand commercial flights to Vietnam and another neighbouring country, Laos, and hoped to increase its fleet to 10 by 2015, said Vietnam Airlines Executive Director Pham Ngoc Minh.

Vietnam and Cambodia are traditional rivals, and Vietnam's deputy prime minister, Truong Vinh Trong, said at a signing ceremony on Sunday evening that the airline was not just a rare joint investment, but a way to 'improve the two Asian neighbours' bilateral relations'.

Cambodia has had no national carrier since Royal Air Cambodge went bankrupt in 2001 with estimated losses of $25 million.

In 2007, Indonesia's Rajawali Group signed a deal with Cambodia to establish a flag carrier and planned to begin flights in mid-2008, but the deal was cancelled because of the global economic downturn.

Cambodia welcomed 2.2 million tourists last year.

Tourism brought in the equivalent of 13 percent of gross domestic product in 2005 to 2007, according to the International Monetary Fund.

The sector had been growing at around 18 percent a year before the global financial crisis but growth in the sector is likely to be only 5 percent this year, according to tourism officials.

The IMF has forecast that Cambodia's economy could shrink 0.5 percent this year, hurt by a drop in tourism and a slowdown in garment exports.

(Reporting by Ek Madra; Additional reporting by Nguyen Nhat Lam in Hanoi; Editing by Alan Raybould)

Half Vietnamese-owned "Cambodia Angkor Air" to fly tomorrow

Cambodia Angkor Air will fly tomorrow

Jul 27, 2009
By Reinhard Hohler
eTN Ambassador

According to media sources from Phnom Penh, a signing ceremony was held on Sunday by Cambodia and Viet Nam on the establishment of the Cambodian Air Carrier, which is a joint venture between Vietnam Airlines and the National Cambodia Air Carrier, namely Cambodia Angkor Air (CAA).

"The Vietnamese side has invested a capital of US$100 million in Cambodia Angkor Air," said Mr. Sok An, Deputy Prime Minister and Minister in charge of the Council of Ministers, at the signing ceremony, which was presided over by Prime Minister Hun Sen and visiting Vietnamese Deputy Prime Minister Truong Vinh Trong, who is also the representative of the Prime Minister of Vietnam.

"Cambodia will have [a] 51 percent share, and the Vietnamese side controls 49 percent," Mr. Sok An said, adding that the new Cambodian airline will help to push the tourism sector in the kingdom, while the world has met with the global economic and financial crisis. The Vietnamese investment on Cambodia Angkor Air will be processed for 30 years, Mr. Sok An said.

Meanwhile, Vietnam has also invested another US$100 million to open the Bank for Development and Investment of Viet Nam in Cambodia.

These investments show the confidence from the Vietnamese side on the economic growth of Cambodia, Mr. Sok An said, adding that it is the pride of the country that they have our own national flag air carrier. He stressed that the new airline will launch the official flight tomorrow.

Prime Minister Hun Sen said at the ceremony, "I would like to urge the new Cambodia Angkor Air to strengthen the management on safety and security for all travelers."

Additionally, Dr. Thong Khong, Cambodian Tourism Minister, told reporters that tourism is one of the key sectors in the country saying, "This year we expect to have [a] two to three percent increase on this sector." For the first six month of this year, the tourism sector decreased about one percent across the country. However, in the capital of Phnom Penh, it has increased 14 to 16 percent so far.

Last year, Cambodia achieved about two million foreign tourists.

While Thailand is busy fighting the border dispute ... Vietnam sneeks into Cambodia through Hun Xen's back door

Vietnam invests 200 mln USD on Cambodian Air, banking

PHNOM PENH, July 26 (Xinhua) -- A signing ceremony was held on Sunday by Cambodia and Vietnam on the establishment of Cambodian Air Carrier which was a joint venture between Vietnam Airline and National Cambodia Air Carrier namely Cambodia Angkor Air.

"Vietnamese side has invested 100 million U.S. dollars capital in Cambodia Angkor air," Sok An, deputy prime minister and minister in charge of the Council of Ministers, said at the signing ceremony which was presided over by Prime Minister Hun Sen and visiting Vietnamese Deputy Prime Minister Truong Vinh Trong, who is also representative of the prime minister of Vietnam.

"Cambodia will have 51 percent share and Vietnamese side controls 49 percent," Sok An said, adding that the Cambodian new airline will help to push the tourism sector in the Kingdom while the world has met with global economic and financial crisis. The Vietnamese investment on Cambodia Angkor Air will be processed for30 years, Sok An said.

Meanwhile, Vietnam has also invested another 100 million U.S. dollars to open the Bank for Development and Investment of Vietnam and Insurance sector in Cambodia.

This investment has showed the confidence from Vietnamese side on the economic growth of Cambodia, Sok An said, adding that it is the pride of the country that we have our own national flag in aircarrier. He stressed that the new airline we will launch the official flight tomorrow.

Prime Minister Hun Sen said at the ceremony that "I would like to urge the new Cambodia Angkor Air to strengthen the management on safety and security for all travelers".

Additionally, Thong Khong, Cambodian Tourism Minister told reporters that tourism is one of the key sector in the country and"this year we expected to have two to three percent increase on this sector." For the first six month of this year, the tourism sector decreased about one percent across the country, however, incapital Phnom Penh it has increased 14 to 16 percent so far.

Last year, Cambodia achieved about two million of the foreign tourists.

Truong Vinh Trong visits Vietnam's colony of Cambodia

Deputy PM Trong visits Cambodia

07/25/2009
VOV News (Hanoi)

A Vietnamese government delegation led by Deputy Prime Minister Truong Vinh Trong began a three-day official visit to Cambodia on July 25.

He is scheduled to attend inauguration ceremonies of the kingdom’s new national carrier - Cambodia Angkor Air (CAA) – and a representative office and an investment company of the Bank for Investment and Development of Vietnam (BIDV) in Cambodia.

CAA is a joint venture between the Cambodian Government and the Vietnam Aviation Corporation – Vietnam Airlines. It plans to conduct flights to HCM City, starting on July 28.

BIDV in collaboration with Phuong Nam Company plans to establish the Investment and Development Joint Stock Company of Cambodia (IDCC) with a charter capital of US$100 million. IDCC will focus on investment activities, mergers and acquisitions

BIDV plans to set up the Vietnam Cambodia Insurance Co (CVI) and an association of Vietnamese investors in Cambodia in August to promote investment and trade between the two countries.