In five years the airline market in Central America has transformed from being a market dominated by two major airlines, to one with new entrants, lower prices and greater connectivity.
The arrival of so called "low cost" airlines to the region has resulted in a progressive reduction in the prices of tickets to fly between Central American countries. Between 2011 and 2014 the average cost without taxes for travelling between Costa Rica and El Salvador ranged from between $400 and $500, while in 2015 it costs $391.
Nicaragua suffers from lack of air connectivity and from inflated prices to be paid to fly to Managua from nearby cities.
With only five direct air links, Nicaragua is, along with Honduras, the destination with the highest prices of airline tickets, ranging from $460 to $2117, for only one-way trip within the region. In addition, Nicaragua also receives the least amount of airlines, currenly only 7 companies are available.
Owners of VivaColombia and the mexican VivaAerobus have announced the opening of a holding company in Panama to start operations in Central and South America.
From a statement issued by Irelandia Aviation and Grupo IAMSA:
Irelandia Aviation and Grupo IAMSA, owners of the Mexican low-cost airline VivaAerobus and of the Colombian airline, VivaColombia, announced their intention to expand the Viva airline brand in Central and South America.
An agreement is being established to promote the arrival of new airlines into the country streamlining the processes of registration and starting commercial operations.
The Superintendency of Competition and Civil Aviation has signed an agreement designed to promote competition in the airline market in the country, streamlining and simplifying the formalities the must be completed in order to start operations.
The new tax will be used to fund the security and immigration systems but has already been opposed by tourism operators.
The Ministry of Interior announced that as of February 12 a $15 fee will be charged for entering or exiting Guatemala by air. Bruno Mertins, general manager of the travel agency Turansa believes that "the measure not only make ticket prices to and from Guatemala far more expensive, but it also makes the sector less competitive."
Air fares rose from $1,100 to $2,500, threatening to cause a dramatic drop in the flow of tourists from Venezuela to Panama.
Speculation and distortions in the foreign exchange market have caused Venezuelan air tickets to become the subject of hoarding "resulting in there being to date no seats available to Panama for the remainder of the year."
The Superintendency of Competition could set minimum and maximum transient prices for air tickets, in the national interest or because of public need.
The initiative a proposal by the Frente Farabundo Martí para la Liberación Nacional (FMLN) to the Salvadoran Congress to amendment Article 22 of the Civil Aviation Act so that the Superintendency of Competition (SC) can set those rates.
Based in San Jose, Costa Rica, Nature Air is Central America's Premier Airline with daily flights to exotic vacation spots in Costa Rica, Panama and Nicaragua.
Operates in Costa Rica, Nicaragua and Panama
Phone: (506) 2299-6000
Founded in 1931 with one single-engine Stinson plane, TACA Cargo offers specialized cargo and courier services.
Eighty years later we bridge the Three Americas serving customers at 42 destinations in 22 countries in North, Central, South America and the Caribbean, including flights to Toronto, Canada and nine major U.S. cities. Among our destinations are New York, Los Angeles, Washington DC, Buenos Aires, Santiago de Chile, Sao Paulo, Lima, Quito, Bogota, Caracas, and Santo Domingo.
Operates in Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama
Phone: (281) 443 1808
Expeditors, a publicly owned company, provides logistics solutions that touch on all aspects of the supply chain. For 30 years, Expeditors employees have worked diligently with our customers to increase order visibility, reduce surplus inventory, control inflated delivery-cycle times, monitor and assign accountability and reduce overall supply chain costs.
Operates in Costa Rica, El Salvador, Guatemala, Nicaragua, Honduras and Panama
Phone: (506 ) 2437 4747 - (506) 2430 0327