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 Talk about using aviation strategically, Singapores industry contributes to 5.4 percent of GDP. The benefits of using aviation as a strategic tool to garner a significant contribution to economic growth are brilliant. Efficient and extensive infrastructure is critical for ensuring effective functioning of the economy. Hence, the connectivity between businesses and markets, brought by the aviation industry enables the development of the country as a regional hub for sectors like finance, health, education and culture, as in the case of Singapore. Contrary to such an ideal approach, the situation is mostly met with crushing disappointment in Pakistan. The reality is gruesome in the country where the aviation industry has faltered, especially in recent times. Over years, significant degradation in cargo and passenger traffic has occurred with connectivity constraints like inadequate airport handling, monopoly, bias in airline operations and faulty procedures. Inconvenience iced with exorbitant air fares and taxes has crippled the air transportation to its currently dilapidated state. While Pakistans rank amongst its peers in terms of air transport infrastructure is one of the lowest, the global aviation is trekking up. The year set off with yet another increase in the air travel with 5.7 percent YoY growth in revenue passenger kilometers flown in January CY12. The shrinking air freight and cargo market depicted some signs of stabilising as the decline in air freight volumes was largely due to the Chinese New Year and factory closures as a result. On the domestic front the situation of air freight in Pakistan is gloomy. To date, no local carriers have made any significant efforts geared towards the trade cargo, while foreign carriers remain the main beneficiaries of existing volumes. At a time when IATA pinpoints Asia as the high-growth region for global aviation, Pakistan aviation is taking a nosedive. Just recently it has been urged by International Federation of Air Traffic Controllers Associations (IFATCA) to address the issue of shortage of air traffic controllers to safeguard against likely mishaps. Having said that, the global freight might be able to recoup with some policy initiatives, but the local aviation industry needs a bigger shakeup, where the civil aviation authority adopts an open sky policy. It needs to act as the authority that provides a level-playing field to all local and international airlines. It is time to focus on competition rather than on taxes.

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