According to Giao Thong Newspaper, Vietnam Tourism and Transport Marketing Joint Stock Company (Vietravel) has sent the Thua Thien-Hue Department of Transport a project to establish Vietnam Travel Airlines Company (Vietravel Airlines).
Previously, Mr. Nguyen Quoc Ky, General Director of Vietravel, shared his plan to establish Vietravel Airlines to promote tourism in Hue. According to him, Vietravel will open an airline with a charter service model (full-flight flights).
In fact, Vietravel has previously operated many flights on this route under contract. In 2018, Vietravel operated nearly 300 charter flights to transport passengers under charter contracts with airlines such as Vietnam Airlines, Vietjet and Jestar Pacific. According to a representative of Vietravel, the company's transportation service is large enough so Vietravel needs to be more proactive and professional.
According to current regulations, to be able to fly, Vietravel must first receive the Government's "nod" on the investment policy for the aviation project, similar to the recent case of Bamboo Airways.
Vietravel is one of the travel companies with a large market share in the tourism market.
After that, Vietravel will have to continue to carry out procedures according to the provisions of Decree 92 of the Government regulating conditional business lines in the field of civil aviation. It is known that this decree is also being proposed by the Ministry of Transport to amend in the direction of removing the condition "in accordance with the planning for the development of aviation transport".
This also means that to obtain an air transport business license, investors only need to meet the conditions on ensuring the availability of aircraft for operation, organizational structure, capital, business plan and product development strategy as prescribed.
In addition, the minimum capital required to establish and maintain an air transport business is also adjusted to reduce the burden on investors.
According to the proposal of the Ministry of Transport, an airline operating up to 10 aircraft will need a minimum of 300 billion VND; from 11 to 30 aircraft is 600 billion VND and operating over 30 aircraft is 700 billion VND. This minimum capital level does not distinguish between airlines operating purely domestic or international routes.
