MCS was selected for the cargo shipment services by air among the others.
MCS is currently operating export cargo services at Yangon International Airport, for which it was favoured by the authorities.
“Efficiency can be gained when one firm
only operates both import and export cargo services. If we will separate
the two functions, complication will arise in balancing the business
and investments. Moreover, separation will not offer immediate results,”
Tin Naing Tun, Director General of Civil Aviation Department, said on
May 27.
Authorities’ plan to move the air cargo
services to Hanthawaddy International Airport upon its opening by 2017
is another reason for their choice, Tin Naing Tun said.
He said, “Hanthawaddy airport will open
in 2017. Then, we will move both export and import services there. At
that time, if two companies are left separately operating the services
in Yangon, we are worried they may face loss. Therefore, we have decided
to give the business to MCS in our Executive Committee meeting with the
Ministry of Construction.”
Privatization of import cargo services
was prompted by the Public Service Capacity Assessment Committee which
conducted an inspection at the airport, and decided the services should
be privatized for more efficiency.
Generally, airlines operate such cargo
services at international airports, and handling import cargoes yield
better profits, Tin Naing Tun noted.
MCS’s parent company Htoo Group is owned by tycoon Tayza, a close associate of the previous military regime.
source: Eleven Myanmar
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