Impossible to Fly “Low Cost” In Central America


News from Panama / Tuesday, March 1st, 2016

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As part of an old-fashioned commercial aviation policy, taxes, airport charges and costs in the region take a heavy toll on the price of low cost air tickets.

Although the “low cost” airline Viva CAN announced that Costa Rica would be its hub for Central flights from 2016 with very competitive rates, Joe Mohan, CEO of Viva Latin America, told Nacion.com that it is now impossible to offer prices below $100 because of the high burden of taxes and additional charges on tickets in all countries in the region.

Nacion.com reports that the executive mentioned “… departure taxes (in Costa Rica, $29) and taxes to fund programs (in Costa Rica, for example, there is a $15 charge for financing the Instituto Costarricense de Turismo). Efforts are now focused on opening an operation in another country where they did find the right conditions.

“… Mohan said they are negotiating with the governments in the region for the whole region to be seen as a local market and charges reduced and for it to be acknowledged that possibly in 2017 they will start operations in the country.”