KOTA KINABALU: A cross border air service is being promoted among the Asean sub-regional group, East Asean Growth Area, to boost trade and tourism.

BIMP-EAGA Business Council executive chairman Datuk Ahmad Ali Lope said they had set up a management company to be known as BIMP-EAGA Air Alliance Inc (BEAA) to operators an air alliance of regional air operators.

He said the outline for joining the BEAA had been sent to various regional airlines that had also been asked to provide input on routing and other suggestions if they want to join the scheme.

"Air operators are expected to indicate their preference for providing cost effective aircraft and a comprehensive routing plan towards the integration exercise," he aid at a press conference on the council's programmes for 2005.

Ahmad Ali said BEAA would carry out the business functions of air oeprators in the group.

"The cross border air service is integrated with tourism and trade with financial assistance schemes placed by the Asean Development Bank in order to ensure viability of the oprations," he added.

Ahmad Ali said a joint meeting amoing interested parties from the BIMP-EAGA region would be held in March during the informal Asean Senior Officials MEeting in Kundasang.

"We also hope that the meeting will iron out matters of air routes and types of aircrafts to be used," he said, adding that the report on the need for a cross border air service was forwarded by the council to senior ministers meeting in Balikpapan on Nov 25.

Ahmad Ali said that the BEAA would be run as a busienss entity under the BIMP-EAGA business council.

He said they hoped to have an inaugural flight between Sabah and Zamboanga City in the Philippines by March 2005.

The BIMP-EAGA sub-regional grouping involves Sabah and Sarawak, Indonesia's Kalimantan and Sulawesi as well as southern Philippines and Brunei.

Taken from The Star 15th January 2005