17 April 2009

After 28 years, Garuda dumps Darwin

DARWIN - Garuda Indonesia has confirmed reports that it will be withdrawing its Darwin-Bali service, with effect from Friday next, April 24.

Ã¢â¬ÅâœWhile this decision is commercially necessary, after 28 years of continuous service to the Northern Territory, it is naturally very disappointing," said Poerwoko Soeparyono, Garuda general manager Australia & Southwest Pacific.

Ã¢â¬ÅâœHowever, we must be realistic. It is becoming more and more difficult for full service airlines to compete with the low cost carriers on short routes such as Darwin-Bali.Ã¢â¬~

Ã¢â¬ÅâœThis is further exacerbated by the current oversupply of capacity for a relatively small population and, as an international carrier, Garuda Indonesia does not have access to a large volume of Australian domestic traffic to feed into its services.Ã¢â¬~

Qantas budget outfit Jetstar will now be the only airline flying the route.

Soeparyono said in times of economic challenge, it was essential that aircraft were deployed on the routes that provided the best return.

Ã¢â¬ÅâœIt is unfortunate that, at the present time, the Darwin-Bali route is not providing the best return.Ã¢â¬~

Two flights will remain in operation Ã¢â¬' departing Darwin on 08 and 18 May Ã¢â¬' to accommodate those visiting the Arafura Games.

Garuda said it would continue to review Darwin services.

Earlier this year, AirNorth cancelled its Darwin to Bali service, citing a flooded market after the introduction of Jetstar flights.