Talking Airbus engine issues, easy visas and ground handling shortages with Julius Neri, CEO, Cebu Airport

Julius Neri Jr, Mactan-Cebu International Airport Authority General Manager and CEO spoke to International Airport Review at Routes Asia 2024 in Langkawi, Malaysia.

Julius explained that in this recovery phase post-pandemic, their domestic passenger numbers are currently at 90% of pre-COVID numbers. He said that they would be at 100% if it were not for the Airbus neo engine issues which means that their biggest airline in terms of fleet, Cebu Pacific, has 10 aircraft grounded which they believe will raise to 20 by the end of the year with no end in sight. Cebu Pacific has been scrambling to lease aircraft but it has not been able to supply the demand.

International passenger numbers are at 70% due to only having one airline operating to China, whereas before the pandemic, there were 6/7 carriers flying to China which was their second biggest market after Korea. They also used to fly to 4/5 cities in Japan whereas now it is only Narita and there challenge there is the lack of ground handlers in Japan which is constraining capacity.

When talking about his catchment area, Julius said that Cebu passengers have a desire to fly direct and to destinations with easy-to-obtain visas. The CEO went on to say that he is keeping an eye on the Indian market which has a rising middle class and has a big wedding travel market. However, it is difficult for Indians to get a visa for the Philippines as it requires them to make a personal appearance at the Filipino Embassy or Consulate but they are working on this with their government and department of foreign affairs.

Watch this exclusive interview with the Cebu Airport CEO now!