The Israeli Tour Package Group, Kavei HuffSha, will establish a new Israeli airline.
The company, which has already owned a Greek airline Bluebird and Cyprus airline TU, focused on a new airline for short -distance flights to the destination within 4 to 5 hours from Israel.
The process of establishing a new airline is complicated, and it is likely that the license procedure with the Israeli Civil Aviation Bureau (CAA) will take at least 18 months to last six months.
If everything goes as planned, the company will consider leasing them by purchasing or dry aircraft. In the dry lease, the aircraft is rented without a crew, and the flight is operated by Israel.
The process is currently in the early stages, and Kavei HuffSha has not yet started a license process in CAA.
Limited as a European airline
Kavei HuFSHA owns two European airlines, but they are limited to business flights from Israel to Europe because they are Europe. With this restriction, they cannot expand their destinations outside the continent, such as Georgia or Dubai.
Air companies also take into account the possibility of expanding the Abraham Agreement and the days when the Israelites are allowed to fly to Saudi Arabia.
The restrictions on European airlines are due to the Israeli bilateral air agreement designed to protect Israeli airlines and limit the activities of foreign companies on routes directly competing with Israeli companies. These contracts also restrict the right to operate flights between countries other than their home countries.
For example, European airlines cannot operate direct flights from Israel to Asia or Africa, because their destinations are not part of their home country. The main purpose of restrictions is to maintain fair competition and prevent foreign companies from expanding the local market. advertisement
Hungarian airline Wizz Air operates a direct flight from Tel Aviv to Abu Dhabi. However, this is a company that has been registered and regulated by the UAE due to the structure of the subsidiary Wizz Air Abu Dhabi.
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The operation of Blue Bird and TUS has improved appetite
Cabay Hufsha, owned by Ami Cohen and Arnon Enchangrendar, is one of the largest companies in Israeli's tourism. The group has owned a Greek airline Blue Bird since 2016, and has obtained 33 % of the TUS of Cyprus Airlines in March 2024. Earlier this month, the acquisition of all TUS shares was completed. This group also owns a 90 -minute BLIK Tourism website.
For the past year, Kavei HuffSha has increased its own airline activities. Bluebird rose from 11th to sixth place from the viewpoint of market share at Benglion Airport, increasing the number of passengers transported by 2023 by 24 %. 。
In the past year, companies have been operating relatively continuously with Israel, but to avoid flights to Israel, a short stop following the recommendation of the European Aviation Safety Bureau (EASA) last September. Excluded. This recommendation led to a large wave of the cancellation that continued to the ceasefire at the end of November until the ceasefire. TUS was the first company that the Cyprus Aviation Bureau was added by Kavei Huffsha, then canceled, and then resumed its flight to Israel.
According to Ami Cohen, one of the owners of Kavei HuffSha, “When it is established, the new company will be operated with Blue Bird and TUS, which will continue regular business on a flight to Israel. It was the only foreign airline that has been proud of Bluebird and TU for the past year.
Is the Israel market ready for another airline?
Currently, there are four Israeli Airlines in Israel. Elual (including the subsidiary sander), ISRAIR, ARKIA, and AIR HAIFA. The latter started operations last year when the existence of a foreign airline in Israel was minimal.
Initially, Air Highfa could not operate a flight from Haifa's home airport due to the closed and war in the northern airspace. Currently, after a few months of operations, the company operates direct flights from Haifa Airport to Rarnaka, Athens and Airat.
The entry into the market of AIR HAIFA was good news for the northern residents, but the aviation industry is doubtful about its operation model. Probably, because it is the only operator at Haifa Airport, it is probably exactly the operation and development.
Unlike AIR HAIFA, new airlines operated by Ben Gurion Airport face the Starner competition with companies such as Sundor, Israir and Arkia.
The market source is skeptical that airlines focusing on destinations near the EU are very attractive, as the destinations that can be short -range flights from Israel are limited.
Possible destinations include Moldova, EU, Albania, the United Arab Emirates, Ethiopia, Kenya, and if the airspace of Oman is open, India and Sri Lanka are also included.
Countries such as Turkey, Egypt, and Morocco are in the flight range, so it is unlikely that a company in Israel will operate a flight in the near future for security reasons. However, if the company operates a model similar to ISRAIR as a tourist company that runs an airline, this will increase the feasibility of economic success.