The domestic aviation industry has expressed concerns over the increased competition which will be brought in by the Government’s decision to allow international airlines to operate domestic flights. A senior industry professional, on condition of anonymity, told The Sunday Morning Business that the move would certainly impact local aviation companies, particularly because foreign companies would be allowed to fly Batticaloa-Colombo and Mattala-Colombo routes. “Most of our traffic is from Batticaloa, mainly because of the tourists who visit Pasikuda. To a lesser extent, even Mattala is important as we have significant business on that route,” the industry professional noted. The Batticaloa season is from July to October, and the occupancy during this period is high while during the rest of the year, it is quite low. Therefore, it is as of yet unclear whether the international companies would fly to Batticaloa all year round. As for Mattala, the official believes that air traffic may reduce with the completion of the Southern Expressway from Matara to Hambantota via Mattala this month, in which case, most passengers may opt for the cheaper option of road travel on the expressway. According to the official, the international aviation companies are likely to operate bigger aircraft on the domestic routes at lower prices. However, local companies would not lose all business as their smaller aircraft would fit into smaller landing areas which are too small for international companies’ bigger aircraft. The Cabinet of Ministers last week granted approval to the proposal to grant license for foreign airlines to operate domestic flights, with a view of revitalising the domestic aviation industry. The proposal was submitted by Minister of Transport and Civil Aviation Arjuna Ranatunga. The license will be granted to airlines from countries with which Sri Lanka has bilateral air service agreements and is intended to boost the domestic airlines services. The foreign airlines that show interest in operating domestic flights in the country will be able to operate from the airports in Colombo, Ratmalana, Batticaloa, Jaffna, and Mattala. The Sri Lanka’s Civil Aviation Authority will issue one year temporary operating licenses to foreign airlines interested in flying within Sri Lanka. All attempts made to contact the Civil Aviation Authority to obtain their views on the concerns expressed by the local industry failed. About 14 domestic aviation companies operate domestic flights at the moment and over 90% of their passengers are international tourists. According to the National Civil Aviation Policy prepared by the Ministry of National Policies, Economic Affairs, Resettlement and Rehabilitation, Northern Province Development, and Youth Affairs in 2018, domestic air travel demand is predicted to increase to 337,000 persons in 2035 from the current number of 137,000 persons.