Kuwait Airways secures independent commercial license for Turkey operations
Branch Registration to reduce operational costs on Turkey routes
Kuwait Airways, the National Carrier, yesterday announced that it has concluded a year-long negotiation to obtain commercial licensing that will allow the airline to operate commercially independently of any Turkey representation company.
Based on operational and commercial requirements, Kuwait Airways Marketing and Sales department has decided to proceed with branch registration in Istanbul to enable Kuwait national flag carrier to operate as a commercial airline independently in Turkey without being represented by any local company .
Since 2006, ACM (Air charter Market) was the company representing Kuwait Airways’ commercial activities and interests, in Turkey. This new commercial deal means that all aviation-related government transactions and communications with airport authorities can be done directly . As part of compliance of official formalities and detailed deliberations application to the Trade Registry & Istanbul Chamber of Commerce has been made in order to facilitate Kuwait Airways Istanbul Branch registration completion which successfully, followed by Registration with the Tax Office and application for obtaining Tax ID Number after physical visit from the Tax Office
The immediate impact of obtaining commercial license will mean that Kuwait Airways :
1- Claim for VAT refund for all operational expensed in Turkey .
2- The capability to run sales activity independently of General sales agent .
3- The capability to operate to major airports and cities in Turkey .
4- Termination of contract with local representative company saving the consequent cost.
5- The capability of termination of General sales agent contract and self-handling .
Kuwait Airways’ new commercial license will also allow the national carrier to run and manage independent offices across.
Commenting on the new deal, Kuwait Airways’ Assistant-Director Marketing & Sales, for Planning and passenger Sales, Shorouq Al Awwadi, said:
“Kuwait Airways is working continuously to enhance the travel experience of our passengers, enhance the effectiveness of our operations - through an integrated presence in the main markets - and to search for ways to reduce operating expenses and increase performance efficiency.”“This approach is at the core of our five-year transformation strategy and we will continue to work on reducing the number of intermediaries, across all touchpoints of our operations, so as to be able to communicate directly with local authorities and so directly enhance and manage the degree of quality control - at all stages of our operations.”
Kuwait Airways is currently witnessing impressive expansion along its existing Turkish routes and this is reflected in the increased frequencies that will be effective 30th October 2016, for summer and winter schedule by 10 frequency per week with different aircraft type.
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