Sep 11, 2012

Indonesian airline firm orders 20 commercial planes from Brazilian plane maker

JAKARTA, Sept. 11 (Xinhua) -- A senior official of Indonesia's Sriwijaya Air said on Tuesday that it will use commercial planes produced by Brazilian plane maker Embraer for its subsidiary firm serving full-service flight, local media reported.

Sriwijaya Air President Director Chandra Lie said that the firm has allocated 9 trillion rupiah (about 940.1 million U.S. dollars) to acquire 20 Embraer commercial planes for its would-be operated Nam Air, expecting initial delivery next year.

"The price of each plane is 50 million U.S. dollars," he said here, adding that the firm has sent crews to undergo training programs in Brazil.

Chandra said that Nam Air is projected to serve domestic flights to cities with short landing strips. He added that Embraer planes fit to the need as the plane is capable to take off and land in short runways. "They can take off and land in runways as far as 1,450 meters," he was quoted by local media as saying.

Indonesia has the largest growth airline business in the region as it grows 15 percent per year. The largest economy in Southeast Asia region is now served by 54 domestic airlines that operate more than 700 planes.

Many of those airlines ordered to buy new planes from domestic and foreign producers to strengthen their fleets in anticipating of the growing air transport needs among people living in the country that has demonstrated excellent economic growth in the last few years.