An aviation industry insider says there are signs international travel from New Zealand is about to get much more expensive. Photo: RNZ / Rebekah Parsons-King
International flights could be especially pricey next year due to capacity problems, an aviation expert says.
Hawaiian Airlines is to suspend its services in New Zealand from April to November next year because the routes are not profitable enough, Checkpoint heard yesterday.
But aviation industry commentator Irene King says capacity issues across the industry could push other airlines to do the same.
"Less capacity means higher prices. It's as simple as that," King said.
"Air New Zealand is having to pull back capacity...The demand is still very strong.
"My view is that it's going to become extraordinarily expensive."
Board of Airlines Representatives executive officer Cath O'Brien told Checkpoint that Air New Zealand was struggling to meet demand and Hawaiian Airlines had announced it would suspend all flights during next year's winter season.
Hawaiian Airlines normally flies three times a week between New Zealand and Honolulu.
It was not unusual for airlines to temporarily suspend their services in and out of New Zealand, O'Brien said.
"New Zealand is a small market, geographically isolated from the world and that is always our biggest challenge. So we have to work really hard to attract airlines to come here because we need to feed off that other larger market," she said.
Airlines around the world were facing similar problems, O'Brien said.
Demand for US-bound routes was being affected by the strong greenback.
"New Zealanders will look at the US destination and they will think twice… I think [New Zealand dollars to US dollars are] something like 58 cents today. And so, you know, there was a time when that was 80 cents and it is a totally different thing."
