Some of the five airlines operating summer flights to Malta for the first time this year are already considering winter operations, encouraged by the excellent uptake of bookings, according to Malta International Airport chief executive officer Markus Klaushofer.

“To add five new airlines in a year is very good for a small country like Malta. It is a mixture of hard work and luck,” he admitted.

“But yes, our marketing support and incentives have been very successful.”

He noted that airport charges have been static for the past seven years – which means that they are cheaper in real terms. And for winter and the shoulder months, MIA waived landing charges completely and just kept passenger charges.

The 4.1 per cent increase in passengers made up for the drop in aviation revenue, and this is a trend that MIA believes is the key to the future.

“Our aviation charges are set – although we can offer incentives to encourage airlines to come here. This is why we have to grow non-aviation revenue through passenger volume.

“Malta still offers very good value for money, which is just as well as Europeans are very price sensitive – but there is definitely still room to grow. We do not need millions from each destination, just tens of thousands a year to make a real difference,” he said.

Mr Klaushofer believes that Malta can exploit the fact that more people are taking short breaks – and that the key is events like Isle of MTV and festivals.

“People would come if there was something going on – it is not enough to rely on cheap prices. And if there is demand, then the airlines would react to it and maintain their flights even in the shoulder and winter months. “And I firmly believe that we need to promote Valletta as a brand in its own right. It is the ideal city break for spring and autumn. We need to work on that,” he said.

Valletta is also being promoted indirectly through cruise passengers: industry surveys indicated that six per cent of them return to Malta for a land-based holiday.

Mr Klaushofer encouraged Valletta Cruise Port, in which MIA has a 10 per cent shareholding, to do all it could to drive sales. The Sunday Times of Malta reported last week that there was a lack of strategic focus within the board of directors, which was hampering efforts to replace the thousands of passengers lost when MSC and Aida drastically reduced their calls.

“We understand that Joe Zammit Tabona will return as chairman once he completes his term as High Commissioner to the UK at the end of next month. He is a very respected businessman and the right man for the job. We have very high expectations and hopes for him. He has our full support,” he said.

Apart from airport landing charges and passenger charges, MIA also got €14.1 million in revenue from its retailing and property segment, which includes Skyparks and the outlets at the airport terminal.

Skyparks has risen to 86 per cent occupancy from the 80 per cent at opening, clearly a success for this business centre.

When it comes to retailing, MIA consistently wins awards, but Mr Klaushofer was adamant that the airport would not get carried away.

“We don’t want to overdo it. Even though there is considerable demand for space within the airport, you need to keep a good mix: people do not spend more merely because there are more outlets. MIA has a revenue-sharing agreement with the outlets so we have a vested interest in ensuring good quality and service. I would intervene personally if I felt that outlets were failing on any aspect. After all, people would associate the price and service with the airport and not necessarily with the outlet.”

At the end though, the revenue derived from the retailing side is also down to the number of passengers, and while the number of tourists can grow, to change the numbers significantly MIA would need transfer passengers, which in some destinations are as many as 80 per cent of the total.

“MIA could easily be a hub airport for north to south connections, and more so for east to west. For example, if you are travelling across the Mediterranean, you have to go via a northern airport!” he said.

The idea of Malta as a hub is hardly new. After all, Malta has the geographical location, two runways and an airport capable of handling 25 million passengers a year. The only thing missing is the airline. Could Air Malta finally fulfil the role for which it had once been earmarked?

“I strongly believe that Air Malta could have a chance once the restructuring is complete, if we invest in quality and network planning and so on. All the ingredients are there. You know... every business centre has a good hub. The Government needs a strong focus but if it really works towards this, I really believe that this could be a strong opportunity.”