BANGKOK, Jan 27: Senior aviation industry executives say airlines in Asia Pacific region are headed to robust growth in 2007.Lower fuel prices and growing China market are boons for the industry.

International Air Transport Association forecast passenger flows across Asia-Pacific region will see fastest growth in the world over next few years.

IATA says booming Asian economies and growing demand for travel from region's expanding middle class give market strong potential. It expects international passenger traffic in Asia to grow by average annual rate of 5.7 per cent between 2006 and 2010.

China is world's fastest growing air travel market. In year 2006, 160 million passengers took to the air in China - up 15 per cent from 2005. High growth is expected to continue as the country prepares to hold 2008 Olympics. Airline executives are confident passenger growth will continue to be strong. They are less certain, however, about direction for fuel prices.

They say lower oil prices — now close to $50 a barrel — have eased cost pressures for carriers, after prices soared above $70 last year. But it is not clear if prices will stay down. One factor aiding boom has been wave of new low-cost carriers into Asia-Pacific market. Full service carriers focus on major trunk routes while low-cost airlines are opening new regional routes.

These no-frills carriers offer low ticket prices but typically charge passengers to check luggage and for other services. Their low prices mean more and more people in Asia can afford to fly.Many governments in developing economies are struggling to upgrade their aviation safety systems to keep up with passenger growth.

Airport capacity in many countries is overstretched with terminals overloaded, long lines at check in and planes backed up in air waiting for space to land.

Despite potential pockets of turbulence, executives are confident forecasts for strong economic growth in most Asia-Pacific nations will translate into increasing air traffic.—PPI