The Salvadorian Start-up

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SAN SALVADOR, El Salvador–For decades the airfares between the Central American capitals and most important cities have been as expensive or even more than a ticket to Miami, New York or Los Angeles. The Central American airlines of the 1970s like Aviateca, TACA International Airlines, SAHSA, TAN, LANICA, Aeronica, LACSA and COPA had almost an understanding of charging the same fares. In the 1990s when TACA International Airlines purchased the ill-managed Aviateca, SAHSA and LACSA, its merged consortium knowned as GRUPO TACA practically monopolized the intra-Central American market. Fares from San Salvador to Panama City could be as high as $500.00 and fares from San Jose to Guatemala City could be as high as $400.00. In 2009 when TACA Airlines and Avianca announced the merger between the two carriers, it was clear that the monopolistic practices of  the Central American market were going to be extended way beyond Colombia. In 2013 a group of entrepeneurs in El Salvador announced the creation of the first Low Cost Carrier (LCC) in the region under the name of VECA (Vuelos Economicos Centro Americanos). The airline is expected to operate from Comalapa International Airport (45 minutes away from San Salvador) to the capitals of Central America and important cities like San Pedro-Sula in Honduras and Liberia in Costa Rica. The airline will operate modern Airbus A-319s and will break the supreme monopolistic hold of both Avianca (the former TACA Airlines) and COPA Airlines, both carriers members of Star Alliance. In cities of the United States with high density Salvadorian population such as Los Angeles, Washington, New York and Houston the news of the Salvadorian start-up has been welcomed with enthusiasm. What is not clear yet is if VECA Airlines will ever spread its wings from El Salvador to the U.S. The airline is expected to start services in the first quarter of 2014.

VECA Airlines modern logo uses the colours of the Salvadoran flag.
VECA Airlines modern logo uses the colours of the Salvadorian flag.

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