Colombia's aviation market poised for more rapid growth in 2013, led by VivaColombia, Avianca & LAN

Colombia recorded 15% growth in domestic passenger traffic in 2012 and should see more double-digit growth in 2013 driven partially by expansion at low-cost start-up VivaColombia. The Colombian international market also grew by 13% in 2012 and should see more rapid growth in 2013 driven partially by expansion at LAN Colombia.

Colombia's strong economy and growing middle class population provide favourable market conditions. The rise in Colombia's LCC penetration rate, which has always been significantly lower than Latin America's other two major markets, is also stimulating demand as VivaAerobus brings low fares to more domestic routes. But competition in Colombia is intense, making it difficult to achieve profitability in the domestic market.