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Niigata - Japan’s next airport for privatisation edges closer to a deal

Analysis

The Japanese airport privatisation programme initiated by the Infrastructure, Transport and Tourism Ministry over a decade ago was progressing nicely until the coronavirus pandemic, which slowed it down without stopping it entirely.

Now it looks set to pick up speed again with the Niigata Prefecture aiming to make a final decision on whether or not to proceed in Nov-2022. The likelihood is that it will, because the programme can be judged to have been a success so far and because Niigata, while being only Japan's 24th largest city, is underserved by air transport.

What is of equal interest is whether or not MLIT's critical twin aims of increasing the number of LCCs and of their passengers, and increasing tourism, can be achieved at Niigata.

In the first case it can, but greater tourist numbers won't flow automatically from a privatisation.

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