China's civil aviation sector succeeded in turning losses into profits in 1999 as a result of painstaking efforts, Liu Jianfeng, director of the General Administration of Civil Aviation, said in Beijing January 20.

The sector earned 79.7 billion yuan last year, up 10.2 percent on an annual basis, with a profit of 790 million yuan, Liu disclosed at sector's ongoing national work conference.

The sector incurred losses of 2.4 billion yuan in 1998 due to the Asian financial crisis and irrational domestic price competition, as well as redundant transportation capability, the official said.

Liu attributed the 1999 good performance mainly to the administration's effective measures such as stopping the price war, standardizing plane ticket agencies, optimizing air routes and reducing unnecessary flights.

Official statistics show that the industry's gross transport turnover reached 10.5 billion ton-kilometers last year, a growth of 13.1 percent from 1998. Airlines nationwide carried 60.6 million persons and 1.69 million tons of cargoes and mails in 1999, up 5.3 percent and 20.8 percent, respectively.

Transportation on international air routes and routes connecting inland areas with Hong Kong and Macao maintained a robust growth last year, while domestic passenger air transport also managed to emerge from the red, Liu said.

The sector's fixed asset investment stood at 19.7 billion yuan last year, with which 13 airport terminal buildings and expansion projects completed.

The senior civil aviation official also predicted that the gross transport turnover in 2000 will reach 11.5 billion ton-kilometers, an annual increase of 9.3 percent. The volumes of passenger and cargo are expected to grow 5.6 percent and 11.1 percent to 64 million persons and 1.88 million tons, respectively.

This year, the sector also will invest 19 billion yuan in infrastructure construction, according to Liu.

The administration will continue to control the number of operational aircraft this year, including delaying the delivery of ordered new planes and selling or renting redundant planes, as well as turning old passenger planes into cargo carriers, he said.(Xinhua)