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Viewing cable 07RIGA649, AMBITIOUS PLANS FOR RIGA AIRPORT; AMERICAN INVESTMENT

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Reference ID Created Released Classification Origin
07RIGA649 2007-08-30 08:22 2011-08-25 00:00 UNCLASSIFIED Embassy Riga
VZCZCXYZ0005
RR RUEHWEB

DE RUEHRA #0649 2420822
ZNR UUUUU ZZH
R 300822Z AUG 07
FM AMEMBASSY RIGA
TO RUEHC/SECSTATE WASHDC 4311
INFO RUCPDC/USDOC WASHDC
RUEHSM/AMEMBASSY STOCKHOLM 1084
RUEHVL/AMEMBASSY VILNIUS 3901
RUEHTL/AMEMBASSY TALLINN 4109
UNCLAS RIGA 000649 
 
SIPDIS 
 
SIPDIS 
 
STATE FOR EB/CBA 
 
STOCKHOLM FOR FCS 
 
E.O. 12958: N/A 
TAGS: EAIR BTIO ECON LG
SUBJECT: AMBITIOUS PLANS FOR RIGA AIRPORT; AMERICAN INVESTMENT 
DESIRED 
 
 
1. Summary: Riga airport has an ambitious plan to expand to handle 
as many as 15 million passengers a year by 2020.  The head of Riga 
airport is seriously interested in having American firms bid on many 
of the projects related to the airport's expansion.  There are also 
plans to increase the number of direct flights to the US, primarily 
through New York.  While the plans are grandiose and may not be 
fully realized, we believe that there are a number of opportunities 
for American businesses in the project.  End Summary. 
 
2. Pol/econ chief was recently briefed by Krisjanis Peters, head of 
the Riga International Airport, on the airport's newly adopted 
expansion plans.  Riga expects to handle 3 million passengers this 
year on the 50 direct routes that operate from Riga.  Currently, the 
two largest carriers are AirBaltic (jointly owned by the GOL and 
Scandinavian Airlines) and Ryan Air. 
 
3. The first phase of expansion is already under way and will 
include a new, expanded check-in area, expansion of the runway from 
2.3 km to 3.2 km, and addition of new long haul routes -- including 
AirBaltic flights to New York and Beijing, and charter flights to 
Bangkok in winter. 
 
4. By 2012, Peters said, the airport expects to be able to handle 10 
million passengers a year with a significantly reconfigured gate and 
taxiway system, new air traffic control facilities, and development 
of a business park and hotels on the airport premises.  There is 
also the possibility of a convention center, although Peters said 
that was being considered separately from the main development 
plans.  Peters also outlined plans to have a railway station to 
carry passengers to Riga or the seaside resort of Jurmala.  The 
airport was also discussing with the city of Riga the possibility of 
a light rail or monorail system from the airport to the city center. 
 By 2020 Peters believes the airport will be able to accommodate 15 
million passengers a year and will have a second runway. 
 
5. Peters stressed repeatedly in the briefing that he would very 
much welcome American investment in the airport's development.  He 
identified construction, hotel management, and the possible 
convention center as particular areas of interest.  He also noted 
that the airport would be commissioning a new master plan and would 
like to see American companies bid on the tender when it goes out in 
the fall. 
 
6. Comment: This is a very extravagant plan for Riga's airport -- 
mainly the work of transport minister Ainars Slesers.  Nevertheless, 
we believe that there are opportunities for growth as more people 
discover Riga and Latvia as tourist and business destinations.  With 
AirBaltic and RyanAir providing low cost flights to and through 
Riga, passenger traffic through the airport is growing at roughly 30 
- 40 percent per annum.  .  We believe Peters is sincere in his 
desire for American businesses to bid on projects.  Planning, hotel 
management, and architectural design are probably the areas of 
greatest likelihood of success for US-based firms. 
 
SELDOWITZ