In an effort to remain competitive and grow market shares, the Greater Toronto Airports Authority will effective January 2009 slash landing fees for cargo operators by 25 per cent.

The move will follow a three per cent cut in landing fees across the board announced in January this year.

"We've also embarked upon a three-pronged marketing development initiative aimed at boosting our global competitiveness while improving our corporate sustainability," Lloyd McCoomb, the authority's president and CEO, told members of the Mississauga Board of Trade last week.

More fee reductions are also in the pipeline, aimed at seeking to partly offset high jet fuel prices carriers are facing, while seeking to boost the airport's own revenues through projected economies of scale, he said.

GTAA is the operator of Canada's busiest airport, Toronto's Pearson International, which accounts for a third of all airport movements in the country. Despite being among the few airport jurisdictions in the world that is heavily taxed and that has to pay a rent, and despite being recently named as being among the most uncompetitive airports worldwide— a charge the airport operator has disputed— the airport generated revenues of $26.4 billion.

Aircraft movements last year surged 6 per cent to 418,000, while passengers going through its portals rose 1.5 per cent to 31.5 million. More significant is perhaps the overall satisfaction ratings reported by airport users: "From 2004 to 2007, we moved from the bottom 25 per cent to the top 25," McCoomb said.

He added the airport is a significant resource for residents in Mississauga, the wider GTA, offering as it does 185,000 jobs. It also offers substantial funds to the public purse.

The airport has three dedicated cargo aprons totalling 2.5 million square feet with 1.2 million square feet of on-airport cargo handling warehouses. It also has 250 acres available for overall future development, including cargo.

Cargo remains a focus area, McCoomb said: "I see a huge opportunity in the overland transport currently being trucked to Chicago and New York. Our slashing of cargo landing fees should enable freight forwarders in Mississauga and the wider region to tap into our facililities."

The airport has also embarked upon a strong North American gateway development initiative, targeting 28 non-stop destinations in Canada, 48 in the U.S., and 106 internationally.

"This will stimulate economic growth and promote tourism; and on this score our joint marketing with Air Canada is emphasizing Toronto might be a good connection point for passengers from the U.S. flying to European and Asian destinations," he added.

Going forward, McCoomb noted there is also a strong commercial focus within the complex, in terms of added restaurant and duty free facilities. "We're also working with the TTC and Mississauga Transit to improve connections for our passengers," he said.

At present some 76 airlines fly through the airport, with recent additions being Jet Airways, Emirates airlines and Icelandair, while others such as KLM, Lufthansa and Air China have added capacities on this route.

The event was presided over by Jake Dheer, chairman, MBoT, as part of the board's ongoing executive speaker series.

The board leads a business mission to India from October 17-29, 2008, with cities on the itinerary including Bangalore, Chennai, Mumbai and New Delhi.