Historically a heavily concentrated environment, the Brazilian aviation market has suffered a setback this year with the crisis of Avianca, which is currently in administration. Only three major airlines are left in Brazil: Latam, Gol, and Azul. The former two control alone 75 percent of the market.
In recent years, the Brazilian government has taken steps to try and attract new airlines and increase competition in the sector. Of these measures, specialists believe the most important is the permission for companies to charge fees for checked luggage.
Until 2017, airlines were obliged to transport one piece of luggage weighing up to 23 kilograms without charging any baggage fees. That year, the National Civil Aviation Agency (Anac)—the regulatory agency linked to the Infrastructure Ministry—reduced this free allowance to a 10 kilos piece of hand luggage....
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