KUALA LUMPUR: Pos Malaysia Bhd's aviation unit Pos Aviation Sdn Bhd is in talks with Malaysia Airlines Bhd on how both companies could strengthen their in-flight catering partnership.

Pos Malaysia group chief executive officer, Charles Brewer said the discussions were on how Pos Aviation could likely support the national carrier in supplying more in-flight meals on its domestic and international flights.

"We've been talking to them very regularly and perhaps even a little bit more so of late around how we can expand capacity and handle more of their volume," he told the New Straits Times in an interview recently.

However, Brewer said Pos Aviation might not produce more in-flight meals in the near future as its kitchens are reaching maximum capacity.

Pos Aviation is producing 11,000 meals a day at its 59,000 sqft kitchen in Sepang for a number of local and foreign airlines that fly out of Kuala Lumpur International Airport (KLIA).

Malaysia Airlines takes the lion's share of the 11,00 meals although the exact figure could not be shared by Brewer due to the confidentiality of the companies' agreement.

Commenting on the possibility of Pos Aviation replacing Brahim's Holdings Bhd as Malaysia Airlines' major in-flight catering partner, Brewer said it is unlikely due to the capacity of its kitchens.

"Right now, we're kind of at max (capacity), so probably (we) wouldn't grow too significant from where we are. Unlikely that they (Malaysia Airlines) would want to and unlikely we would want to just from a capacity perspective."

"Our kitchens have an X amount of capacity. We need to make sure that we don't over commit because with in-flight catering, customer feedback is king. We want to make sure the quality of what we provide is the best," he said.

Brewer added that Pos Aviation focuses on long-term partnerships with the right customers and provides high quality in-flight meals instead of rapidly doubling the volume of its kitchens' productions while sacrificing quality.

Currently, there are three methods for airlines in Malaysia to procure in-flight meals - either by doing it in-house or engage with third party vendors such as Pos Aviation of Brahim's subsidiary, Brahim's Food Services Sdn Bhd (BFS).

The contract between Malaysia Airlines and BFS is due to end today (June 30). Both companies have not announced any plans to continue or end their 26-year partnership.

The New Straits Times reported last week that the Finance Ministry (MoF) had stepped in as a mediator to mend the broken relationship between Malaysia Airlines and BFS.

The MoF had asked both parties to extend their contract for another two months after June 30 to negotiate on a new agreement, particularly on the termination of convenience clause.

However, sources told the NST that the extension is being deliberated by Malaysia Airlines and BFS and will need an approval from the board of directors of each company.

On June 17, Malaysia Airlines' parent company, Malaysia Aviation Group said all in-flight services provided by BFS will end on 30 June.

The group said it is looking to set up its own in-house F&B services within its subsidiaries in the future.

The NST previously reported that Malaysia Airlines would handle its own in-flight catering out of KLIA Terminal 1 using one of its sister companies, MAS Awana, if the carrier and BFS failed to reach an agreement by June 30.

MAS Awana is reportedly 60 per cent owned by MAG and 40 per cent held by a Sarawakian investor.

Formerly MAS Catering (Sarawak) Sdn Bhd, the company has been catering in-flight meals for Malaysia Airlines, MASwings and foreign carriers at Kota Kinabalu International Airport in Sabah.

https://www.nst.com.my/business/2023/06/925663/pos-aviation-talks-malaysian-airlines-flight-catering