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Cyprus is moving forward with plans to establish a cargo hub and aircraft maintenance services at Larnaca Airport, aiming to boost trade, connectivity, and economic activity, officials said.
According to Kathimerini's Dorita Yiannakou, the Ministry of Transport, Communications, and Works is drafting a strategic action plan focused on three priorities: expanding airport services, developing commercial operations, and preparing for the next airport concession. A consulting firm will be hired to produce a master plan outlining cargo facilities, potential locations, and aircraft maintenance operations. The study is expected to be completed by 2026.
The proposed cargo hub would provide modern storage, customs-equipped areas, refrigerated facilities for perishable goods, and transshipment zones, supporting imports and exports and positioning Cyprus as a regional trade center. Local business groups have emphasized the economic and operational benefits of the project.
Airport management is also under review. The current 25-year concession with Hermes Airports, operator of Larnaca and Paphos airports, expires in 2032, with a transition period anticipated around 2027. The ministry is preparing documentation for the next tender to align with the planned infrastructure and commercial strategy.
Transport Minister Alexis Vafeiadis highlighted that aircraft maintenance services (MRO) could enhance Cyprus’s connectivity and generate significant revenue. Hermes Airports has supported related investment initiatives but cited limited investor interest and concerns about concession duration as challenges.
