Page 10 - LUA July - August 2023 Magterz and Online
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INDUSTRY REPORT



         collaborative approach, promote intra-                                 On the routes of automation and
         African market liberalisation through                               digitalisation, airlines operating in Africa
         the Single African Air Transport Market                             have started partnering with companies for
         (SAATM), accelerate the acceptance                                  faster and smoother processes with the help
         of current retailing standards and the                              of digitalisation.
         deployment of secure, effective, and                                   Etihad Cargo has joined the AI space
         cost-effective financial services, assist                           with the debut of an innovative AI-powered
         Africa's aviation sector in meeting the                             solution to change airfreight operations
         "Net Zero by 2050" emissions objectives                             and increase cargo capacity on flights. The
         and promote aviation as a career path to   As growth happens,       deployment of AI capabilities will allow
         ensure a steady supply of diverse talent                            the carrier to increase cargo volumes
         ready to meet future industry needs.     the ground handling        by optimizing capacity on every flight
           “The tasks for Focus Africa are not new.   industry must be       throughout its network.
         Work is already underway as part of the   prepared to handle           Ethiopian Cargo and cargo.one formed
         work of IATA and other stakeholders in                              a partnership in May this year to provide
         Africa. But after the financial trauma that the   emerging trends from   the Ethiopian national carrier's capabilities
         pandemic brought to African aviation, we are   airlines that want lower   for fast booking on the air cargo booking
         at a unique time of rebuilding. By launching   handling costs, self-  marketplace. cargo.one will revolutionise
         Focus Africa now, we can ensure that the                            freight forwarders' access to Ethiopian
         recovery from Covid-19 moves aviation to an   handling, and going   Cargo services and acquire cargo.one's
         even better place than we were in 2019,” said   green initiatives that   extensive digital sales skills to enhance and
         Al Awadhi, IATA Regional Vice President for   require GSE that use   accelerate its digitalisation journey.
         Africa and the Middle East.
           “Africa accounts for 18% of the global   solar or fossil fuels.   BALANCE BETWEEN HIGH
         population, but just 2.1% of air transport         JOHN NALIANYA    QUALITY AND LOW PRICE
         activities (combined cargo and passenger).            KENYA AIRWAYS  According to AFRAA, ground handling
         Closing that gap, so that Africa can benefit                        standards at African airports vary widely,
         from the connectivity, jobs and growth that                         owing in part to a lack of or poor inspection
         aviation enables, is what Focus Africa is all   Apart from the recovery, the continent   by competent authorities. Similarly, many
         about,” said Willie Walsh, IATA’s Director   is moving forward with new alliances and   airports' infrastructure and facilities for
         General in an IATA report.        increased cargo capacity in many different   processing passengers/cargo are poor,
                                           parts of Africa.                  antiquated, or restricted. As a result, many
         RECOVERING FROM                     Qatar Airways Cargo began twice-  airports have inadequate quality standards
         COVID-19                          weekly flights from Doha to Kigali in   while charging exorbitant handling costs.
         According to IATA, Africa is in the   March, with each aircraft carrying up to   African airports have some of the
         process of recovering from the Covid-19   100 tonnes of freight. The first route was   highest handling charges and taxes in the
         pandemic. Air cargo is up by 31.4% from   inaugurated between Kigali and Lagos (four   world. We asked industry experts how
         last year, while air travel is up 93% from   times per week).       to balance great handling quality with a
         last year. The full recovery of air travel is   dnata began ground handling services   low price.
         projected in 2024. The African ground   at ZNZ's new international terminal (T3)   “Clearly defining airport standards
         handling market has improved in the   with partners Emirates Leisure Retail and   that need to be adhered to by ground
         previous year and appears to be on the   SEGAP (a joint venture between Egis and   handlers. Frequent inspections and audits
         mend, with a full recovery projected in the   AIIM) in 2022. Over $10 million has been   by the airport operator and other industry
         next months. But there are a few challenges   invested by dnata, Emirates Leisure Retail,   players. ISAGO is one such platform that
         that the continent is still facing!  and SEGAP, which has resulted in the   can be adopted as a uniform standard of
           “Unlike other parts of the world where   creation of 500 local employees.  accreditation that authorities need to use
         manpower loss is the biggest challenge,   Airports Company South Africa   as a benchmark. Avoiding government
         Africa’s challenges are different. Some   (ACSA) has granted Menzies Aviation a   interference on pricing. The unfortunate
         equipment was parked for a long time   five-year contract to offer ground handling   part is that the most priced monopolistic
         and required major overhauls for it to   services at nine South African airports.   ground handlers have the worst quality
         be at peak performance. Covid-19 had a   O.R. Tambo International Airport, Cape   of service.  Investing in manpower to
         positive opportunity in increased cargo   Town International Airport, King Shaka   provide quality customer service,”
         services to transport essential medical   International Airport, Dawid Stuurman   said Nalianya.
         supplies and food across the globe; this   International Airport, Bram Fischer   The high cost of ground services and
         was a temporary reprieve to the ground   International Airport, George Airport,   taxes arises due to a lack of competition as
         handling agencies (GHAs) who had to   Kimberley Airport, King Phalo Airport,   the facilities are managed by the national
         handle cargo or freighter aircraft at the   and Upington International Airport have all   carrier or a state-owned organisation. A
         time,” said Nalianya.             granted Menzies operating licenses.   combination of ‘smart’ infrastructure is

       8 LUA                                                                                   JULY - AUGUST 2023
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