FlightCom – July 2019

27 FlightCom Magazine

Airlines

text: RaphaeLkuuchi

A

DDRESSING the annual

African airlines Convention

in Mauritius, IATA’s

Raphael Kuuchi called for

greater cooperation between

governments and role players in the African

airline industry. “To enable aviation to be an

even bigger driver of prosperity across the

continent, we must work together and with

governments,” Kuuchi said.

Kuuchi went on to say: The theme of the

Convention ‘Winning Together’ is apt for

a conference that brings together airlines,

airports, manufacturers and suppliers of

components and services. We can only

win together. In fact, the success of any

aviation business depends significantly on

partnerships, networks and collaboration.

Aviation in Africa is experiencing

unprecedented growth and therefore

together operators and service providers

will profit from the growth.

In my view, the theme “Winning

Together” is wider than attaining success

and sustainability. We want aviation to

catalyse growth and deliver socio-economic

development.

• To improve competitiveness,


• To develop effective infrastructure,


• To modernize the regulatory
  framework with a focus on global
  standards


• To ensure a well-trained and
  diverse workforce

COMPETITIVENESS

The global airline industry is enjoying

good times. The average profit per

passenger is $7.45. Air transport is yielding

a return greater than cost of capital. It is still

however, a tough business as the airlines

in Africa, on average, lose $1.55 for every

passenger carried.

• There are many reasons for the
  poor performance of African
  airlines. Africa is an expensive
  place for airlines to do business.


• Jet fuel costs are 35% higher in
  than the rest of the world.


• Aircraft departure fees are 30%
  above the global average.


• And taxes and fees are among the
  highest in the world
  There is no shortage of examples
  illustrating the heavy burden that
  governments and service providers exert on
  aviation:


• In Niger $80 from each ticket is
  paid to the government in fees
  taxes and charges


• Cameroon recently added a $37

Aviation supports $55.8 billion of economic activity and 6.2 million jobs

in Africa. While this is impressive, we are only scratching the surface of

what aviation can contribute to building Africa’s future.

CHALLENGES, OBSTACLES

& HANDBRAKES

ON AIRLINE INDUSTRY AND ECONOMIC

DEVELOPMENT IN AFRICA - IATA

Raphael Kuuchi - IATA plentipotentiary.