Corona virus a major disruption to the aviation and travel industry

The Corona Virus that has so far claimed over 3, 300 lives and infected over 98, 000 others has caused an unprecedented disruption in the aviation and travel industry, The Kenya Association of Travel Agents Chairman Mr. Mohammed Wanyoike has said.

The virus, he said, has led to cancellation of flights and rescheduling of passenger travel in the recent months, therefore affecting business.

He was speaking during a press conference held at the KATA offices in Westlands on Wednesday where he pointed out that there has been a 6 percent decline in passenger bookings in February and 10 percent to date in March.

“We are expecting this number to continue to increase in the short term as travel restrictions come in to effect to key markets and destinations as witnessed to China, South Korea, Iran, Saudi Arabia, and Italy. Governments, corporates, NGO’s, traders and travellers in general are currently reconsidering non-essential travel globally, hence impacting the above inter-continental travel. Intra-Africa travel appears to remain stable. We anticipate the travel restrictions and advisories to be temporary measures to help contain the novel Covid-19,” he said.

He added, “We have also observed a cancellation of major conventions and events in major cities, leading to a major decline in passenger numbers and revenues for the Travel Agents in Kenya.”

He assured the public that the association will continue providing factual information and support to travellers as they keep monitoring the situation closely.

Travel agents, he further stated, are assessing the situation on a case by case basis and providing recommendations for either Re-routing the travel itinerary to an alternative destination or Re-booking to an alternative travel date. Travel Agents are also offering the option of cancellation of pre-booked travel arrangements.

KATA CEO Ms. Agnes Mucuha urged travellers to visit the KATA website for regular updates on the virus. “KATA has a close working relationship with airlines that ensures that we receive reliable, timely and factual information that is later disseminated to the traveller,” she said.

Mr Wanyoike further urged the public to ignore the numerous fake stories circulating on the social media platforms and instead engage directly with KATA certified travel agents for factual information and clarifications.

 

Tourism industry grows despite coronavirus

Kenya’s tourism industry is growing steadily after absorbing global shocks GDP growth projected at 5.5 per cent this year.

A latest report by the Institute of Chartered Accountants in England and Wales’ (ICAEW) shows the country’s economic outlook is moderately positive and the medium-term tourism prospects remain muscular despite the coronavirus outbreak. None of the suspected cases in Kenya tested positive.

“Kenya’s economic diversification strategies are increasingly buffering its economy from global shocks. More African countries are prioritising the promotion of tourism as part of this plan,” ICAEW regional director Michael Armstrong said.

The number of tourist arrivals in Kenya increased to 132,019 in December from 121,070 in November last year.

The East Africa region has maintained its status as the continent’s growth hots-pot in the first quarter of 2020. Output has slightly decelerated to six per cent, being kept stable by the fact that the region boasts some of the fastest-growing economies globally, the report stated.

Although the report is upbeat about the growth in the regional tourism sector, the coronavirus is bad news in the global tourism sector, including Kenya.

With the outbreak in Italy, many Italians are choosing not to visit Malindi, for example.

Last week, France which is the world-leading tourism destination, indicated that sector profits had declined by 30 to 40 per cent, attributed in large part to the coronavirus.

The virus has global tourism firmly in its grip with a major impact being felt across the Asian continent, where leisure and business travel contributed $884 billion to GDP, the latest data compiled by the World Travel and Tourism Council shows.

The global airline industry is also facing huge financial losses and its first traffic decline in more than a decade.

Globally there have been more than 94,000 cases and 3,220 deaths according to a Reuters tally.

(Edited by V. Graham)

Source: https://www.the-star.co.ke/business/2020-03-06-tourism-industry-grows-despite-coronavirus/

Young globetrotters

Whether it is to revel in the Caribbean’s charming weather, to hike in Macau, shopping expeditions in France or to party in Ibiza, for young Kenyans with money, the world is their oyster.

With few or no family responsibilities, their money is largely spent on adventure. They travel the world solo or in groups, and some have even started travel groups, with target destinations every year.

So, what is it like to travel as a millennial? How do they balance their careers with their propensity for travel?

Mina Reeve, 28

Mina has been to the UK, Netherlands, Thailand, France, Spain and to the United Arab Emirates. She has also been to Zimbabwe and Zambia. Thailand, where she stayed for two weeks, stood out for her, especially the food.

 “Street food is cheap. Getting around with canoes and scooters was fun. The architecture is delightful,” she says.

Mina plans her travels in advance, sometimes six or seven months before.

“Flight tickets are affordable if you book in advance. This allows me to pay for the ticket in instalments. I also pick connecting flights because they are cheaper,” she says.

For accommodation, she relies on various websites including Booking.com and Airbnb.

“I normally pack one bag because I’ll return with more luggage after shopping,” says Mina, who’s also a member of a local millennials tour group.

“Water sports, skydiving, sightseeing and shopping make up my schedule. I’m very adventurous, so anything sporty or adrenalin-inducing excites me,” she adds.

Travelling doesn’t get in the way of her young career. As a teacher (she teaches sports and health science at Braeburn School), I capitalise on school holidays. I must do one international tour every year,” she says. “I like to stay in nice places. My type of activities cost a lot of money. Dining, partying and shopping are particularly very costly,” she says.

On a tour, Mina normally spends between Sh150,000 and Sh200,000.

‘‘It sounds like a lot of money, but these are months-long savings,” she says.

Mina travels to learn about different cultures, to meet new people and for new ideas. “I am an opportunist, so I like to engage people and to grow my networks. Travelling is also liberating,” she says. Any trouble while travelling so far? None that she can think of, she says.

“I’ve been called Latina, Arab, Indian, African, Caucasian and even Asian.I don’t take racist comments seriously.”

When she is not flying half the world for adventure, Mina likes to lose herself in Lamu, Malindi, Diani, Mombasa, Samburu, Amboseli or Ngare Ndare.

Dismissing the notion that travelling is an expensive affair, she argues that it boils down to early planning.

“When the trip costs a lot of money, compensate by making the most of your stay in that country,” she says.

Emmanuel Kinara, 29

Emmanuel has been to hiking expeditions in Oman and Georgia and has been to the last three editions of the World Cup in South Africa, Brazil and Russia.

The list of countries he has visited is nearly inexhaustible. He has visited Qatar, UAE, Iran and Lebanon. He has also been to Ukraine, Poland, Belarus, Romania, Italy, France, Netherlands, Switzerland, Germany and the UK.

Visits to Brazil to watch the World Cup in 2014 and to Napoli in Italy that same year to attend a friend’s wedding are the most memorable tours for Emmanuel who work in Australia.

“I liked the relaxed atmosphere and weather. They have large open farmlands and vineyards. The food is also mind-blowing,” he says, adding that Brazil is pretty affordable.

Travelling to a country during a major sporting event is as convenient as it’s cheap. “Blending in is also easier because there are usually many travellers,’’ he says, adding that travelling to Norway to watch the Northern Lights is his ultimate travel goal.

So, how does he plan for his travels?

“I make sure I have my travel documents, credit cards and US dollars just in case some places don’t accept credit cards. Phone chargers and international SIM card with a portable Internet device are important. I’ll also pack a cap and a pair of sketchers that I can wear with anything,” he says.

For ease of check-in and checkout procedures and at airports, Emmanuel carries only one backpack.

Emmanuel travels in groups of mostly two to three people because some of the trips are work-related. Each trip lasts between three days and slightly over a week.

Now with a young family, Emmanuel says his travel frequency has reduced, with a cumulative two months of travel in a year. He has four trips lined up in 2020.

To Emmanuel, travelling affordably means taking advantage of travel miles and staff privileges for air tickets.

“I mostly book into backpacker hostels or share spaces through Airbnb or CouchSurfing. The advantage of these is that you get to enjoy local hospitality, food and the culture,” he says.

Instead of taking an insurance cover every time he has to travel, he gets an annual cover, which is cheaper.

“A yearly cover costs about Sh28,000 while an individual one goes for roughly Sh7,000. Air tickets sell for between Sh30,000 and Sh130,000. With the rebates though, I mostly pay an average of Sh15,000,” he says.

“I use TripAdvisor to filter out activities. This way, I’m able to join free guided tour groups,” he says, adding that he either walks or uses public means to move around.

On average, Emmanuel spends between Sh5,000) and Sh7,500) every day to cover food, bus fare and accommodation. “Europe is even cheaper because there are many options for backpackers,” he says.

Is travelling cheap? No, he disagrees, but argues that routine activities are even more expensive.

“People host parties nearly every weekend and spend a lot of money on drinks. These amounts would comfortably fit within a dream trip if saved for a few months in a year,” he says.

Lisette Gachanja, 29

Off the top of her head, Lisette says she has been to 15 countries. These include Mexico, Hong Kong, Macau, Malaysia, Singapore, Ghana, South Korea, US and Australia.

By averaging five countries every year since 2017, she believes she’s inching closer to becoming a global citizen.

Before she embarks on a trip, Lisette researches about key attractions and fun activities before drafting her itinerary around them.

“I check for visa processes, flights and in-country travel. Checking weather patterns and currency rates is also critical for planning. Often I download apps to help with language, navigation, currency conversion and popular attractions,” she explains.

She considers herself a big planner, by drawing several mini-budgets to avoid incurring miscellaneous expenses.

“I have invested in a lot of gear to cushion me from having to buy new clothes, shoes and travel bags for every trip,” says Lisette, who travels alone and, whenever possible, with either her partner or family.

Whenever she’s out on a trip that will usually last between a week and one month, Lisette prefers to go off the beaten path by keeping off “predominantly tourist adventures” and instead finding culturally immersive activities, discovering hike paths and camping.

“I love indigenous things. Trying out local cuisine is a definite must. My priority is always to maximise on attractions that aren’t available back at home.”

Has globetrotting affected her career? It’s only fortified it, she says.

“I’m an adventure consultant, so merging work and play is, thankfully, my biggest privilege.”

To answer the question on how she raises money for her tours, Lisette employs a philosophy:

“Money spent on something always comes back to you. You, however, can’t reverse the clock. Time and memories made can’t be replaced.”

‘‘I‘m not a spendthrift, but as soon as I’ve ticked an item off my travel list, I start to plan my next adventure, within my budget and with a goal,’’ she says.

Destinations in her travel bucket list are Latin America and New Zealand. The lure? Indigenous tribes and breathtaking landscapes.

“I can’t wait to kayak in the Amazon River and to go caving in the remotest parts. Swimming with bioluminescent plankton is definitely something to look forward to,” she says.

Other than the thrill of visiting a foreign country, Lisette’s experiences have been largely uneventful.

Equally big on local tourism, she has arced the country from Lodwar to Namanga and from Malaba to Lamu.

“Every weekend finds me out and about. Whenever I can, I travel on weekdays too.”

For young women hoping to tour the world, Lisette proposes audacity, but within a rational plan.

“You can have a great time doing solo or partner travels,” she advises. “Research on affordable travel deals.Arrange and oversee your own travel plans because it’s cheaper this way than having someone do it for you. Have adventure!”

 

Source: https://www.businessdailyafrica.com/lifestyle/travel/Young-globetrotters/3815716-5478060-nuxkqv/index.html

 

British airline Flybe collapses as virus hits flights worldwide

A statement on Flybe’s website said the company had entered administration and could not arrange alternative flights for its passengers.

“All flights have been grounded and the UK business has ceased trading with immediate effect,” said the airline, which avoided going bust in January only after being granted a tax holiday by the UK government.

Flybe, which employs 2,000 people, had failed to turn around its fortunes since being purchased by the Connect Airways consortium last year, initially owing to weak demand and fierce competition.

That has now been compounded by the coronavirus, with a slew of airlines cancelling flights and warning profits would take a hit from decreased demand.

The announcement came hours after British media reported that the airline could collapse following its failure to secure a £100 million ($129 million, 115 million euros) state loan to help stabilise the business.

The COVID-19 virus’ impact on travel “has made a bad situation much worse”, sources told the BBC, while Bloomberg News reported Thursday that no agreement could be reached on a virus-related bailout.

Small British airlines have suffered recently from volatile fuel costs and a weak pound.

Flybe is the biggest operator of UK domestic flights. The no-frills airline carries around eight million passengers annually and flies from 43 airports across Europe and 28 in Britain.

Its owner, the Connect Airways consortium, is led by Virgin Atlantic and also includes investment firm Cyrus and infrastructure specialist Stobart.

Following Flybe’s tax deferral earlier this year, rival companies including British Airways-parent IAG complained to the European Union that it was receiving unfair state aid.

The government has said its assistance does not breach EU rules and that help is based on the importance of the company’s domestic services and regional economic reliance on them.

However, that contrasted with the fate of British holiday giant Thomas Cook, which collapsed without government assistance last September, causing the loss of 22,000 jobs worldwide and stranding 600,000 holidaymakers abroad.

Source: https://www.capitalfm.co.ke/business/2020/03/british-airline-flybe-collapses-as-virus-hits-flights-worldwide/

 

Coronavirus: Kenya mulls suspending Nairobi-Rome flights

Kenya is considering suspending flights between Nairobi and Rome a day after it took a similar move on flights from northern Italy cities of Milan and Verona.

Transport Cabinet Secretary James Macharia told the joint National Assembly and Senate committee on Health that flights between Kenya and Iran had also been cancelled.

“Kenya does not have direct flights to and from Iran. We are also monitoring Kenya Airways flights to Rome and Milan because, as you know, Italy has been hit hard by the virus in Verona,” Mr Macharia told the committee.

Italy and Iran have reported the highest number of deaths from the coronavirus outbreak outside of China with 79 and 54 deaths respectively as at Tuesday.

Latest reports indicate that Italy is currently considering closing all its schools and universities up to mid-March to tame the spread of the deadly virus.

Interior Principal Secretary Karanja Kibicho, who appeared before the committee alongside Mr Macharia, however, said the government had not traced the 239 people who arrived in the country last week from China.

The High Court had ordered the State to track and isolate them in a military isolation camp days after they landed in Nairobi aboard a China Southern Airlines plane.

“We have contacts of the 239 but then we have not been able to mobilise them into the KDF facility as directed by the court,” Dr Kibicho told the committee.

The two had been summoned alongside Health Cabinet Secretary Mutahi Kagwe, who skipped yesterday’s session. Some committee members criticised what they termed Mr Kagwe’s casual approach to the disease outbreak that has now spread to over 60 countries.

“The CS who is away should be mentioned on the floor of the House. It is a shame he is not here and selfish that he is not making time yet this is a global pandemic,” Wajir South Member of Parliament Mohamud Sheikh said.

Source: https://www.theeastafrican.co.ke/news/ea/Kenya-mulls-suspending-Nairobi-Rome-flights/4552908-5478868-sjm7r0/index.html

Virus fears cost travel industry billions

Kenya’s travel industry says its earnings have dropped by Sh3 billion or six percent of last year’s revenue as holidaymakers continue to cancel their plans over coronavirus fears.

Kenya Association of Travel Agents chairman Mohammed Wanyoike said if the hotel and flight cancellations persist, the loss could hit 10 per cent of last year’s revenue of Sh51 billion by end of the month.

“We have already quantified that cancellation of travels in February has resulted in a six per cent decline in revenues,” he said.

“The majority of the cancellations comes from the Asian countries that have been hugely affected”.

On Tuesday, Kenya’s Coronavirus National Emergency Response Committee halted flights from Italy’s northern cities of Verona and Milan, which have direct flights to Mombasa.

“This part of Italy is currently experiencing coronavirus incidents, which could affect the safety of Kenyans,” the team said in a statement.

The committee has also banned flights between Kenya and Iran.

A global update shows that the virus has so far affected 90,893 people and killed 3,110 in more than 77 countries.

Mr Wanyoike said the industry expects its losses to rise up to the end of the first quarter when the virus is expected to thaw. He reckoned the decline in bookings would hit their operations, “but we don’t foresee redundancies as things are expected to improve in the second quarter of 2020.”

“To mitigate the problem, we are encouraging our members to be alert and to be on top of the game in terms of knowing where the numbers are going.

“Some of the consideration that may happen towards the end of this quarter is if you find your labour operating on 50 per cent capacity we might consider asking them to take normal leave and then they resume when the business is back to normal,” he said.

Source: https://www.businessdailyafrica.com/economy/Virus-fears-cost-travel-industry-billions/3946234-5478594-xpve90z/index.html

Kenya Association of Travel Agents lauds New Kenya Airways boss on his appointment

The Kenya Association of Travel Agents has congratulated the newly confirmed Kenya Airways Chief Executive Officer, Mr. Allan Kilavuka.

KATA through the Chief Executive Officer Ms. Agnes Mucuha lauded Mr Kilavuka who has held the position in an acting capacity since January 2020. He is also the current CEO of the airline’s low-cost subsidiary Jambojet.

The new CEO’s term takes effect from April 1, 2020. He has held the acting position in an acting capacity after the resignation of Mr Sebastian Mikosz.

While announcing his resignation in June 2019, Mr Miskosz who also served as the Group Managing Director said in a memo to the Kenya Airways staff that was to resign at the end of 2019 due to personal reasons.

Ms Mucuha noted that over the years KATA has worked hand in hand with the airline to ensure mutual benefits for the travel agents and the airline.

“We were already working together in his acting capacity and we look forward to enhanced engagements. Kenya Airways and KATA have had a longstanding partnership and we will continue working together to boost the travel industry,” she said.

While making the announcement, Kenya Airways Chairman Michael Joseph noted that Mr Kilavuka, in his acting capacity took on the role with energy as he maintained his position as Jambojet CEO at the same time.

“It is particularly gratifying to me that the Board agreed to support the appointment of Allan to the full role of substantive CEO. During his short time as acting CEO of KQ, Allan has thrown all his energy into this role, whilst still maintaining his position of CEO Jambojet,” Mr. Joseph stated.

The new CEO will join the boards of all subsidiary companies and will remain on the Board of Jambojetinitially as CEO until March 31, 2020 and thereafter as a representative of Kenya Airways.

Fly 540 announces expected flight delays after mishap

Low Cost Carrier Fly 540 has announced flight delays after one of their aircrafts made an emergency landing on February 28, 2020 at 9.45 am.

The aircraft registered 5Y-CGH made an emergency landing at Kapese Airstrip in Turkana South after developing mechanical problems.

“At 9.45 am, FLY 540s DASH8 300 aircraft had a suspected foreign object strike which led to engine failure,” the airline said in a statement.

The statement further read that the Captain then declared an emergency and landed safely. There were no injuries as all the 49 passengers and 5 crew members on the flight disembarked safely.

The airline further stated that the incident will therefore lead to delays in scheduled flights and asked their passengers to be patient as the matter is resolved.

The aircraft was on its way to Wilson Airport, Nairobi from Lodwar when the incident happened.

Dubai Tourism invites travellers to the region’s premier exhibitions

For anyone who loves live entertainment, arts, culture, sport, comedy and lifestyle events, then Dubai is the place to visit.

Dubai Tourism released their 2020 calendar of events that will be taking place at the Dubai World Trade Centre.

The calendar is key for travel agents as they come up with promotions and packages that will ensure travellers get to enjoy all that Dubai has to offer.

The calendar has an average of 150 events listed and 35 new events added every week. The exhibitions include shows on leisure, sports and travel, trade, health care, science and technology and a whole wide range of topics that interest the public.

Do not miss out on this amazing experience, book your tickets with any KATA certified agent and enjoy travel, hassle free.

Booking your travel with a KATA agent assures you of a trusted travel partner who will take care of all your travel needs.

Travelport achieves Level 4 NDC certification from IATA

Travelport has achieved level 4 NDC certification as an aggregator from IATA. This certification confirms Travelport is able to provide full offer and order management and servicing of an NDC booking, complementing the current capabilities of voiding tickets and cancellations with new capabilities to modify and exchange tickets as well as processing refunds. 

This end-to-end booking management capability is a crucial part of the day to day travel management that Travelport’s customers rely on.

Travelport has been offering NDC content from a small number of partner airlines since October 2018 and has taken a phased approach to its NDC roll out plans in order to build an NDC solution which works for all parts of the interconnected travel industry. 

Commenting on the certification, Jason Clarke, Chief Commercial Officer, Travel Partners said: “Delivering NDC content to our customers is a crucial part of Travelport’s multi-source content strategy and this certification is the next step in recognizing our NDC capability. Managing complex itineraries for their travelers, including changes and disruptions, is a core part of the role of our travel agency customers so this functionality is important in bringing NDC to life for the whole industry.” 

Travelport is working with a number of IATA NDC Leaderboard airlines on their content distribution strategies in a production environment and with a wide range of travel agencies, online travel agencies and travel management companies to ensure its multi-source content strategy, of which NDC distribution is a part, meets the needs of the whole, global travel industry. 

The next meeting of the Travelport NDC Leadership Council will take place in Q2 2020.

Travelport

Alex Lynn