Dubai Airshow ends on optimistic note for travel industry’s recovery

Global aircraft manufacturers secured deals, touted new freighters, reconnected with customers and expressed optimism about the future at the Dubai Airshow that ended on Thursday amid signs of recovery from the Covid-19 pandemic that has hammered the aviation industry.

The world’s first major aerospace exhibition in two years since the onset of the pandemic concluded after a week in which dozens of multibillion-dollar commercial and military deals were signed, while aviation industry players emphasised their efforts at addressing climate change concerns.

The National provides a round-up of the biennial event’s highlights.

Airbus received orders and commitments for 408 aircraft, comprising 269 firm orders and 139 provisional orders, covering the range of its commercial aircraft families, including a first commitment for the new A350 freighter version.

The manufacturer, based in Toulouse, France, bagged a major order for narrow-body jets from private equity company Indigo Partners. The group’s airlines placed a firm order for 255 A321 Neo family aircraft, valued at $32 billion at 2018 list prices, although customer discounts are customary. The order includes 102 planes for Europe’s Wizz Air (75 A321 Neos and 27 A321XLRs), 91 A321 Neo aircraft for US-based Frontier, 39 A321 Neos for Volaris and 23 aircraft for JetSMART (21 A321 Neo and two A321XLRs).

The European plane maker also won a debut commitment for seven A350 freighter jets from US leasing company Air Lease Corp, as the global air cargo market booms.

The letter of intent for the 111 jets included 25 A220-300s, 55 A321 Neos, 20 A321XLRs, four A330 Neo wide-bodies and seven A350 freighters. The order will be finalised in coming months, Airbus said, without providing a deal value.

Kuwait’s Jazeera Airways placed an order for 28 A321 Neos and the option for five more jets in a deal worth $3.4bn at list prices, while Nigeria’s Ibom Air became a new Airbus customer with a firm order for 10 A220s.

On the third day of the air show, US rival Boeing scored an order for 72 737 Max jets valued at nearly $9bn at list prices. Smaller deals included an order by Air Tanzania for the 787-8 Dreamliner, a 767-300 freighter and two 737 Maxs. Emirates ordered two 777 freighters. Sky One FZE announced a sales agreement for three 777-300 planes.

Best things to see

Boeing’s mammoth 777X, the world’s biggest passenger jet, dominated the skyline of the air show’s static display, looming large with its signature wings and a queue of visitors waiting to see the interior. The international debut of the long-delayed aircraft came as customer Emirates and Boeing held discussions at the event about the timeframe to deliver the aircraft.

Russia displayed a prototype of its new fifth-generation warplane, the Sukhoi Su-75 Checkmate, for the first time outside the country.

State-owned Rostec revealed a perfume to commemorate the Checkmate’s international debut in a YouTube video.

“Checkmate is a fifth-generation fragrance for masters of the game,” the video says, revealing the Checkmate aircraft against the outline of a black knight chess piece. A full-size bottle appears through the rotating metal engine blades, a gift box unfolds into a black-and-white chessboard to highlight the slogan ‘Turn the Chessboard’.

Russia presented the Checkmate as a cost-efficient fighter jet with flight speeds of Mach 1.8 and a range of 2,800 to 2,900 kilometres.

Military spending

The UAE’s Ministry of Defence announced 22 deals worth Dh22.5bn during the first four days of the air show, awarded to local and international companies, according to its official Twitter account.

Abu Dhabi-based defence conglomerate Edge, whose exhibitor stand was among the biggest at the site, signed a slew of deals during the event. The latest included an agreement with weapons maker Israel Aerospace Industries to jointly develop advanced unmanned surface vessels for military and commercial use.

Airbus sold two additional Airbus A330 multi role tanker transports to the UAE Air Force and Air Defence, and secured a new export order for two A400M new generation airlifters from the Indonesian Ministry of Defence.

Emirates

The Dubai-based airline had a busy week at the air show. It signed an agreement with GE Aviation committing to develop a programme under which an Emirates Boeing 777-300ER powered by GE90 engines will conduct a test flight using 100 per cent sustainable aviation fuel by the end of 2022. The collaboration is expected to show how widebody commercial aircraft using jet fuel made from alternative sources can lower lifecycle CO2 emissions, it said.

Emirates SkyCargo announced that it will introduce two new Boeing 777 freighters into its fleet in 2022, and signed an agreement with Israel Aerospace Industries for the conversion of four Boeing 777-300ER passenger aircraft into full freighters, starting in early 2023.

The airline said at the air show that it will retrofit 105 of its Boeing 777 and A380 aircraft with its Premium Economy cabin. The entire 18-month retrofit programme, starting in 2022, will take place in its home base in Dubai.

During the show, Emirates was engaged in positive talks with Boeing regarding the delivery time and supply chain for the 777X programme, said Sheikh Ahmed bin Saeed, chairman and chief executive of Emirates airline and group.

When asked if state-owned Emirates could be among the 10 government entities that Dubai plans to list on its bourse, Sheikh Ahmed said: “We have successful businesses within the group that can be [listed].”

Etihad Airways

Sustainability was top of the agenda for the Abu Dhabi-based carrier at the show. Etihad Airways, which has been focused on its fleet of GEnX-powered Boeing 787’s under its Greenliner sustainability programme, will now include the Rolls-Royce XWB-powered Airbus A350 fleet. The first of Etihad’s A350s, launched at the air show as the “Sustainability50”, marks the airline’s commitment to the 2050 target of net-zero carbon emissions.

Aviation outlook for the Middle East

Middle East airlines will require 3,020 new passenger and freight aircraft deliveries by 2040, according to the 2021 Airbus Global Market Forecast launched at the show. This will bring the total fleet to 3,210 from a 2019 fleet baseline of 1,300 aircraft.

Airbus forecasts that air traffic in the Middle East will achieve full recovery to 2019 levels between late 2022 and mid 2024.

Source: The National News

Global travel industry stakeholders call for sector to embrace innovation, faster

With the tourism and hospitality sector witnessing signs of a positive recovery worldwide, the recently concluded World Tourism Forum (WTF) International Festival held in Andermatt, Switzerland, sought to bring together distinguished stakeholders of the industry to deliberate and discuss on a wide range of topics relevant to building upon this momentum.

With a theme of ‘Moving Forward’, the event’s many sessions focused on innovation, sustainability, and the role of start-ups in helping the sector work around its traditional business model.

The Tourism Executive Roundtable held on the last day of the event, saw Puneet Chhatwal, CEO of Indian Hotels Company Limited; Adam Sacks, President of Tourism Economics; Christine Demen Meier, Managing Director of Les Roches and Adeeb Ahamed, Managing Director of Twenty14 Holdings, engage in a constructive dialogue on the sector’s main challenges and opportunities.

The roundtable threw light on the need for the tourism and hospitality sector to innovate for the future, and Adeeb Ahamed, who was recently appointed to the WTF’s Advisory Board, pointed out the need for various stakeholders of the industry, right from asset owners, to operators, travel agents and other crucial links of the travel supply chain, to find common ground in adopting technology-led innovation, at a faster pace. He also mentioned how innovative practices have helped provide better returns in other sectors, and how such practices can be beneficial for the hospitality sector as well.

Puneet expressed hope that the sector could find the right answers in challenging its basic business model if it was to position itself more responsibly in matters of climate change and sustainability.

Christine meanwhile, spoke of the need for the industry to position itself responsibly in a bid to reduce its carbon footprint.

The discussion also revolved on the importance of recovering from the crisis and better handling of the industry’s resource crunch, especially skilled human resources, to ensure the sector seems as prospective to investors as future talents and job aspirants.

Founded in 2008, World Tourism Forum is the world’s most coveted tourism platform where international top-level decision makers from industry, government, academia, and finance collaborate with the next generation on future challenges.

The next gathering of WTF will be held in New Delhi, India in December.

Source: Gulf News

Brexit ‘risks future viability of UK’s outbound travel industry’

Brexit risks the very future of the outbound travel industry by depriving young people of opportunities to make their way in travel, and the sector of a new generation of talent, it has been warned. 

The industry’s concerns were shared at a session of the UK Trade and Business Commission on Thursday (18 November), at which industry leaders renewed their plea to the UK government to agree a new Youth Mobility Visa arrangement with Britain’s European neighbours now the provisions enshrined in the EU Posted Workers Directive no longer apply to young Brits looking to work overseas.

Other worries, said Best for Britain, include higher holiday prices and an increase in costly red tape.

Charles Owen, managing director of European Pubs Limited and director of Seasonal Businesses in Travel (Sbit), a campaign group representing around 200 outbound travel and tourism firms, said that his business had previously hired 95% of its employees from the UK for summer and winter seasons.

This, though, has dropped “substantially” since Brexit, said Owen, owing to the additional risk, cost and administration required to give young people from the UK the same opportunities to work overseas they were previously afforded under the directive.

The commission, in a submission from Best for Britain, heard this would result in a loss of competitiveness and market share, and contribute to a “skills drain” across an industry that can ill-afford to lose more talent following the Covid downturn.

Additionally, it was told the lack of an agreement with the EU would result in a “huge loss of opportunities, training and experience for young UK citizens”, many of whom it is widely accepted typically go on to have lengthy careers in the travel and tourism sector, and become future travel leaders.

Beyond a loss of talent, other consequences, the commission heard, include a loss of capacity and competitiveness owing to reduced economies of scape and negotiating power, which Best for Britain said increase costs and ultimately push up prices for UK holidaymakers.

’Ministers Must Listen’

“When people talk about labour shortages, they usually think about empty shelves in the UK,” said Owen. “But the outbound tourist industry has been severely impacted by these new barriers to hiring UK workers in European resorts, and this could lead to less choice and higher costs for UK holidaymakers.

“Not only will this dent our GDP, but it severely reduces opportunities for young people, for employment, experience and skills training. The government must make changes to the EU-UK trade deal to address this.”

Labour MP Paul Blomfield, who chaired the hearing of the commission, added: “While the government is falling over itself to offer emergency visas to address domestic labour shortages created by their Brexit deal, they are neglecting the interests of British workers who want to take up jobs in other European countries.

“An estimated 25,000 British workers used to work across the EU each year, largely young workers who played an important role. Ministers must listen to industry experts, and offer workable changes to the problems they caused for the tourism sector and those working in it.”

Source: TTG Media

Travel Industry Takes Crucial First Step Toward Combating Climate Change

The travel industry has reached a turning point.

As thousands of scientists, government officials and business leaders met in Glasgow over the past two weeks for the pivotal United Nations climate conference, hundreds of members of the trillion-dollar tourism industry came together and made the first commitment toward a shared road map to cut carbon emissions in half by 2030 and reach “net zero” by 2050.

More than 300 global travel stakeholders, including tour operators, tourism boards and hotel chains, have signed the Glasgow Declaration on Climate Action in Tourism, requiring them to submit a concrete and transparent plan within 12 months. While the details have yet to be put forward, the companies and countries that signed on, from Germany railway company Deutsche Bahn AG to the country of Panama, will be expected to disclose their carbon emissions and offer clear strategies for how to reduce them. The process is being spearheaded by the U.N. World Tourism Organization and the World Travel & Tourism Council, two industry bodies that have previously sparred on climate matters.

“This is undoubtedly the biggest climate commitment our industry has come together for,” said Jeremy Smith, the co-founder of Tourism Declares a Climate Emergency, an initiative that supports climate action and provided the framework for the Glasgow Declaration.

“Our initiative launched two years ago because the industry had no collective plan, and we did well getting over 400 tourism organizations on board without funding,” he said. “But the Glasgow Declaration builds on our work. It’s the coming together of major players in our sector and it’s owned by everyone who has signed it, establishing collective responsibility.”

The travel industry is a large contributor to global carbon emissions, with a footprint estimated between 8 and 11 percent of total greenhouse gases, according to the World Travel & Tourism Council, or W.T.T.C. Aviation alone represents around 17 percent of total travel carbon emissions. Each year, a growing number of destinations and communities heavily dependent on tourism — countries like Thailand, India and Madagascar — are hit hard by the impacts of climate change, in the form of rising sea levels, drought, wildfires, deforestation and biodiversity loss.

The pandemic spotlighted the adverse impact of industry growth and overtourism on Venice, Bali and other popular destinations, forcing some places to take stock and pivot toward more sustainable and environmentally friendly business models. Yet with most operators and destinations reeling from the industry shutdown last year, it is unclear how many of those plans will be prioritized over the need for fast recovery.

“We need a cultural change and we need to move beyond the traditional growth-oriented mind-sets to see a more sustainable, responsible and climate-neutral tourism ecosystem,” said Patrick Child, deputy director general of environment at the European Commission.

 ‘A lot of apathy’

The declaration has four main targets: measurement, requiring companies to disclose all travel- and tourism-related emissions; decarbonization, by setting targets aligned with climate science; regeneration, to restore and protect natural ecosystems; and collaboration, to ensure best practices are shared and financing is available to follow through.

A recent analysis by the W.T.T.C. of 250 travel businesses found that only 42 percent had publicly announced climate targets and many of them were not based on the latest science. The council last week published a road map for different industries within travel, providing concrete guidance on how to reach “net zero” targets by 2050.

“There has been a lot of apathy, with some people not quite sure about what they need to do and how to do it, or some thinking they are not significant enough, and that’s why it’s really important for larger organizations to show the way,” said Darrell Wade, the co-founder and chairman of Intrepid Travel, the only global tour company with a climate target verified by the Science Based Targets initiative, which promotes best practices in emissions reductions in line with climate science.

Joining Deutsche Bahn and Panama in signing the Glasgow Declaration are big companies like Accor, Skyscanner, The Travel Corporation and Iberostar Group, as well as countries that are already affected by climate change, including Norway and Barbados. Signatories hope that more destinations will participate in the coming weeks.

Throughout his experience in the Tourism Declares a Climate Emergency initiative, Mr. Smith found it easier to get smaller, more agile companies and smaller countries involved. When it came to larger companies, there were more barriers and obstacles, he said.

“When you reach a destination, or even a city, it becomes even harder because there are multiple different players with different interests at the scale of a country,” he said. “It takes time.”

Panama, one of only three carbon-negative countries in the world (meaning that it absorbs more carbon emissions than it emits), has taken a lead role in establishing initiatives for economic growth in tourism, which also benefit and preserve local communities and resources.

“Our main plan for our sustainable tourism market is to empower local communities, particularly Indigenous people, so that they can generate an income through tourism that allows them to preserve their ancestral way of life, allowing them to sustainably manage their natural resources like forests and coral reefs,” said Ivan Eskildsen, Panama’s tourism minister.

He pointed to an example of a trail that was built in a national park that was designed to involve local communities in the active management of the area. “Over 30 percent of our land and sea are preserved national parks, so it’s humanly impossible to supervise all these areas,” he said. “The community can benefit economically from these areas and will also be prone to stay and take care of it instead of only coming there for short-term income.”

Visit Scotland, that country’s national tourism organization, which helped draft the declaration, has also taken a lead role. The organization has reduced its own carbon emission by 74 percent since 2008, and more than 850 local businesses have been given green tourism awards for their sustainability efforts.

Challenges persist

While the Glasgow Declaration has garnered great momentum and established common objectives, challenges lie ahead, especially when it comes to setting a global standard for reporting emissions figures for such a wide range of sectors within the industry, from tour operators to destinations, and airlines to cruise ships.

Signatories are expected to hold each other accountable and set common standards throughout international supply chains. Once action plans have been submitted within the next year, a reporting framework will be necessary. Anyone who fails to submit a road map within that time frame will be removed from the declaration.

“It is really important to bring value chains together,” said Catherine Dolton, the chief sustainability officer at IHG Hotels and Resorts. “Hotel developers, hotel owners, investors, franchisees, as well as the operators, are all impacting sustainability at different stages of the hotel life cycle.”

Visibly absent from the list of signatories were members of the cruise industry. The sector made a separate pledge to pursue carbon-neutral cruising by 2050 and reduce emissions 40 percent by 2030 in an annual environmental report, published last week by the industry trade group, Cruise Line International Association. While the report makes detailed commitments to reducing the cruise industry’s carbon footprint using new technology and alternative fuels, it does not address other environmental issues such as discharge of waste.

“Despite technical advances and some surveillance programs, cruising remains a major source of air, water (fresh and marine) and land pollution affecting fragile habitats, areas and species, and a potential source of physical and mental human health risks,” according to a recent report by the Marine Pollution Bulletin Journal.

Though there was some disappointment about the limited participation of some industries in the pledge, the overall sentiment was one of optimism and a belief that the declaration would lead to real change and less “greenwashing,” a term used to describe companies that try to portray themselves as more environmentally minded than they actually are.

“I’ve long been quite pessimistic about travel and tourism’s approach toward climate change,” said Mr. Wade of Intrepid Travel, which recently published a tool kit, available online, to help travel businesses measure and reduce their carbon emissions. “But now I’m really very optimistic because there is broad-level support from the industry to actually reduce emissions, and it’s the first time I’ve seen real concrete commitments from industry and governments.”

Source: New York Times

Intra-African Trade Fair 2021 Poised to Boost Commerce Across Africa

The Intra-African Trade Fair (IATF2021) will see Durban host key figures from the world of trade, including entrepreneurs, financiers, governments and regulators, on one platform to deliberate on trade acceleration and investment throughout the African continent.

Organised by the African Export-Import Bank (Afreximbank) in collaboration with the African Union (AU) and the African Continental Free Trade Area (AfCFTA) Secretariat, IATF2021 is being held at Durban International Convention Centre, KwaZulu-Natal, South Africa.

IATF2021 is expected to attract over 10,000 attendees from across Africa with US$40 billion of trade and investment deals set to be concluded at the event, meaning the conference offers unrivalled business and commercial networking opportunities and will boost intra-African trade and investment.

Attendees will be able to see 1,100 exhibitors showcasing their goods and services, while Business-to-Business and Business-to-Government exchanges provide opportunities for further deals, business matchmaking and networking.

Speakers at the conference are from some of the highest tiers of business and government in Africa, with unparalleled commercial and government insight into economic opportunities and threats in Africa.

Some of this year’s speakers from the world of politics and government include Cyril Ramaphosa, President of the Republic of South Africa; Chief Olusegun Obasanjo, former President of the Federal Republic of Nigeria; Ambassador Albert M. Muchanga, African Union Commissioner for Trade and Industry; and Dr Vera Songwe, Executive Secretary of United Nations Economic Commission for Africa (UNECA).

Many of the continent’s most influential business luminaries in attendance include Prof. Benedict O. Oramah, President and Chairman of the Board of Directors, Afreximbank and co-convener of IATF2021; Aliko Dangote, President and CEO of Dangote Industry Limited, this year’s main sponsor; Ahmed Elsewedy, president and CEO of Elsewedy Electric; Akin Dada, Group Executive, Corporate and Investment Bank, Ecobank Group, and many more.

This year’s IATF conference will also be taking a deep dive into a number of thematic areas, with additional networking and conference facilities in each of the following vertical areas:

The IATF Youth Start-Up programme will highlight the support needed for youth-owned start-ups and small and medium-sized businesses to thrive, including capacity development, mentoring, access to finance, supportive infrastructure, government policy and market linkages.

The Creative Africa Nexus (CANEX) will provide a platform for Africa’s creative and cultural sectors to connect with policymakers, prominent investors, and thought leaders in the creative sector.

The IATF Automotive Show will showcase Africa’s dynamic automotive sector, encouraging the continent’s car and car equipment manufacturers, assemblers, and component suppliers to exhibit their products and find out more about other businesses and market opportunities.

Source: Ghanaian Times

Boeing ‘admits’ responsibly for Ethiopia 737 Max crash

Boeing has accepted responsibility in US federal court for the March 2019 crash of an Ethiopian Airlines Boeing 737 Max 8, and has agreed to compensate families of survivors.

The company’s attorneys have signed a “stipulation” in which the airframer admits fault and agrees that numerous related lawsuits against it should move to the process of determining damages.

The crash of Ethiopian flight 302 killed 157 people. Families of victims filed numerous lawsuits against Boeing in US Federal Court for the Northern District of Illinois, accusing the company of negligence.

“Boeing Company admits that it accepts responsibility for the crash of Flight ET 302, which caused the deaths of all onboard the Boeing 737 Max,” says the stipulation, filed with court on 10 November. “Boeing does not blame nor allege that any other person or entity was responsible.”

All but two of the numerous families that sued Boeing over the Ethiopian crash agreed to the terms of the stipulation. Lawyers have asked the judge to approve the document.

The stipulation also specifies that Boeing “will not argue, in any individual trial for compensatory damages, that any other person or entity” was liable for the crash. It also will not “ascribe fault to” the captain or first officer.

Boeing did not respond to a request for comment.

Investigators have said Ethiopian flight 302 crashed after a faulty angle-of-attack indicator caused the jet’s Maneuvering Characteristics Augmentation System to send it into a dive from which the pilots could not recover.

In the agreement filed 10 November, Boeing agrees the suit should move to determining monetary damages.

A jury, in deciding the amount of compensation Boeing should pay, will be instructed that “Boeing… has admitted that it produced an airplane that had an unsafe condition that was the proximate cause of” the crash of flight 302, the stipulation says.

That language marks a sharp contrast from statements made by Boeing shortly after the Ethiopian accident, which came several months after the crash of a Lion Air Max 8 in October 2018. Investigators likewise pinned faulty MCAS activation as a prime factor causing the Lion Air accident, which killed 189 people.

At a press conference in April 2019, Boeing’s former chief executive Dennis Muilenburg defended the design of MCAS and stressed that pilots can follow procedures to counter errant MCAS activation.

Source: Flight Global

Dubai’s hotel rates hit a 3-year high on Expo 2020 lift

Dubai’s hotel industry reported its highest monthly room rates since 2018, lifted by the opening of Expo 2020, according to STR.

Hotel occupancy rates in October stood at nearly 82 per cent, with the average daily rate (ADR) at Dh776. Revenue per available room (RevPAR) – a performance metric used in the industry – during the month was Dh633.66.

“The market’s absolute ADR and RevPAR levels were the highest for any month since January 2018 and February 2018, respectively, while the occupancy level was the highest since January 2020,” said STR in a statement.

The Expo, which is expected to bring in 25 million visitors during a 6-month long period, has already reported around 3 million visits since opening up to the public on October 1.

Return of Europe

Travelers are once again flying to Dubai from major markets in Europe due to the lifting of COVID-19 restrictions.

“I’m not sure how many people are coming just for the Expo, but they’re coming and the Expo is a nice add on to have,” said Simon Allison, CEO of Hoftel, a global association for hotel real-estate investors.

“If you look at that market, a lot of people didn’t have a summer holiday this year – right now, if you’re in Europe and you want some sunshine, it’s the Canary Islands or it’s GCC,” said Allison.

Managing costs

During the pandemic, Dubai’s hotels became experts at managing costs as they had to rely solely on the domestic staycation market.

“It got to the point where hotels in this region could break even at 20-30 per cent occupancy and now they have cut the staffing model significantly,” said Allison. “There’s a risk of staff shortage and for hotel operators there’s the risk of escalating costs, with managers raising staffing levels back to where they were in 2019”

Business travel

The return of events and conferences in UAE shows that business travel is back in small pockets. The Dubai Air Show – this year’s largest aviation and aerospace event – along with Abu Dhabi’s flagship oil conference ADIPEC will be held next week and thousands of participants are expected to visit.

Hoftel, which is organizing this year’s Gulf and Indian Ocean Hotel Investors’ Summit, will not see participants flying in from several countries, partly due to cuts in corporate travel budgets.

“Normally, we’ll have people from Singapore, Australia, Kenya, and Uganda – we’re not getting those,” said Allison.

The hotel industry veteran added that large conventions, which can’t be replaced with virtual calls, will return much faster. “People are actually desperate to meet face-to-face in bigger formats,” said Allison.

“What will suffer permanently is the small internal corporate meetings that require employees to take short flights to meet their colleagues” said Allison. “That’s a chunk of the meeting market that will never come back.”

Source: Gulf News

Inside Ethiopian Airlines’ plan to dominate African skies

Ethiopian Airlines is establishing its presence in more than six African countries through a management role or strategic partnership with the local carriers, making it a dominant player in the continent.

The move is set to give East African carriers such as Kenya Airways (KQ) a run for their money.

KQ will particularly feel the pinch as increased competition will likely make it harder for the carrier, which is in a deep financial mess, to fly back to profit territory, not to mention its goal of reclaiming its lost glory as the “Pride of Africa”.

Next month, the Ethiopian carrier is expected to launch Air Congo, the latest in the string of airlines where it is acquiring stakes as African countries move to revive their ailing national carriers.

Ethiopian Airlines will operate both the medium and long-haul fleet in DRC, which will comprise De Havilland Canada Dash 8-400s, Boeing 737s and two 787s.

The Addis-based carrier is also involved in starting a new airline in Zambia, which is expected to be up and running next month. Ethiopia will hold a 49 percent stake while Zambia will have a controlling stake of 51 percent.

“We just signed an agreement with the government of DRC, which owns 51 percent of the airline and 49 percent is with us,” said Tewolde GebreMariam, the airline’s chief executive officer in an interview with an aviation online magazine.

Ethiopian Airlines also plans to restart operations of the Mozambique carrier after terminating the services in May on the back of Covid-19 that impacted negatively the aviation sector.

Ethiopian Airlines has strategic partnerships with ASKY in Togo, Malawian Airlines and Chad-based Tchadia Airlines. It also has a management contract with Ceiba Intercontinental in Equatorial Guinea.

Ethiopian Airlines, which is also keen on setting up an airline in Nigeria, had started talks to help in the revival of South Africa Airways but was not selected by the carrier.

However, the airline signed an interline agreement with Johannesburg-based Airlink. Ethiopian Airlines says that its contract with Airlink will allow passengers seamless travel on a single ticket on any of the two carrier’s networks.

DRC, which has for years been underserved by airlines, has recently recorded an increase in the number of carriers that have launched flights on the route.

For instance, budget carrier Jambojet recently introduced flights to Goma to capitalise on high demand for air travel between Kenya and DRC. Last month, RwandAir also introduced flights to Congo, highlighting the high interest that carriers have on that route.

The Jambojet inaugural flight to Goma was on September 10, starting with two frequencies weekly. This is set to grow to four weekly, flying on Monday, Wednesday, Friday and Sunday.

DRC market is currently served by the national carrier Congo Airways, which flies to eight domestic destinations, including Goma, Kinshasa and Lubumbashi.

Lubumbashi is the second-largest city and mining capital in DR Congo. It is also rich in fertile soil for agriculture which calls for many investors.

MoU

Kenya Airways in April signed a Memorandum of Understanding with Congo Airways to collaborate, strengthen, and bolster aviation ties between Kenya and The Democratic Republic of Congo.

The signing of the cooperation was witnessed by President Uhuru Kenyatta and his Congolese counterpart Félix Tshisekedi during Mr Kenyatta’s three-day State visit to DR Congo.

Kenya, just like many other countries, is looking to leverage on the DRC market by diversifying its export destinations, particularly when the Covid-19 induced disruption has brought into focus the need for deeper inter-regional trade.

The airline is taking advantage of the huge opportunity the African market has to offer, and the rising demand for air connectivity in the region.

Source: The East African

The U.S. lifts the pandemic travel ban and opens the doors to international visitors

Starting Monday, the U.S. is accepting fully vaccinated travelers at airports and land borders, doing away with a COVID-19 restriction that dates back to the Trump administration. The new rules allow air travel from previously restricted countries as long as the traveler has proof of vaccination and a negative COVID-19 test. Land travel from Mexico and Canada will require proof of vaccination but no test.

Airlines are expecting more travelers from Europe and elsewhere. Data from travel and analytics firm Cirium showed airlines are increasing flights between the United Kingdom and the U.S. by 21% this month over last month.

The change will have a profound effect on the borders with Mexico and Canada, where traveling back and forth was a way of life until the pandemic hit and the U.S. shut down nonessential travel.

Malls, restaurants and Main Street shops in U.S. border towns have been devastated by the lack of visitors from Mexico. On the boundary with Canada, cross-border hockey rivalries were community traditions until being upended by the pandemic. Churches that had members on both sides of the border are hoping to welcome parishioners they haven’t seen during COVID-19 shutdown.

Loved ones have missed holidays, birthdays and funerals while nonessential air travel was barred, and they are now eager to reconnect.

River Robinson’s American partner wasn’t able to be in Canada for the birth of their baby boy 17 months ago because of pandemic-related border closures. She was thrilled to hear the U.S. is reopening its land crossings to vaccinated travelers.

“I’m planning to take my baby down for the American Thanksgiving,” said Robinson, who lives in St. Thomas, Ontario. “If all goes smoothly at the border I’ll plan on taking him down as much as I can. Is crazy to think he has a whole other side of the family he hasn’t even met yet.”

According to the Centers for Disease Control and Prevention, the U.S. will accept travelers who have been fully vaccinated with any of the vaccines approved for emergency use by the World Health Organization, not just those in use in the U.S. That means that the AstraZeneca vaccine, widely used in Canada, will be accepted.

For air travelers, the airlines are required to verify vaccine records and match them against ID, and if they don’t, they could face fines of up to nearly $35,000 per violation. Airlines will also collect information about passengers for contact tracing efforts. There will be CDC workers spot-checking travelers for compliance in the U.S. At land borders, Customs and Border Protection agents will check vaccine proof.

The moves come as the U.S. has seen its COVID-19 outlook improve dramatically in recent weeks since the summer delta surge that pushed hospitals to the brink in many locations.

Source: NPR

Africa records highest growth in September cargo volumes

Africa witnessed the highest growth in international freight cargo volumes in September compared to any other region in the world as the airlines continue recovery from the impact of Covid-19.

Data from the International Air Transport Association (IATA) indicates that Africa recorded a 34.6 percent growth in the review period to mark a ninth consecutive increase on month to month.

The volumes, according to IATA, are 20 percent above the pre-crisis 2019 levels but have been trending sideways for the past six months.

“African airlines saw international cargo volumes increase by 34.6 percent in September, the largest increase of all regions for the ninth consecutive month,” said Willie Walsh, IATA’s Director General.

Total demand for air travel in September 2021 (measured in revenue passenger kilometres or RPKs) was down 53.4 percent compared to September 2019.

The agency says continuing border closures and quarantine mandates are impacting negatively on travel.

“The recent US policy change to reopen travel from 33 markets for fully vaccinated foreigners from 8 November is a welcome development,” IATA said.

“Along with recent re-openings in other key markets like Australia, Argentina, Thailand, and Singapore this should give a boost to the large-scale restoration of the freedom to travel.”

All the regions across the world saw their cargo volumes increase, an indicator that the aviation sector is now more dependent on cargo in the wake of dwindling number of passengers seeking air travel.

However, IATA notes that capacity for international operations remains constrained at 8.9 percent below pre-Covid-19 levels (September 2019) for international operations.

Supply chain disruptions and the resulting cargo delays led to long supplier delivery times. This typically means manufacturers use air transport, which is quicker, to recover time lost during the production process.

The September global Supplier Delivery Time Purchasing Managers Index (PMI) was at 36, with values below 50 being favourable for air cargo.

“The September new export orders component and manufacturing output component of the PMIs have deteriorated from levels in the previous month but remain in favourable territory. Manufacturing activity continued to expand at a global level but, there was contraction in emerging economies,” said the agency.

Asia-Pacific airlines saw their international air cargo volumes increase 4.5 percent in September 2021 compared to the same month in 2019.

“This was a slowdown in demand compared to the previous month’s 5.1 percent expansion. Demand is being affected by slowing manufacturing activity in China. International capacity is significantly constrained in the region, down 18.2 percent vs September 2019,” IATA said.

European carriers saw a 5.3 percent increase in international cargo volumes in September 2021 compared to the same month in 2019.

Middle Eastern carriers experienced a 17.6 percent rise in international cargo volumes in September 2021 when compared to September 2019, an improvement compared to the previous month. However, international capacity was down four percent compared to September 2019.

North American carriers posted a 19.3 percent increase in international cargo volumes in September 2021 compared to September 2019.

IATA says new export orders and demand for faster shipping times are underpinning North American performance.

International capacity was down four percent compared to September 2019, a slight improvement from the previous month. 

Source: The East African