Geneva – The International Air Transport Association (IATA) announced that Sebastian Mikosz will join IATA as the Association’s Senior Vice President for Member and External Relations, effective 1 June 2020.

Most recently, Mikosz was Group Managing Director and CEO of Kenya Airways (2017-2019), during which time he served on the IATA Board of Governors. Prior to that he was the CEO of LOT Polish Airlines (2009-2011 and 2013-2015) and the CEO of Poland’s largest online travel agency, the eSKY Group (2015-2017).

At IATA, Mikosz will lead the organization’s global advocacy activities and aero-political policy development, along with managing the association’s strategic relationships. This includes IATA’s 290 member airlines as well as governments, international organizations and stakeholders in both the private and public sectors. Mikosz will report to the Director General and CEO and join the Association’s Strategic Leadership Team. He replaces Paul Steele, who retired from IATA in October 2019. Brian Pearce, IATA’s Chief Economist has been handling the duties of this post on an ad interim basis since then.

“Sebastian brings with him a wealth of experience in the public and private sectors that will be critical in advancing the global aviation industry’s advocacy agenda. At this time of unprecedented crisis, the airline industry needs a strong voice. We must restore the confidence of governments and travelers so that aviation can re-start, lead an economic recovery, and connect the world. Sebastian’s experience in launching and turning-around companies will be invaluable in helping IATA meet the expectations of our members, governments and stakeholders,” said Alexandre de Juniac, IATA’s Director General and CEO.

“I can’t wait to get started at IATA. Aviation is in crisis and all industry and government stakeholders have high expectations for IATA to play a critical role in driving the recovery. From my experience as an airline CEO and as a member of the IATA Board of Governors, I know how important IATA is to the global connectivity that we usually take for granted. Today’s challenges could not be greater. And, in joining IATA, I am determined to contribute to the efficient restoration of the links between people, nations and economies that only aviation can provide,” said Mikosz.

A Polish national, Mikosz is a graduate of the Institute of Political Studies in France with a Master’s degree in Economics and Finance. In addition to his airline experience, Mikosz’s career includes the positions of Vice President at the Polish Information and Foreign Investment Agency, Senior Advisor at Société Générale Corporate Investment Bank, Managing Director of the French Chamber of Commerce and Industry in Poland and founder of the online brokerage house Fast Trade. Mikosz speaks Polish, English, French and Russian.

Source: https://www.iata.org/en/pressroom/pr/2020-04-27-01/ 

The International Transport Workers’ Federation (ITF) and the International Air Transport Association (IATA) have called for support from governments to the aviation industry, to protect jobs and ensure that air services can be maintained.

The economic situation facing the aviation industry is severe. Air passenger demand is down by 80 percent. Airlines are facing a liquidity crisis which threatens the viability of 25 million jobs directly and indirectly dependent upon aviation, including jobs in the tourism and hospitality sectors.

In a joint statement, ITF and IATA called for governments to ensure that the protection of health workers caring for those with COVID-19 is prioritized and coordinate carefully between each other and with industry to ensure harmonized and effective action to protect the safety of passengers and crew.

The two organisations further called for governments to provide immediate financial and regulatory support for airlines, in order to maintain the sustainability of terms and conditions for air transport workers and assist the industry to restart quickly by adapting regulations and lifting travel restrictions in a predictable and efficient manner.

IATA and ITF also noted the aviation industry’s contribution to helping alleviate the COVID-19 crisis by keeping supply chains open, and repatriating citizens. Aviation professionals are also volunteering on the front line to assist medical services in the fight against COVID-19.

“Airlines are facing the most critical period in the history of commercial aviation. Some governments have stepped in to help, and we thank them. But much, much more is needed. Direct financial support is essential to maintain jobs and ensure airlines can remain viable businesses. And when the world is ready to start travelling again, the global economy will need aviation at its best to help restore connectivity, tourism and global supply chains. That will require a harmonized approach with industry, workers and governments working together,” Mr. Alexandre de Juniac, IATA’s Director General and CEO said.

“IATA and ITF have a shared goal to ensure a sustainable future for the aviation industry. In order to achieve this, we need urgent action now. It is crucial that governments understand the importance of the aviation industry in rebuilding the global economy and support the industry. Bold decisions are required to invest in the future of airlines and protect the jobs and livelihoods of the transport workers who will lead the economic recovery when COVID-19 has been contained. Workers and the industry have joined forces, we invite more governments to join us in a coordinated approach to keep the industry and its essential supply chains moving,” said Stephen Cotton, ITF’s General Secretary.

Link: https://www.iata.org/en/pressroom/pr/2020-04-20-01/

 

 

An international accounting and consultancy firm, Grant Thornton is offering advisory support to businesses during this COVID-19 pandemic.

The firm seeks to guide organisations put in place medium and long term business continuity plans to mitigate the effects of the current COVID-19 and potential future outbreaks while also considering the human resource, financial reporting and financing of the business while ensuring stability.

Grant Thornton helps organisations develop and implement continuity solutions that help maintain continuous operations in case of major unforeseen disruptions like in the case of the Coronavirus.

Solutions offered include the development of a business continuity plan and IT infrastructure audit.

The consultancy firm also offers human resource considerations by looking at potential challenges that are brought on by major disruptions and offering mitigation measures to each problem.

The firm has a capable financial reporting advisory team that assists the client to carefully consider the impact of disruptions like COVID-19 on financial statements through various interventions.

Grant Thornton also assists businesses in managing their cash while offering insights for the future by assisting with the development of short-term forecasting responses, long-term business forecast and sensitivity and scenario analysis.

For more information follow link: [dflip id=”7542″ type=”thumb”][/dflip]

Or contact Parag Shah, Partner – Advisory, on email parag.shah@ke.gt.com, FA Michael Chomba

Director – Advisory on email michael.chomba@ke.gt.com, Steve Bett Manager – Risk Advisory on email steve.bett@ke.gt.com and/ or Lynette Musyimi Manager – HR Advisory on email lynette.musyimi@ke.gt.com.

COVID- 19 has brought the travel and tourism industry to a complete standstill with the restrictions on movement to contain the spread of the virus. This virus has caused an unprecedented disruption in the aviation, travel and tourism industry.

The pandemic has led to stringent measures being taken by the Kenyan Government to contain the spread of the virus. On March 25, 2020, international flights were banned and before that, gatherings of any kind were prohibited therefore leading to cancellation of major conventions and events in cities.

The Kenya Association of Travel Agents Chief Executive Officer Ms. Agnes Mucuha noted that the aviation, travel and tourism industries are among the worst hit sectors.

“COVID-19 has hit the industry really hard with loss of jobs and revenue for travel agents. Many have had to close their businesses. The beginning of the year had so much promise. Kenya had recorded an increase in international arrivals after receiving 1,444,670 arrivals between July 2019 and February 2020 as compared to 1,423,548 over the same period last year,” she said.

Over 90 percent of forward bookings for the month of April 2020 have been cancelled since Europe, America and the Middle East issued lock down notices for non-citizens. Our industry forecast on bookings for the period May, June and July 2020 is also extremely depressed as travellers have opted to postpone their travel until quarter four

Other notable findings in the travel impact analysis include:

• Total spending on travel in Kenya in 2019 was Kes. 1.7billion on tickets, airline operating fees, and ancillary products and services. This has been projected to

plunge by 60% by the end of 2020.

• The estimated losses by the travel industry alone are severe enough to create job

loss across the sectors. The full impact of the crisis is expected to last at least three

quarters, with Q2 2020 being the low point.

These grim statistics mean that travel agents and other industries in the travel and tourism industry cannot support their employees or their businesses. This has seen many people take pay cuts, and others lose their jobs.

Ms. Mucuha pointed out that being a global pandemic, Africa will be greatly affected with the International Air Transport Association (IATA) predicting that the disruption to the aviation industry will cause a loss of about USD 113 billion globally and USD 55.8 billion in Africa. This industry supports millions of jobs which risk being lost. The figure could rise depending on how long the pandemic lasts.

The United Nations World Tourism Organisation (UNWTO) estimates an expected decline of between 20-30 percent in international visitors.

Visit the Coronavirus Updates page on the KATA website on https://katakenya.org/corona-virus-updates/ for more information

 

Competition among airlines has now shifted to the cargo business which many have taken up following cessation of passenger flights across the globe.

Airlines are converting their passenger planes into cargo carriers to keep aircraft running and earn some revenue.

Kenya Airways which has joined the fray could be forced to re-adjust its freight charges to survive the high competition in the cargo business.

The carrier is currently charging $3 (about Sh321) per kilo of cargo, according to fresh produce exporters, which is high compared to some competitors such as Ethiopian Airmeeting, lines and Qatar Airways who are charging $2 (about Sh214).

“KQ is expensive compared to competitors,” notes Edward Mureu, the proprietor of Naivasha based Rubi ranch.

According to the East African Business Council (EABC) airfreight charges to the European Union and other markets in the last few weeks have ranged from $3 and $7(Sh749) per kilo up from an average of $1.50(Sh160)–$2.50(Sh267) per kg.

“The high air freight charges can be attributed to a combination of factors. These include higher operating costs, fewer scheduled or chartered flights, and a supply and demand imbalance,” EABC chief executive Peter Mathuki said.

In Kenya, for example, the volume of fresh produce out of Jomo Kenyatta International Airport (JKIA) has reduced from a weekly 5,000 tonnes to 1,300, a 75 per cent decline with similar trends reported across the region. This has left few volumes up for grabs by carriers. Costs, however, continue to ease with more scheduled capacity provided by KLM, Qatar and Ethiopian Airlines.

KQ, as it is known by its international code, has converted four of its passenger aircraft into cargo carriers, a measure to lessen the impact of Covid-19, which has seen a cut on international travel, with the airline grounding its fleet.

Last Thursday, the airline flew a Boeing 787 Dreamliner to London with 40 tonnes of fresh produce consisting of vegetables and flowers.

It has been depending on two-boeing 737-300 cargo aircrafts for haulage.

“We are exploring different options to keep the lights on in the organization. Cargo is one of those areas,” CEO Allan Kilavuka said.

This week, Air France KLM Martinair Cargo launched two cargo flights a week between Nairobi and Amsterdam. The Tuesday and Sunday flights will see the carrier export 45–50 tonnes of cargo from Kenya.

This is in adition to existing full freighter flights Air France KLM Martinair is regularly operating.

The move adds pressure on airlines at JKIA– KQ’S hub, which accommodates over 40 passenger airlines and 25 cargo airlines.

Other cargo operators include Lufthansa Cargo, emirate Sky cargo, cargo lux, Ethiopian airlines, Saudia Airlines, Etihad Crystal Cargo and Egypt Air. Others are Singapore Airlines, Qatar Airlines, Turkish Cargo, mk Airline and Swiss World cargo.

Source: https://www.pressreader.com/kenya/the-star-kenya/20200423/281771336334747

 

Before and during the global Covid-19 pandemic, blockchain technology adoption continues to attract global adoption as companies, governments, multinationals and local businesses form alliances to seal existing loopholes in the management of goods and services across borders.

Key global aviation industry players plan to launch the Maintenance, Repair and Overhaul (MRO) Blockchain Alliance, the first industry-wide investigation into the use of blockchain to track, trace and record aircraft parts.

Even as airports grapple with little activity and major airlines having grounded their planes in a bid to control the spread of the coronavirus, the new alliance seeks to cover every aspect of the MRO chain, from part manufacture and repairs to logistics and smart contracts.

A smart contract is a digital pact containing the terms of agreement between a buyer and a seller being directly written into lines of code. The code and the agreements contained therein exist across a distributed, decentralised blockchain network. The code controls the execution, with transactions being trackable and irreversible.

Members currently include Bolloré Logistics, Cathay Pacific, FLYdocs, HAECO Group, Ramco Systems, Société Internationale de Télécommunications Aéronautiques (SITA), and Willis Lease Finance Corporation, supported by Clyde and Co.

The alliance, first mooted in 2019, aims to bring the various stakeholders together to set a global standard around the use of blockchain to track spare parts.

“In the coming months, our alliance will launch a proof of concept to demonstrate the use of blockchain to digitally track and record the movements and maintenance history of parts across a wide number of players,” reads a statement seen by the Business Daily.

A proof of concept is meant to determine the feasibility of the idea or to verify that the idea will function as envisioned.

These include airlines, lessors, original equipment manufacturers (OEMs) such as engine producers, logistics suppliers, and maintenance providers.

This tracking information will be vital to managing a complex logistics value chain that can span several stakeholders over the lifetime of each individual part.

“This initiative is part of SITA’s ongoing exploration of blockchain, a technology that we believe promises tremendous opportunity for streamlining the sharing and recording of information across the air transport industry,” says Matthys Serfontein, President of Air Travel Solutions at SITA.

Currently, there is no global database, leading to incomplete data sharing, and only partial digitalisation.

“The alliance believes that the use of blockchain will simplify and speed up parts tracking while enabling the secure sharing of information between industry stakeholders.” For the African market, making technologies such as blockchain available on a wide scale will be vital to support the growth and development of the aviation industry.

Africa is predicted by the International Air Transport Association (IATA) to become one of the fastest growing aviation regions in the next 20 years with an annual expansion rate of nearly five per cent, yet there are numerous challenges standing in the way of this growth.

Technology could enable governments and aviation industry stakeholders in Africa address many of the existing infrastructure challenges. Most notably, blockchain’s ability to securely store and share information on a digital ledger offers the opportunity for greater industry collaboration throughout the continent and facilitate more efficient decision making.

Multinational advisory firm PwC estimates that the use of blockchain could increase aerospace industry annual revenue by four percent while cutting MRO

Source: https://www.businessdailyafrica.com/corporate/shipping/Aviation-players-launch-body-to-track-parts/4003122-5530562-dg34ncz/index.html

 

Kenyans stranded in the United Kingdom and willing to pay to return home have a chance to do so as Kenya Airways plans a flight on Saturday.

The decision was reached following a discussion between the Kenyan government and the British High Commission.

KQ will operate a direct commercial flight from Nairobi to Heathrow, London on April 24 before planning for a direct flight to Kenya on the following day.

Only those going to London will board the flight on Friday while those to be on board to JKIA must be Kenyan citizens.

On its way to the UK, the flight will be carrying Britons who were stranded following the suspension of commercial flights on March 25 after the novel coronavirus outbreak.

The KQ management said those who have booked the flight to return home should adhere to the measures set by the Ministry of Health for passenger arrivals.

The national carrier said that all the passengers will be subjected to Covid-19 test. Once the ticket is issued, they will be required to proceed to Lancet Kenya for the virus test within 72 hours.

Upon arrival, all the passengers must undergo a mandatory quarantine for a period of 14 – 28 days at their own cost.

The British High Commission said there will be a connecting flight from Mombasa to Nairobi which will be operated by Jambo Jet on April 24 for those travelling to London.

Kenya’s High Commissioner to the United Kingdom Manoah Esipisu had earlier said that those willing to travel back will meet the cost for their air ticket.

Since the outbreak of the virus, Kenyans and other African citizens stranded in China have said that they are being abused.

According to the videos shared through social media by Africans in China, some have been kicked out of their rental houses and denied access to shopping malls.

Several leaders in the country have been calling upon the government to make arrangements to evacuate Kenyans from China but this is yet to happen.

Earlier, Foreign Affairs PS Macharia Kamau told a parliamentary committee of the logistical challenges that will make it impossible for mass evacuation as is being proposed by some Kenyans.

He said a number of Kenyans living in China have not registered with the Kenyan embassy, which makes tracking impossible.

Source: https://www.the-star.co.ke/news/2020-04-21-kq-to-make-one-off-flight-to-london-to-bring-kenyans-back-home/

 

Some 5, 000 aviation workers will be the beneficiaries of free online training courses that will be offered by the International Air Transport Association (IATA). This is part of IATA’s effort to support the travel industry as it grapples with the COVID- 19 pandemic.

“Aviation will make it through the COVID-19 crisis. That’s because, as with past crises, the many great people of this industry will pull together to face the challenges head-on. In a salute to the women and men of this industry, IATA is making a small contribution to support the sector’s recovery with free training. These are tough times but we wanted to see the opportunity of the future, and what better way than through learning,” said Stéphanie Siouffi, IATA’s Director of Training.

The courses will be available on a first come, first served bases for the 5, 000 online training opportunities. The courses are available to current employees and those wishing to be a part of the aviation or related industries. Interested participants have a choice of the following courses;

• Aviation Competition Law
• Destination Geography
• Travel Agency Fees: A Professional Approach
• Accounting and Financial Management for Travel Agencies
• Geography in Travel Planning
• Distribution and Airline Retailing
• Diversity and Inclusion
• Aviation Law – Fundamentals

Applications must be received before 27 April 2020. To learn more or register for an online course, please click https://www.iata.org/en/training/pages/free-elearning-promo/

After regrouping its departments supporting partner airlines, travel agencies and the global distribution systems (GDS) into the new commercial and operation divisions, Hahn Air has appointed leaders to head the new communications and marketing as well as IT support divisions.

The airline appointed Mr. Alexander Proschka and Frederick Nowotny to support the new set up that allows the company to further increase business results for its more than 350 partner airlines and over 100,000 travel agency partners while taking advantage of synergies for internal and external support.

“The restructuring process already started in 2019 and will enable us to maximise results for all customer groups and further increase efficiency and optimise team work internally. This will especially be of advantage after the Coronavirus crisis when our partner airlines and travel agencies will have a strong need to kick-start their business,” said Ms. Kirsten Rehmann, General Director of Hahn Air.

Mr. Proschka will head the newly formed commercial division as the Executive Vice President, Commercial. His division comprises of airline business, communications and marketing, sales analytics and travel agency distribution departments.

Proschka has been with Hahn Air since 2008 and was previously in charge of the sister companies Hahn Air Systems and Hahn Air Technologies with their products H1-Air and X1-Air. He holds a diploma in international business and industrial engineering from the University of Applied Sciences in Wiesbaden.

His counterpart Mr Nowotny is another long-standing Hahn Air executive. He is now the Head of Operation and will lead the division. Nowotny joined Hahn Air in 2008 and previously headed the sales engineering department.

His division now includes the teams in charge of all airline and product implementation processes, GDS interfaces and inventory displays. In addition, he oversees the IT and second level support departments, as well as the Hahn Air Service Desk which assists partner airlines and answers ticketing enquiries of travel agents worldwide 24/7.

The Kenya Tourism Board has called upon facilities and establishments within the various parks and conservancies to showcase the various aspects of life at the parks through short videos under the campaign #TheMagicAwaits.

The parks that include Tsavo, Laikipia, Meru, Maasai Mara and Lake Nakuru National Parks are expected to send content which will be showcased on KTB’s Magical Kenya’s social media pages.

This is geared towards sharing positive images and encouraging hope as the industry looks forward to post COVID 19.

The pandemic that originated from Wuhan, China in November 2019 has infected over 2.2 million people and claimed over 148, 000 lives, a number that keeps rising.

To stem the spread of the virus, social distancing and high standards of hygiene have been encouraged. Air transport has been stopped and travel within regions restricted in Kenya.

This has greatly affected the revenue stream for people in the travel and tourism industry with some companies shutting down and others slowing down operations. Parks and conservancies however remain operational.

The Kenya Tourism Board has been at the forefront t running campaigns showing the preparations the industry has made to mitigate the spread of the virus.