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Domestic operators want multiple entries for foreign airlines reversed

By BusinessNews Staff on August 30, 2014

Domestic airline operators have urged the federal government to review the policy of granting multiple entries to foreign airlines operating in Nigeria.

They policy, according to the operators, shrinks the domestic market and discourages partnership with foreign airlines, thereby denying Nigeria the technical and economic benefits.

Besides, they noted that the multiple entry points deny domestic carriers the opportunity to operate international services as their foreign counterparts mop up passengers for international destinations.

The operators argued that in other parts of the world, governments put in place policies that enhance the growth of local airlines, whereas the Nigerian government granted multiple entry points to foreign airlines, thereby denying indigenous airlines the chance to airlift passengers from hinterland airports to international gateways like Abuja and Lagos.

For instance, Medview Airlines, last year planned to operate international services to Singapore, but while dealing with paper work, Ethiopian Airlines quickly designated its operations to that destination.

Over the years, Ethiopian Airlines has been airlifting Nigerians to Far and Middle East countries. Presently, the airline operates from four Nigerian airports.

The operators said the implication is that Medview Airline, which is a local carrier, will be competing for Nigerian passengers to Singapore, with Ethiopian Airlines, which is a foreign operator carrier.

They also recalled that last year, when Arik Air planned to begin flights to Brazil, the same Ethiopian Airlines in partnership with its subsidiary, Asky which is headquartered in Togo designated its operations to Brazil from Cotonou from where Nigerian passengers are connected to Lagos from Rio janeiro

With the multiple points of entry granted the foreign airlines, the federal government has shared Nigerian traffic among international airlines, leaving almost no opportunity to local carriers.

Last month, Arik Air commenced operation to Dubai from Lagos via Abuja. Less than a month the operation started, Ethiopian Airlines, THISDAY gathered, is scheming to add additional frequency to its Lagos operation because Arik’s service is hurting its Abuja operations.
Also Emirates Airlines is also planning to start additional flight, Lagos via Abuja to Dubai operation in order to undercut Arik, which has been recording high load factor since it began operation.

Executive Chairman of Airline Operators of Nigeria (AON), Captain Nogie Megison expressed regret that government is killing Nigerian airlines with its policies.
“It goes back to government policies which have failed to protect Nigerian market and labour.
We have allowed the foreigners to take the pilots jobs; we have allowed the foreigners to do multiple entries into our airports because our policies are so lose and we allow them to take all the passengers at the detriment of the Nigerian carriers,” Meggison said.
Last Monday, the Deputy Managing Director and Head of Flight Operations of Arik Air, Captain Ado Sanusi declared that the main problem of the airline industry in Nigeria is the generosity of the Nigerian government to give out frequencies to foreign carriers.

[This Day]

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