Aviation: Aircraft Shortage Delays Delivery as Cargo Piles
Passengers are experiencing constant cargo delays across Nigerian airports due to the shortage of planes to move goods from one state to another.
There are fewer planes to feed several passengers on domestic routes as Nigerian airlines struggle with fleet reduction owing to the high cost of maintenance.
Some airlines have sent their aircraft abroad for maintenance but are unable to return them due to the current skyrocketing costs fuelled by the foreign exchange crunch.
Even a few airlines utilising local maintenance firms have also had to bear considerably higher costs, forcing them to abandon some of their planes, thereby reducing the number of aircraft available for passengers and cargoes.
Some airlines have likewise been forced by the Nigeria Civil Aviation Authority (NCAA) to ground their planes owing to their inability to send the aircraft for maintenance, BusinessDay’s checks show.
In addition to these, the grounding of Dana Air, a relatively low-cost carrier with six aircraft in its fleet, has also negatively impacted the number of planes operating the domestic routes, reducing the aircraft bellies available for cargoes.
“On a daily basis, we have an average of 50 to 60 tonnes, but this has been really affected by the capacity in the industry. The cargo that we are looking for now is aircraft belly cargo, not the freighter,” Remi Jibodu, Bi-Courtney’s head of aeronautics/cargo and chief operating officer, said in an interview.
“Even though we are talking to a couple of airlines that want to bring in freighters, the truth is that we can even go up to 80 tonnes in a day. We can’t do that now because of the current capacity.”
Jibodu said Dana Air’s flight suspension has also hugely impacted cargo volumes as its planes have big bellies that could take in a high volume of cargoes.
“Arik Air does not operate as many flights as it used to. Aero has stopped the cargo. Even at that, we are still pushing and processing almost 50 tonnes on a daily basis,” Jibodu explained.
He hinted that people move their products from their farms to the airport terminal so that they can be moved to other states.
Jibodu assured that some of the cargo facilitation challenges would be addressed with the launch of Bi-Courtney’s 25-metric tonne capacity digital cold storage facility to cater for perishables passing through the Murtala Muhammed Airport terminal 2, (MMA2).
Data obtained by BusinessDay from the Nigeria Civil Aviation Authority (NCAA) showed that 13 domestic airlines operating in Nigeria put together operate a total of 91 aircraft. The data includes planes that have gone on maintenance.
Sources close to the NCAA told BusinessDay that apart from Dana Air that has been grounded, over half of the 91 aircraft have gone on maintenance, putting a strain on the few operating aircraft.
BusinessDay’s checks further show that five years ago when 10 domestic airlines operated on Nigerian routes, there were over 120 planes in the country.
Experts say the reduction in aircraft has made travel exclusively for the rich, throwing up monopolies on certain routes.
“It has been a challenge having to move goods out of the airport in good time because there are no aircraft on ground,” Favour Ugwuanyi, a business woman, told BusinessDay.
Ugwuanyi, who deals in mobile phones, told BusinessDay that before now, moving goods from Lagos airport to Port Harcourt, Asaba or Owerri airport took an average of two to five hours to get to the destination depending on the flight schedules.
However, it now takes about two to three days for products to reach their final destination as there are either no planes to lift the products or the aircraft belly on ground has reached full capacity.
Tunde Kudirat, another business man who deals in agro produce, told BusinessDay that some of his products have been sent back because there are no aircraft to lift them.
Kudirat however said the initiative to provide cold room storage would go a long way to help preserve some of the products until there are available planes to airlift them.
“I prefer to move my goods through the airport, even though it costs more, because of the speed at which my customers get them. This key advantage has been eroded by the scarcity of aircraft around the airports,” he said.
There is an average cargo volume an aircraft can carry to give the aircraft a proper balance during take-off, landing and cruising, experts say.
For instance, the Boeing 737-800 has a maximum takeoff weight of about 80,000 kg (175,000 lbs). This includes the weight of the plane, which is about 41,000 kg (90,000 lbs), and the weight of the fuel, which is about 18,000 kg (40,000 lbs). This leaves about 20,000 kg (45,000 lbs) for passengers, cargo, and crew.
Seyi Adewale, chief executive officer of Mainstream Cargo Limited, told BusinessDay that cargoes being moved through the airports include personal items or effects; perishables; company documents or parcels and goods that have their final destinations outside Lagos.
Adewale said another category may include special cargoes that may not be suitable to be transported via road such as ICT gadgets or equipment.
He said the current aircraft shortage challenge reveals the ‘frailties and underbelly’ of the Nigerian aviation sector.
“It further reveals that our present operating environment does not favor the foreign direct investment (FDI) into the aviation sector.
“The exchange rate conversion for funds repatriation does not really favour the external investor because sourcing FX can be challenging,” Adewale said.
He said freight forwarding and clearing companies are faced with three primary challenges.
“First, the capacity for customers to pay associate, emerging or rapidly increasing airline rates is tested with lots of talking and negotiating back and forth with the customer. Second, the cargo spaces are very limited and very competitive.
“Third, any time lag between an airline offer and actual sale or pickup is punitive to the forwarder and also to the customer, depending on the type of agreement reached on all sides. The airlines now execute shorter validity periods, understandably though.
“The potential implication of this is that the ‘niceties’ air freight offers are gradually diminishing because operational efficiency is being lost, inclusive its attractiveness, speed of service, fast, timely, and efficiency,” he explained.
As part of the ways to address the current fleet depletion challenge, he said for perishables, the airports and handling companies need to be creative, innovative, and develop their capabilities to limit the bridges, challenges, or difficulties facing the airlines.
This, he said, can also be an added revenue stream or source in the short- to medium-term that will compensate for their moderate infrastructure investment.
Source: BusinessDay
