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Freight & Trading Weekly

Hopes that Abuja service will boost Nigerian trade growth

18 Mar 2016 - by Lyse Comins
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SAA Cargo has

expanded its network

on the continent

despite challenging

times as supply chain and

logistics

suppliers seek

to cut costs

to survive the

slow global

economy.

Ronel Rossouw,

SAA Cargo’s

national sales

manager, said

the expanded

network

formed part of

the company’s

long-term

turnaround strategy which

had identified growth in

Africa as a key objective.

“We have increased our

innovation in terms of

technology into cities like

Lagos, Dakar, Luanda,

Maputo, Harare, Accra,

Mauritius, Entebbe, Kinshasa,

Blantyre, Windhoek and

Walvis Bay,

with others still

in the pipeline.

We are also

providing

seamless

express cargo

services from

within the

continent via

Johannesburg

into other parts

of the world

like the United

States and

Europe within a short period

of time,” she said.

“Connecting Africa to

the world has been part of

our strategy for some time.

We partner with carriers

on the continent together

with ground handling and

sales agents to enable our

stations on the continent

to have connectivity

throughout,” Rossouw said.

SAA Air Cargo moves an

estimated 131 000 tons

per annum and has a 30%

airfreight market share on the

continent. The company won

the African Cargo Airline of

the Year award and launched

its Accra-Washington DC

operation in 2015 and the

Johannesburg –Abuja-

Johannesburg route in 2016.

Rossouw said imports

into Africa had dropped

last year following the

cancellation of the airline’s

Mumbai route, mostly used to

transport pharmaceuticals,

while the introduction of

the Airbus 320 aircraft to

replace the Boeing 737-

800 had reduced capacity.

“However, out of our African

markets we have seen a 2%

increase year

on year in

exports and

are hoping

that will

improve. We

plan to keep

increasing

our capacity

on the

continent

by accessing

more

markets,” Rossouw sad.

Southern African countries,

especially Zimbabwe and

Zambia, were showing

consistent demand for both

imports and exports, while in

East African countries such as

Uganda, Kenya and Tanzania

exports were growing, she said.

“We are hoping that this

year Nigeria will pick up with

the launch of our direct three

weekly

service into

Abuja,” she

said.

But

challenges

facing the

airfreight

sector,

Rossouw

said, were

rising

handling

costs and continuous pressure

on yields as international

carriers were shifting focus

from China to increase

capacity on the continent.

INSERT & CAPTION

We plan to keep

increasing our

capacity on the

continent by accessing

more markets.

– Ronel Rossouw

 

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