Black Box

Nigeria’s aviation industry: A struggle for growth

Published by

3 days ago

Recently, one of Nigeria’s fledgling airlines, ValueJet, announced that it would open a Lagos to Banjul, route, come May 15, 2025. This proposed launch, expected to kick off a week from now, has however, raised concerns about the viability of this venture, given the challenges faced by Nigerian carriers on local routes.

The airline’s decision to embark on the route despite the apparent passenger drought raises questions about its sustainability.

One major issue plaguing the aviation industry in Africa is protectionism, with many governments viewing aviation as a significant revenue source rather than a means to open their countries to larger markets.

African countries need to shift their perspective and recognise that more people travelling in and out of their countries can boost local economies.

Instead of seeing airlines from other African countries as threats, they should strive to create a more favourable environment for air transport growth.

The Yamoussoukro Decision and the Single African Air Transport Market initiative aim to liberalise air transport services in Africa, but their effectiveness is hindered by protectionist policies in many countries.

Nigerian airlines face significant challenges, including high operating costs, taxes, and charges, which ultimately affect passengers. The cost of aviation fuel, coupled with high taxes and the devaluation of the naira, make it difficult for airlines to maintain competitive pricing.

Nigeria, in particular, seems to favour foreign airlines while imposing high charges and taxes on local carriers. This disparity discourages growth and makes it difficult for Nigerian airlines to compete.

Inadequate infrastructure at airports, outdated facilities, poor maintenance, and limited capacity at major airports often lead to flight delays and cancellations, which negatively impact customer satisfaction and the overall efficiency of the sector.

For instance, bird strikes have become a disturbing phenomenon at our airports in recent times. The result is a colossal debt burden which the affected airlines must bear alone.

A case of an airline recording three of such bird strikes in a spate of 24 hours is worrisome.

The burden of such attacks is that the ill-fated aircraft would be grounded for a period of time for checks by the affected airline, thus scaling down operational efficiency, with the attendant negative effects on hapless air passengers who will have to go through unavoidable delays and at times, cancellations.

To ensure the long-term sustainability of airlines like ValueJet, the Nigerian aviation industry needs to address these broader issues.

This can be achieved through a combination of measures, including reducing protectionism, investing in infrastructure, streamlining regulations, and promoting competition among airlines.

By adopting a more collaborative approach and reducing protectionism, African countries can promote air transport growth and economic development.

Upgrading airport infrastructure and investing in modern facilities can also improve passenger experience and increase the efficiency of air travel.

Streamlining regulatory processes and reducing bureaucratic hurdles can help airlines operate more efficiently and reduce costs while encouraging competition among airlines can lead to better services and lower prices, ultimately benefiting passengers.

The success of ValueJet’s new route will depend on various factors, including passenger demand, competition from existing carriers like Overland, and the airline’s ability to manage costs and provide reliable services.

By working together, African countries can unlock the full potential of air transport and promote economic growth and development across the continent.

The Nigerian aviation industry’s struggles highlight the need for a more supportive environment for air transport growth, and addressing these challenges can help ensure the long-term sustainability of airlines like ValueJet.