Nigeria's domestic air cargo industry is suffering due to a lack of cargo aircraft for the specific transportation of cargoes within the country.
General Sales Agents (GSAs) are only using cargo hold aircraft to move freight as they seek a more coordinated air cargo development strategy.
According to Ehi Multi Systems Nig. Ltd. CEO Lucky Omokhodion, the GSAs’ dependence on passenger aircraft has limited the growth of the air cargo business in Nigeria.
He said investing in cargo planes was capital intensive but a worthy cause.
“We do not have cargo flights, we only have passenger flights, and it is through passenger flights that we transport all cargo throughout the country.
“Recently, this became a concern; since Dana is not flying, Arik has had problems. This really brought the business down to zero. Fortunately, Arik is back. These are our main airlines.
“What an investor will consider is how to transport the goods at an acceptable speed, but the amount must match what he will spend on fuel and other things.
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“If a cargo plane is carrying goods to Abuja, for example, it should come back loaded with cargo. The investor will lose out if it comes back empty or half empty,” he said.
Mr Omokhodion said air cargo operators had lost customers due to the unavailability of cargo aircraft.
“Some customers have adopted alternative means of transporting their cargo,” he said.
According to him, fresh fruits and vegetables, among other perishable products, have been spoiled from one state to another as a result of cancelled or delayed flights.
Ibom Air Chief Operating Officer George Uriesi called for a more coordinated and strategic approach to fully harness the country's potential in the sector.
Skyway Aviation Handling Company Chief Operating Officer Herbert Odika listed some challenges facing the Nigerian air cargo industry.
He said challenges included fluctuating prices of jet fuel, regulatory bottlenecks, inadequate storage facilities and a lack of advanced technology.
To facilitate the export of goods, Mr Odika recommended regulating exports, incentivizing airlines and handling companies, and regularly training employees of handling companies and security personnel.
He said that for air cargo operations to be successful, government agencies need to work with handlers, while handlers need to regularly train and retrain their staff and be innovative.
“Airlines and operators must provide a satisfactory customer experience. In addition, good storage and warehousing facilities must be put in place,” Odika said.
Red Star Express Group Managing Director and Chief Executive Officer Auwalu Babura said the improvement in air cargo operations would positively impact Nigeria’s Gross Domestic Product.
According to Mr. Babura, Nigeria needs $5 billion to fix the infrastructure of 24 airports.
Nigeria Aviation Awards Chairman Fortune Idu said the International Air Transport Association had identified a correlation between improved air cargo connectivity and increased total business value.
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“A 1 percent increase in freight connectivity is associated with a 6.3 percent increase in total exports and imports.”
Mr. Idu called for the establishment of a framework for air cargo logistics that examines the responsibilities of airports and various partners in the air cargo distribution link, as well as their operational readiness.
(YAYA)