Industry related headlines to keep you in the know.
Zambia Airways, the start-up carrier, is making strides in its first year of operations, thanks to a joint venture between Ethiopian Airlines (ET) and the Zambian Government's Industrial Development Corporation (IDC).
With its maiden flight on December 1, 2021, utilizing a leased Dash-8 Q-400 from Ethiopian, the airline has already commenced domestic services from Lusaka to Ndola, Livingstone, and most recently, Solwezi, the provincial capital of Zambia's mineral-rich North-Western Province.
The recent launch of the Solwezi route has shed light on potential changes in passenger behavior and increased domestic flight affordability, addressing a long-standing challenge for the local aviation industry, where high airfares made flying inaccessible to the general public.
Frank Tayali, Zambia's Minister of Transport and Logistics, recognizes the significance of the Solwezi route, as it opens up a new class of flyers within the country. He highlights that this previously underserved market now benefits from more flight options and affordable air travel, thanks to Zambia Airways.
According to the World Bank, Zambia's economy rebounded in 2021, with a 4.6% GDP growth, recovering from a 2.8% contraction during the pandemic in 2020.
Zambia Airways is currently in advanced stages of launching its first regional service to Johannesburg, South Africa, expected to be operated by a yet-to-be-delivered Boeing 737-800. While the initial launch was scheduled for July 2022, it faced delays due to challenges in obtaining a foreign operator permit. Reports indicate that the airline has also obtained permission to launch services to Harare, Zimbabwe, although specific details remain scarce.
With plans to operate 12 aircraft and carry 1.9 million passengers by 2028, Zambia Airways faces the challenge of maintaining sufficient cash flow in its early years to overcome market challenges and competition. Building a reputable brand and establishing credit lines with service providers will also require time. However, the airline's strongest asset lies in unlocking Zambia's untapped potential.
The predecessor of Zambia Airways, the original Zambia Airways (QZ), had successfully developed a network of destinations over three decades, including a robust regional network connecting major southern African capitals through its Lusaka hub. Leveraging its strategic location, Lusaka being within a two-hour flight radius of surrounding capitals, the airline established itself as a central hub for regional and international flights.
The new Zambia Airways also recognizes the value of establishing a central hub in southern Africa, but with a different focus. Thanks to its partnership with Ethiopian Airlines, the carrier can benefit from Ethiopian's extensive reach in Africa through regional hubs and strategic investments in other airlines. Ethiopian's involvement allows for easy access to bilateral agreements and fifth freedom rights, enabling Zambia Airways to carry revenue traffic between foreign countries, facilitating connectivity to African and international destinations.
Ethiopian Airlines has already established regional subsidiaries in Zambia, Malawi, and Togo, and there are discussions underway with the Namibian Government to revive Air Namibia. While these subsidiaries are unlikely to operate outside their respective regions, their primary function will be to deliver feeder traffic to Ethiopian's main hub in Addis Ababa.
Zambia's Civil Aviation Authority (ZCAA) is aware of Zambia Airways' plans to expand operations and potentially compete with Ethiopian Airlines. If these plans come to fruition, the new Zambia Airways may have the opportunity, over time, to follow in the footsteps of its legendary predecessor and proudly represent the nation in the skies.
Subscribe to our Newsletter and stay in the know with all the latest Industry News, Products and Trends covering the whole of the SADC region.
KS Blockchain T/A Laaimylorrie.com . All Rights Reserved.
