Friday, September 19, 2025
Home Blog Page 1712

Africa leads global passenger, air cargo demand

0

The International Air Transport Association (IATA) has released data for February 2024, revealing a robust surge in global passenger demand, with African airlines leading the growth trajectory.

In February 2024, total demand for air travel, measured in revenue passenger kilometers (RPKs), soared by 21.5% compared to the same month in 2023. This substantial increase in demand was complemented by a 18.7% rise in total capacity, measured in available seat kilometers (ASK), resulting in an improved load factor of 80.6%, an increase of 1.9 percentage points compared to February 2023.

On the international front, demand surged by 26.3% compared to February 2023, with capacity up by 25.5% year-on-year. The load factor for international flights improved to 79.3%, marking a 0.5 percentage point increase from February 2023.

Domestically, demand experienced a notable 15.0% increase compared to February 2023, with capacity up by 9.4% year-on-year. The load factor for domestic flights also saw a significant rise to 82.6%, marking a 4.0 percentage point increase compared to February 2023.

Commenting on the industry’s performance, Willie Walsh, IATA’s Director General, expressed optimism about the prospects for the aviation sector in 2024. He highlighted the industry’s resilience in the face of geopolitical and economic uncertainties, urging politicians to refrain from imposing new taxes that could destabilize the positive trajectory of the aviation sector.

Among all regions, African airlines demonstrated remarkable growth in international passenger demand, recording a 20.7% year-on-year increase in February 2024. Capacity for African airlines also experienced a significant uptick, rising by 22.1% year-on-year. Despite the impressive growth, the load factor for African airlines dipped slightly to 74.0%, a decrease of 0.8 percentage points compared to February 2023.

The data for February 2024, also highlights a remarkable period of sustained growth in the global air cargo markets, with Africa standing out as the leader in demand growth.

In February 2024, total demand for air cargo, measured in cargo tonne-kilometers (CTKs), surged by 11.9% compared to the same month in 2023, marking the third consecutive month of double-digit year-on-year growth. This rise was even more pronounced in international operations, which saw a 12.4% increase.

Capacity growth also kept pace, with available cargo tonne-kilometers (ACTKs) up by 13.4% over February 2023, and a significant 16.0% increase in international operations. This capacity expansion was largely attributed to the growth in international belly capacity, a result of the rising passenger market, which saw a 29.5% year-on-year increase and far exceeded the growth in international capacity on freighters.

Willie Walsh, IATA’s Director General, commented on the robust growth, “February’s demand growth of 11.9% far outpaced the 0.9% expansion in cross-border trade. This strong start for 2024 could see demand surpass the exceptionally high levels of early 2022, showcasing air cargo’s resilience amidst ongoing political and economic uncertainties.”

The report highlighted several key factors contributing to this environment, including a slight increase in global cross-border trade by 0.9% in January and a rise in the manufacturing output Purchasing Managers’ Index (PMI) to 51.2 in February, indicating an expansion in manufacturing output.

Among all regions, African airlines experienced the most significant surge in demand, recording a 22.0% year-on-year growth in air cargo for February. This was the strongest performance globally, with intra-Africa trade lanes showing an astounding 42.3% growth compared to the previous year. Capacity for the region also increased by 28.2% year-on-year.

Comparatively, Asia-Pacific airlines witnessed an 11.9% growth, a slowdown from January’s 24.3% increase, likely due to post-Lunar New Year adjustments. North American carriers reported the weakest growth at 4.2%, while European carriers saw a 14.6% increase, buoyed by strong intra-European trade. The Middle East and Latin American carriers also posted strong growth rates of 20.9% and 13.7% respectively.

The remarkable performance of African airlines in February 2024 underscores the continent’s leading role in the global air cargo sector’s growth, reflecting the robust demand for air freight and the dynamic expansion of intra-African trade. As the global economy navigates through uncertainties, the air cargo industry, especially in Africa, continues to demonstrate resilience and a significant potential for further growth.

Huawei, AAU strengthen collaboration in talent development

0

Huawei and Addis Ababa University (AAU) joined forces to organize a job fair and solidify their partnership in talent and skill development, as announced in a memorandum of understanding (MOU) signed between the two entities. The event took place at the Addis Ababa Institute of Technology (AAiT) on April 5, 2024, and aimed to enhance internship and employment prospects for graduate students.

The CEO of Huawei Ethiopia, Liu Jifan, expressed his enthusiasm for the collaboration, highlighting the convergence of academia and industry in the field of technology. He emphasized Huawei’s commitment to Ethiopia and its dedication to supporting young graduates through recruitment and internship opportunities. Liu also stated that Huawei is actively contributing to Ethiopia’s digitalization goals outlined in the “Digital Ethiopia 2025” initiative by incorporating technologies such as 5G, mobile money, and broadband.

Dr. Bikila Teklu, the Chief Executive Director of AAiT, acknowledged the importance of strategic partnerships with industry leaders like Huawei in AAU’s new strategic plan. Such collaborations provide students and faculty with industry exposure and capacity-building opportunities, ultimately producing graduates who meet the demands of the job market. Dr. Teklu highlighted the existing Huawei ICT practice center at AAU, which offers practical training in telecom infrastructure installation and configuration, benefiting both students and graduates.

The Ministry of Labor and Skills representative, Zerihun Alemayehu, emphasized the significance of the ICT sector in job creation and the digital transformation of Ethiopia. He praised the university-industry linkage as a crucial element in developing a skilled workforce. Zerihun commended the collaboration between Huawei and AAU for their efforts in job creation, talent identification, and skill development, and encouraged the expansion of such initiatives to other industries and institutions.

The job fair provided a platform for graduates to interact with hiring institutions and create favorable conditions for employment. Zerihun highlighted the challenges in the recruitment process and emphasized the importance of endurance, problem-solving ability, innovation, and continuous learning. He appreciated the collaborative efforts of Huawei and AAU in addressing these challenges and creating opportunities for talent development.

In addition to the job fair, Huawei senior specialists shared their expertise with students, showcasing the company’s technological breakthroughs, including cybersecurity advancements. Huawei Ethiopia is currently implementing various corporate social responsibility initiatives in partnership with the Ministry of Education, including Seeds for the Future, Digi Truck Ethiopia, ICT competitions, and ICT Academies.

The collaboration between Huawei and AAU demonstrates the commitment of both organizations to nurturing talent and fostering innovation in Ethiopia’s rapidly developing technology sector. By bridging the gap between academia and industry, they aim to equip graduates with the skills and experiences necessary to contribute to the country’s digital transformation and economic growth.

Freight Forwarders association appoints new leadership, outlines vision for industry advancement

0

The Ethiopian Freight Forwarders and Shipping Agents Association (EFFSAA) has unveiled its new leadership lineup, signaling a fresh direction for the influential logistics advocacy group for the coming years. In a significant reshuffle during its latest general assembly, the association saw the replacement of five out of its seven board members, including the departure of its past president, Elizabeth Getahun, who served her full term.

Dawit Woubishet, who has been the association’s vice president for nearly three years, steps up as the new president of EFFSAA, a decision warmly received within the community. Bringing a wealth of experience from his tenure as a board member and CEO of Pave Logistics and Trading PLC, Anteneh Alemu will serve as the vice president, enhancing the leadership team’s expertise.

Dawit, a seasoned veteran in the freight forwarding sector for nearly thirty years, also holds prominent roles on the international stage, including leadership positions within the FIATA Airfreight Institute and as an extended board member of the International Federation of Freight Forwarders Associations (IFCC). His broad involvement extends to various international and Ethiopian professional and social groups, particularly as head of the FIATA Consultative Council (IFCC), which collaborates closely with airline and forwarder representatives to advise the IATA.

His business, Tradepath International, has been pivotal in managing the ground transportation logistics for perishable goods, notably in the floral industry, and has represented around 13 airline companies. Additionally, his ventures into the global courier and e-commerce spheres through the Aramex franchise underscore his commitment to advancing Ethiopia’s logistics sector.

During his term, Dawit aims to cultivate a cadre of competitive professionals within the logistics industry to meet global standards. He emphasizes the importance of continuous advocacy for enhanced logistics platforms, collaboration with the government on utilizing regional ports efficiently, and leveraging the African Continental Free Trade Area to Ethiopia’s benefit.

Moreover, Dawit highlighted EFFSAA’s ambitious proposal to host the prestigious FIATA congress in 2027, a significant event that would bring together approximately 2,000 industry experts from around the globe and mark a notable achievement for Africa, having hosted it only twice in FIATA’s century-long history.

The assembly also introduced new board members, including Mesfin Tefera of Abay Logistics Plc, Emebet Tafesse from Erkab Transit and Consultancy Services Plc, Tesfaye Gelan of TM Multimodal Logistics Plc, Goitom Asfaw from AGL Logistics Ethiopia, and Aklilu Sahlemariam of Cruise Logistics Plc, all set to contribute to the association’s future successes.

EDR expands partnerships for enhanced logistics and investment in railway facilities

0

The Ethio Djibouti Railway Standard Gauge Share Company (EDR) and the Djiboutian port operator Doraleh Container Terminal Management Company (SGTD) are in talks to invest in railway facilities. Additionally, EDR is planning to start working with a Chinese enterprise in Nagad and Dire Dawa.

Abdi Zenebe, the CEO of the joint venture between the governments of Ethiopia and Djibouti, stated that the railway firm is expanding its business and diversifying its operations by forming new partnerships with interested parties in the logistics industry.

According to him, negotiations are underway between the railway firm that links Djibouti with central Ethiopia and SGTD, a modern container port operator in Djibouti, for the port operator to participate in parts of EDR’s operations.



Regarding EDR’s operations, the Ethiopian side expects to support the flow of goods such as mining and agricultural products, and the ports in Djibouti are interested in increasing port efficiency, according to Abdi.

As they put it, “we are jointly working together and in the near future SGTD will have an investment in the logistics activity that we carry.”

“It is a mirror image; we have partnered with SGTD to improve the activity and involve the port operator in certain areas, so the efficiency at the railway has a direct impact on ports,” he told Capital, adding, “They have specific experience handling port machinery.”

Experts in every field, including cranes, are available at SGTD; for example, they are now inspecting Endode’s EDR equipment.

“They will assist us in increasing our productivity at Dire Dawa, Sebeta, and other stations. They are interested in investing in the logistics industry, therefore, we are searching for opportunities to work together on a joint venture,” Abdi continued.

He said that talks are now taking place between the two sides to determine which sectors the port operator will invest in as a business partner at EDR.



The CEO remembered that end-to-end service as a last and first mile is soon to be introduced to increase the railway company’s income and quality of service.

The CEO claims that the firm will have vehicles to carry out the plan, but until then, it will launch a leasing program.

“We are working on it because we have the ability and knowledge to operate as freight forwarders, which is unavoidable. In the upcoming years, we will diversify into several industries and will have around seven satellite firms,” he said.

A portion of the business will be conducted under the public-private partnership (PPP) model, per the proposal. He declared, “At this time, we have already begun the PPP arrangement with the Chinese company, CCECC.” To improve the shipping of fertilizer and oil, the Chinese company and EDR developed a bulk cargo containerization (BCC) hub at the Nagad Railway Station in Djibouti.

In the same vein, the company will invest in Dire Dawa to upgrade the coal and cement ship that will soon be active.

About two months ago, Sebeta Railway Station in Ethiopia opened for business, and more recently, Hol Hol Railway Station in the Djiboutian part, according to the CEO.

The business has already made it possible to deliver strategically important goods like fertilizer. Moving billets is now a component of the growth of the modern transportation infrastructure’s freight activities.

According to the CEO, EDR will begin shipping commodities from the dry port in Dire Dawa and coal from Sebeta. “At the same time, clinker will be transported as part of business diversification,” the CEO stated.