Tag: Heathrow Airport

  • Ethiopian Airlines: A Real Success Story Of A State Owned Enterprise

    South African Airways (SAA) are in a very terrible situation said an internal memorandum on the 6th of November 2015,

    It was made public last month that the SAA is technically insolvent and thus mortified of careless and irresponsible trading.  It is also legally obliged under the Companies Act to file for the liquidation of the company. But after the investigation of the SAA failure, it is confirmed that the quality of management was responsible, not the state ownership.

    Ethiopian Airlines, largest African airline

    Ethiopian Airline is the fastest growing and largest profitable airline in Africa. The airline has grown at an average rate of around 20 to 25 percent every year.The profits for the fiscal year 2014/15 were amounted to $175 million, which was more than the profits of entire African airlines combined.

    Ethiopian Airlines network

    Ethiopian airlines is the most networked African airline because both in terms of schedule routes within the Africa as well as the international destinations. It serves almost 91 destinations internationally, where, 52 destinations in Africa, 15 destinations in Europe and America, however 24 destinations are in Asian countries from Gulf to Tokyo.

    It has a youngest and the largest cargo fleet in Africa. It has 68 passenger planes and makes more than 230 departures daily, it is an average of the previous five years.

    Cargo and freight within Africa

    The airline has around 1.2 million tonne annual capacity of cargo and freight and it has its major cargo terminal in Addis Ababa, airline hub. This hub is a massive setup and slightly smaller than London Heathrow Airport, which is the 4th largest in Europe.

    Ethiopian airline currently covers 48 cargo destinations where the largest  portion comes from Europe and Asia. The major part of cargo to Africa handled by the airline ad it has eight dedicated cargo carriers, however, by 2025, airline has a target to increase the fleet to 18 cargo carriers.

    The success factor

    The major success factor of the airline is strategically capturing of entire African market and the establishment of a multi hub system on the continent. The strategy and alliance president of the airline commented that Africa is a massive continent and it was not sufficient to control the continent with one hub.

    Thus, the airline bought the failing ASKy airline and Air Malawi and used them as a part of the multi system hub.

  • UK Shippers Welcome Heathrow Upgradation Plan!

    UK government is looking to increase Cargo volume at Heathrow Airport

     

    The Freight Transport Association (FTA) has said the warm welcome to Heathrow up gradation plans. It is important to highlight that FTA had requested to double cargo investment at London Heathrow previously as well. The authorities never took it seriously earlier, but it’s never too late to step towards the right direction.

    The plan to double cargo investment at Heathrow will have long lasting impacts on the growth of the UK economy as a whole. The freight industry will flourish and strengthen the foundation for growth and prosperity.

    Export Target 2020

    Heathrow Chief Executive John Holland Kaye explained, Cargo is the back bone of the UK economy and Heathrow is a central “freight connector” for the world. He said, about 26% of total goods are being shipped by London Heathrow.

    The new cargo investment plan will improve support facilities that will help to enhance cargo services. He said, we at London Heathrow are committed towards achieving export target. The UK government has set £1trn export target to be met by 2020.

    Air freight is crucial

    The FTA has highlighted the importance of air freight and defined it as one of the most effective and efficient cargo channels. Its importance increases many folds in regards with pharma goods such as the high-value lifesaving drugs that require the fastest delivery channel.

    No doubt air cargo is the fastest available medium of transporting such goods outside the country. The cargo investment will result in huge profits and portray strong image for London Heathrow.

    Fool Proof Cargo Arrangements 

    According to the details of the plan, the new pharmaceutical facility will be built at Heathrow along with arrangements to take care of temperature sensitive items and goods.

    The expansion and improvements of cargo facilities will reduce the delays and congestion and will enable smooth processes for international cargo. The plan will help to make “London Heathrow” an international cargo hub with state of the art support facilities.