Travel/Tourism
Africa’s Freight Demand Rises 15.9% on Asian Investment Flows
By Dipo Olowookere
A new report released last week by the International Air Transport Association (IATA) has shown that African carriers saw increase in freight demand by 15.9 percent in February 2018 compared to the same month last year – the largest increase of any region.
The report disclosed that capacity increased by 3.9 percent and was helped by very strong growth on the trade lanes to and from Asia driven by ongoing foreign investment flows into Africa.
IATA said while the surge in demand on the route looks to have stabilized, volumes still increased by nearly 24 percent in year-on-year terms in January.
Globally, the report revealed that air freight markets for February 2018 recorded 6.8 percent increase in demand measured in freight tonne kilometres (FTKs) compared to the same period last year.
Adjusting for the potential Lunar New Year distortions by combining growth in January 2018 and February 2018, demand increased by 7.7 percent. This was the strongest start to a year since 2015.
Freight capacity, measured in available freight tonne kilometres (AFTKs), grew by 5.6 percent year-on-year in February 2018.
Furthermore, demand growth outstripped capacity growth for the 19th month in a row, which is positive for airline yields and the industry’s financial performance.
The continued growth in air cargo demand is consistent with ongoing robust global trade flows. There are, however, signs that the best of the upturn for air freight has passed. Demand drivers for air cargo are moving away from the highly supportive levels seen last year.
In recent months the Purchasing Managers’ Index (PMI) for manufacturing and export orders has softened in a number of key exporting nations including Germany, China and the US. And the seasonally- adjusted demand for air cargo which rose at a double-digit annualized rate for much of 2017 is now trending at 3 percent.
“Demand for air cargo continues to be strong, with 6.8 percent growth in February. The positive outlook for the rest of 2018, however, faces some potentially strong headwinds, including escalation of protectionist measures into a full-blown trade war.
“Prosperity grows when borders are open to people and to trade, and we are all held back when they are not,” said Alexandre de Juniac, IATA’s Director General and CEO.
The report also said North American airlines’ freight volumes expanded 7.3 percent in February 2018 compared to the same period a year earlier, and capacity increased by 4.1 percent.
Seasonally-adjusted volumes are broadly trending sideways. The weakening of the US dollar over the past year has helped boost demand for air exports.
Data from the US Census Bureau shows a 10.2 percent year-on-year increase in air export volumes from the US in January 2018, compared to a slower rise in imports of 6.7 percent.
In the same vein, European airlines posted a 5.7 percent increase in freight volumes in February 2018. This was almost half the rate of the previous month and the slowest of all regions.
Capacity increased 3.8 percent. Seasonally-adjusted volumes have been volatile in 2018 with the jump in demand in January largely reversed in month-on-month terms in February.
The strength of the Euro and the risks from protectionist measures may impact the European freight market which has benefitted from strong export orders, particularly in Germany, in recent years.
Also, Asia-Pacific airlines saw demand in freight volumes grow 6.5 percent in February 2018 and capacity increase by 7.2 percent, compared to the same period in 2017.
The upward-trend in seasonally-adjusted volumes has returned, with volumes currently trending upwards at an annualized pace of between 6.0 percent and 7.0 percent.
As the largest freight-flying region, carrying close to 37 percent of global air freight, the risks from protectionist measures impacting the region are disproportionately high.
By Aduragbemi Omiyale
About 14.12 per cent stake in Ikeja Hotel Plc has been acquired by Honeywell Group Limited, a notice on the Nigerian Exchange (NGX) Limited has revealed.
Honeywell Group took up the part of the hospitality firm through one of its affiliates known as HGL Real Estate Limited.
Ikeja Hotel, in the disclosure filed with the NGX on July 2, 2026, said the stake comprised 305,323,525 units of its equities.
“Ikeja Hotel hereby notifies the Nigerian Exchange Limited and the general public that it has received notification from HGL Real Estate Limited, an affiliate of Honeywell Group Limited, that it has acquired 305,323,525 units of Ikeja Hotel Plc’s shares, representing 14.12 per cent shareholding in the company,” the notice stated.
Ikeja Hotel is one of Nigeria’s leading hospitality investment and hotel management companies with premium hospitality assets.
It operates two leading hospitality organisations in Lagos, the Sheraton Lagos Hotel and Balmoral Convention Centre.
By Aduragbemi Omiyale
About 10 hospitality establishments, including hotels and restaurants, were sealed on Wednesday by officials of the Lagos State Environmental Protection Agency (LASEPA).
The affected businesses are located in different locations in the Alimosho Local Government Area of the metropolis, Business Post learned from a statement from the agency.
It was stated that they were sealed by LASEPA for persistent violations of environmental regulations despite repeated warnings, abatement notices, and several opportunities to comply with the agency’s directives.
According to the notice, the enforcement exercise was carried out in line with the directives of the Lagos State government to ensure strict compliance with environmental laws and to safeguard public health.
The affected facilities were said to have breached various environmental regulations, including noise pollution, air pollution, unlawful discharge of untreated effluent, obstruction of official duties, among others.
LASEPA closed the premises of Granduer Meridian at Obasa Akiniyi Street, Oluwaga, Ipaja for non-compliance with the agency’s directives; Lasola (Spazio Bar), located on Ipaja Road, Fatolu Bus Stop, Ipaja, was sealed for noise pollution and non-compliance with directives; Millennium Restaurant, located at Gate Bus Stop, Ipaja, Ayobo, was shut down for non-compliance with directives; O2 Exquisite Suites & Tower on Jimoh Akinremi Street, Jimoh Bus Stop, Akowonjo, was sealed for non-compliance with directives; and Chirozz Hotel & Suites, located on Samuel Street, Akowonjo, by Vulcanizer Bus Stop, Egbeda, was closed for noise pollution and non-compliance with directives.
In addition, House 7 Hotel, located at Remi Akande Street, Egbeda, was sealed for non-compliance with LASEPA’s directives; House 48 on Isiba Oluwo Street, Egbeda, was sealed for non-compliance with directives; Exclusive Hotel, located at Ishan Kimishe, Akesan Bus Stop, was shut down by non-compliance with directives; Sabola Ventures Limited, Iocated at Km 11, LASU–Isheri Road, Igando, was shut down for operating without evidence of an Effluent Treatment Plant (ETP), and discharging untreated effluent into public drains; and City Int’l Motel, located at Chief Olu-Adegbite Street, off Oladun Street, Council Bus Stop, Idimu, was sealed for non-compliance with directives.
By Modupe Gbadeyanka
Emirates has become the first airline cargo carrier to deploy the Boeing 777-300ERSF passenger-to-freighter converted aircraft.
The aircraft (A6-EBK) will enter commercial service with a flight from Hong Kong to Dubai carrying over 100 tonnes of cargo, a statement from the airline operator stated.
The converted Emirates Boeing 777-300ERSF offers 100 tonnes of payload capacity and 811 m³ of cargo volume, representing a 25 per cent increase in cargo volume over the Boeing 777-F production freighter.
At 47 pallet positions, the converted aircraft also accommodates 10 additional pallet positions when compared with the Boeing 777-F production freighter, making it ideal for transporting volumetric cargo such as e-commerce goods, which currently constitute around 20 per cent of global air cargo tonnage with further growth projected in the next few years.
The converted Boeing 777-300ERSF is the sixth new freighter, following five Boeing 777-F production freighters, to join Emirates SkyCargo’s fleet since March 2026.
As part of its ambitious expansion strategy, Emirates SkyCargo will also be taking delivery of five additional Boeing 777-F aircraft as well as one additional converted Boeing 777-300ERSF by December 2026.
Emirates SkyCargo will also be introducing three additional converted Boeing 777-ERSFs into its fleet in 2027.
“The induction of the first converted Emirates Boeing 777-300ERSF into operational service represents the next step in the expansion of our fleet and operational agility.
“We are optimising our fleet assets by converting older Boeing 777-300ER passenger aircraft to meet the growing demand for air cargo capacity to transport goods rapidly across the world,” Emirates SkyCargo’s Divisional Senior Vice President, Badr Abbas, commented.
“Combined with our growing fleet of Boeing 777-F production freighters, we have already been able to scale our global freighter network from just over 40 destinations in February this year to 62 destinations currently and growing.
“We are providing our global customers with scalable cargo capacity and ultimate flexibility and connectivity when moving cargo to and through our hub in Dubai,” Abbas added.
