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Aviation 2020: A Battle For Survival 

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5 years ago

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The Nigerian aviation sector in 2020 could be likened to a town ravaged by war with wanton destruction of lives, infrastructure and economy, that will take some time to rebuild. Although the sector started on a good footing in the beginning of the year, the outbreak  of the Coronavirus pandemic in the first quarter of 2020 caused the industry an unimaginable setback.
The Coronavirus pandemic, otherwise known as COVID-19, came like a flood, which suddenly broke down all facets of operations in an already flourishing sector, leaving negative imprints that stakeholders are still battling to tackle.
Prior to the outbreak of COVID-19, the Nigerian aviation industry was in steady throttle, ranging from the certification of Abuja and Lagos airports, and the move to also certify the Port Harcourt International Airport and others.
Also, in the later part of 2018, the international terminal of the Port Harcourt Airport was commissioned, and the reconstruction work on the runway of the Akanu Ibiam International Airport, Enugu was awar-ded in August, 2019, all geared towards full operations in 2020.
Generally, the aviation sector in the country was full of activities, with efforts being made to upgrade infrastructure in most of the major airports in the country. From January to the middle of March, airports became a beehive of activities, while travelling by air became the delight of many Nigerians, especially when compared with road transportation that has almost become a nightmare due to deplorable roads and general insecurity.
But that was how far the aviation sector could go in 2020. The once bubling sector suddenly began to witness a terrible downturn in operations as soon as the COVID-19 started to rear its ugly head. The total closure of all the nation’s airports for a period of about six months by the Federal Government in an effort to check the spread of the pandemic   was the climax of the misfortune in the aviation industry.
Although all the nation’s major airports are now open to operations, there is still a lull in the activities of airlines.
The Managing Director of the Federal Airports Authority of Nigeria (FAAN) Capt. Rabiu Yadudu, in the build up to the reopening of the nation’s airports, in line with the agency’s core values of safety, security and comfort of passengers, held a Skype meeting with Munich Airport International to share experience and compare notes on the effects of the COVID-19 lock-down on the airports.
The aim was to assess the readiness of FAAN to gradually begin operations, following the Federal Government’s directive for reopening of the four regional airports.
The FAAN boss said, “While FAAN is responding to the guidelines set by the NCAA for gradual airport reopening during the COVID-19 pandemic period, it is important to also compare notes with other airports in the world to make sure that we are on the right track, and join the global industry in building back travel confidence.
“Munich Airport has successfully reopened it’s airport and has recommended domestic and international flights, so it is worth sharing their experience with them”, Yadudu said.
Though there are guidelines issued by the International Civil Aviation Organisation (ICAO) and Airports Council International (ACI), for the purpose of reopening, the guidelines would become more successful if they are adopted based on the peculiarities of the airport environment.
At the Port Harcourt International Airport, for instance, the reopening for flight operations was greeted with numerous challenges, as many restrictions and procedures were introduced, thus raising a lot of dust and questions among stakeholders and airport users.
The negative effects of COVID-19 on airline operations brought about the issue of difficulty in the payment of staff salaries by the airlines. The maintenance of aircrafts became a major challenge with threats of sack of workers still in contention.
FAAN is not exempted. The Authority is battling with the payment of its staff salaries, which was quite unusual in the history of the agency. This has even led to a pocket of protests by its workers.
In one of the interviews granted to The Tide by the FAAN’s Head of Public Affairs at the Port Harcourt International Airport, Mr Kunle Akinbode, he admitted that lack of funds made individuals, including staff of FAAN, to contribute money for the procurement of items required to meet the COVID-19 standard protocol for the reopening of the airport.
The situation also made the airport authority to look inward to reconsider its system of revenue drive, which led to the unusual constitution of a revenue committee to recover monies being owed FAAN.
Akinbode, in the interview, said that there had been airlines that owed FAAN, but did not pay before liquidation, adding that FAAN had decided to wake up.
“FAAN had been relaxing in the collection of debts. These concessionaires look at FAAN with the idea that it is government business, so we have decided to wake up, maybe because of pressure from COVID-19”, he said.
Looking at the turn of events in the aviation industry in the country in the last one year, compared to the previous years, it is obvious that the sector faired roughly in 2020.
The concessionaires and airlines now go through tough times in operations, as cost of maintenance, repairs and overhaul of aircrafts are in hard currency, with the value of naira continuously depreciating against the dollar.
Rather than employing, airlines are contemplating retrenchment of workers; rather than acquiring more fleets of aircrafts, airlines are battling with aircrafts maintenance and how to settle the debts owed FAAN, obviously due to paucity of funds.
This informs why the airlines have  jacked up their flight ticket prices by 300 per cent within the last two months in order to cushion the effects of almost six months of non operation.
There is no gainsaying the fact that 2020 is one of the worst years for the Aviation sector, no thanks to the Coron-avirus pandemic. The situation will, therefore, require proactive steps and efforts on the part of both the government and airline operators to reinvigorate the sector. Such steps will include granting bail-out to airlines by the government, and if inevitable, a merger of some airlines to save them from total collapse.

 

By: Corlins Walter

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Ban On Satchet Alcoholic Drinks: FG To Loss  N2trillion, says FOBTOB

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6 days ago

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November 24, 2025

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Ahead the December 31 effective date for enforcement of the ban on alcoholic drinks and beverages in PET or glass bottles below 200ml, the Food, Beverage, and Tobacco Senior Staff Association (FOBTOB) has warned that Nigeria risks losing more than N2 trillion in investments.
The union urged the federal government to reverse the planned ban, cautioning that the Senate’s directive to the National Agency for Food and Drug Administration and Control (NAFDAC) would trigger severe socioeconomic consequences across the industry.
Speaking at a Press Conference, in Lagos, the President of FOBTOB, Jimoh Oyibo, said repealing the directive would prevent massive job losses and protect the country from economic disruption.
“Repealing the order would avert the grave repercussions that would most definitely follow the ban, especially by saving approximately 5.5 million jobs, both direct and indirect,” he said.
Oyibo appealed to the Senate to invite stakeholders to a public hearing, insisting that all parties must be allowed to present their positions before any decision is made.
“For a fair hearing and to demonstrate good faith, the Senate should invite relevant stakeholders to a Public Hearing to ‘hear the other side’ and be adequately informed to make an informed decision,” he said.
The union leader urged the Senate to carefully review and endorse the validated National Alcohol Policy, describing it as a multi-sectoral framework developed after last year’s public hearing, when the initial call for the ban was raised.
He urged the lawmakers to consider the entire value chain in the alcoholic beverage industry, including formal and informal workers and legitimate local manufacturers, before approving any enforcement.
Highlighting the economic implications, Oyibo said close to N2 trillion invested in machinery and raw materials could be wasted, while over 500,000 direct workers and an estimated five million indirect workers, including suppliers, distributors, marketers, and logistics operators, could lose their livelihoods.
He said “Nearly N2 trillion worth of investments in machinery and raw materials could be lost. Indigenous Nigerian manufacturers risk total collapse, discouraging future investments.
“Smuggling and the circulation of unregulated alcoholic products may skyrocket, worsening public health dangers. Government tax revenue could decline sharply as factories shut down or scale back operations.
“With rising unemployment and no safety nets, this ban will plunge families into poverty. The very children the policy claims to protect may be forced out of school if their parents lose their jobs”.
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Estate Developer Harps On Real Estate investment 

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6 days ago

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November 24, 2025

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A  Canadian based Nigerian Estate  Developer, Andrew Enofie, has said that diversification of investment into the real  estate sector remains the key to business sustainability.
Enofie said this during the launch of The Golden Gate investments, in Port Harcourt, recently.
He said  real estate sector has always remain stable during period of  inflations, adding that diversification into the sector would ensure that businesses never loose out during such periods.
He also called on Nigerian businessmen to put their money into the Canadian estate industry with the view to reaping maximum benefit.
According to him, Canada  has one of the lowest inflation rate in the world and Nigerian businessmen can reap benefits by putting their monies into the Canadian estate sector.
Enofie said his company, with many years of experience in the real estate sector, can assist Nigerian businessmen with the quest  to acquire property in Canada.
According to him, investors have more opportunities to diversify their funds, saying “it also open doors for investors to invest in the Canadian real estate market.
“With the launch of this fund, we are strategically positioned to navigate current market dynamics,r3 rising demand, shifting rates and evolving economic trends, while focusing on sustainable growth”, he said.
Also speaking, an investor, Mike Ifeanyi, also called on investors to invest in real estate.
He commended the company for its pledged to assist Nigerian businessmen willing to invest in Canada, but added that the whole thing must be transparently done inorder to avoid fraud.
Also speaking, Chukwudi Kelvin, yet another investor, described the event as an eye opener, stressing that time has come for Nigerian investors to go into the Canadian estate sector.
By: John Bibor,/Isaiah Blessing/Umunakwe Ebere/Afini Awajiokikpom
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FG Reaffirms Nigeria-First Policy To Boost Local Industry, Expand Non-oil Exports

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6 days ago

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November 24, 2025

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The Federal Government has reaffirmed its continued commitment to driving Nigeria-First policy aimed at encouraging local manufacturers and improving the economy through the non-export sector.
This is as the National Assembly has revealed that a bill for establishing a Weights and Measures Centre is advancing.
Delivering the keynote address at the Opening Ceremony of the 2025 Nigerian International Trade Fair, in  Lagos, Minister of Industry, Trade and Investment, (FMITI), Dr. Jumoke Oduwole, said that government would continue to promote locally made goods.
Oduwole stated that the fair was not only an opportunity to showcase the best of Nigerian products but ensuring that the country continues to accelerate its non-oil exports under the Renewed Hope Agenda.
The minister noted that the government’s reforms are working and demands a lot of support from all stakeholders.
In her words, “Already, our non-oil exports have grown by 14 per cent. Our exports to the rest of Africa was the fastest growing at 24 per cent last year Q1, year-on-year, CBN released the results at the end of Q1.
“Now, this shows us that our goods are in demand across Africa. Earlier this year, the Federal Ministry of Industry, Trade and Investment opened an air cargo corridor in partnership with Uganda Air, and we mapped 13 Southern and Eastern African countries who want Nigerian products. We understood that they want our fashion, they want our light manufacturing, our food, our snacks, plantain chips, chin chin.
“They also want our zobo, our shea butter, beauty products. The things we take for granted here, our slippers, our hair wigs, are things that are in demand across the continent. And so we’re here to support our Nigerian exhibitors and to welcome our friends across Africa and across the world.
“Exhibitors, buyers who are interested in purchasing, we’re interested in growing these businesses. So a business that is a small business this year should be a medium-sized business in the next five years. Each trade fair has its uses, each trade fair has its conveners, and really, to be honest, there cannot be too many.
“This trade fair, traditionally, has been the largest in the country, and we want to bring it back to its former glory. There’s nothing like a competition.
On her part, the Executive Director, Lagos International Trade Fair Complex Management Board, Vera Safiya Ndanusa, said the board would, in the coming months, champion structured and modernised regulatory frameworks for trade fairs and exhibitions.
She stressed that reviving the Tafawa Balewa Complex was part of a broader mission to strengthen confidence in the nation’s trade infrastructure, while stimulating industrial activity and showcasing the enormous potential of the nation’s citizens.
“Most importantly, we remain the only agency in Nigeria expressly mandated by law to organise trade fairs, and we intend to restore that statutory responsibility to the prominence it deserves ensuring coherence, quality, and national alignment in trade events across the country.
“We will be deepening our engagement with NACCIMA, whose partnership has historically anchored the success of organised trade in Nigeria, while also strengthening ties with ECOWAS, continental business groups, and international partners who share our vision for a more integrated African marketplace.
“In the coming months, we will champion a more structured and modernised regulatory framework for trade fairs and exhibitions, one that protects stakeholders, ensures standards, and positions Nigeria as a credible and well organised destination for regional and continental commerce”, she stated.
She noted that as Africa embraces the promise of the African Continental Free Trade Area, a new momentum was building across the continent.
“For Nigeria, AfCFTA is not just an economic framework; it is a pathway to industrialisation, job creation, and intra-African collaboration.
“This complex must play a central role in that journey. We intend to make this fairground a primary entry point for African trade, a marketplace where producers and buyers from across the continent meet, a logistics hub connected to regional value chains, a centre for cross-border SME activity, and a launchpad for Nigerian businesses looking to expand beyond our borders.
“To achieve this, we are intentionally expanding access to markets physically, economically, and digitally. We are working to make participation more affordable for SMEs, women-led enterprises, and young entrepreneurs. We are improving mobility within and around the complex. A truly vibrant trade ecosystem must be inclusive, and inclusivity begins with access,” she stated.
Chairman, House Committee on Commerce, Ahmed Munir, commended Ministry of Industry Trade and Investment, ED LITF and her team, for promoting the platform as a veritable marketplace of ideas, innovation, and partnership.
He said the event was a clear reflection of the economic agenda of the current administration, supported by Speaker Rt. Hon.Abbas Tajudeen.
According to him, “The House of Representatives recognises that the engine of our economy is the private sector, particularly our Micro, Small, and Medium Enterprises (MSMEs), which contribute nearly 50 per cent to our GDP and employ the vast majority of our citizens.
“To create the competitive environment they need, the National Assembly has been working assiduously to pass and amend vital legislation to enhance the Ease of Doing Business by Streamlining regulatory bottlenecks and reinforcing essential infrastructure to make business operations simpler and more predictable.”
He stressed that as policy makers they would continue to promote the “Nigeria First” Policy through robust legislative support, ensuring that government ministries and agencies prioritise locally manufactured goods in all public procurement processes. “This is our clear statement: We must buy Nigerian to build Nigeria.
“Also to ensure quality and standards, the bill for establishing a Weights and Measures Centre is advancing. Quality is not optional; rather, it is the key to consumer trust and international competitiveness,” he said.
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