Africa's Cargo Market and Opportunities in Aircraft Conversion

Africa's Cargo Market and Opportunities in Aircraft Conversion

FEATURE FEATURE According to Cargo Facts Global efficiency by reducing turn-around- Freighter Forecast 2021 - 2040, overall times.To meet future demand for Africa's Cargo Market And the global fleet of dedicated freighters freighter conversions Vallair's portfolio is expected to grow by about 50% to of A321is ready to support the around 4,000 aircraft in total, and it is From a cargo narrowbody freighter fleet for many Opportunities In Aircraft estimated that a combination of perspective, there are years to come. Maximising the life of around 1,000 new build and 2,000 these assets will ensure that the fleet of converted freighters will be needed - certainly many converted cargo airplanes will enter into around 50% for replacement and opportunities in terms their second life after conversion Conversion around 50% for growth of the fleet. of demand for air providing customers and partners with At Vallair,we have invested heavily in unmatched value underpinned by a our cargo conversion programme. The freight, a contributary By Patrick Leopold range of sale/lease options. A321F is the greenest, and most factor to which is the efficient narrowbody freighter currently This is the start of a new era for air ver the last couple of years, Customer relations are key in any region, emerging and available. Converting younger aircraft cargo in Africa as e commerce firmly levels of air cargo within the however personal contacts and face to into freighters certainly has augmenting middle- establishes itself within the region. Over OAfrican continent have face contact are paramount for business environmental advantages. As the class and the the past few years, the GDP in some demonstrated a consistent in Africa. We are witnessing a strong technology used within the aircraft is African countries has risen by up to 7%. augmentation, surpassing those of any drive amongst young people to enter into subsequent demands younger by default, operators of this Due to strong trade and investment other region according to IATA. In aviation and they are taking an freighter can expect to see a 20% of e-commerce. within the region from Asian general, due to the associated credit entrepreneurial approach to the industry. reduction in fuel burn per payload. superpowers, the reality of this is a 17% risks, lessors are more cautious to lease Politics, and the unsettled nature of the With the surge in demand for air cargo year-on-year growth for the air cargo to this market. The aviation industry political climate within some countries, as a result of the pandemic, and the industry, and investment from freight takes adifferent format in Africa as certainly present challenges to the next availability of feedstock, we believe that forwarders will further improve the airlines are predominantly state-owned, generation of would-be aviation the A321F will be the future of e- infrastructure and security around the and those that are privately owned professionals, however if one can find commerce and satisfy market demands A321F allows for the transit of ten airports. have a greater tendency to struggle. good opportunities there is certainly for the next 20 years. containers in addition to the fourteen There remains a significant amount of potential. cargo positions available on the upper As such, this makes Africa a very fragmentation in the African market as As well as offering a higher volumetric cargo deck; this ability to offer interesting prospect for Vallair and also the connection throughout Africa is less Our lease services provide operators with capacity, the lower cargo hold on the containerised cargo, increases for our cargo conversion programme. unified and a coherent market is yet to a number of flexible solutions, from short be achieved. term leases helping operators optimise their busy periods while limiting their Patrick Leopold From a cargo perspective, there are overall cost base, to long term leases Director of Trading & Leasing certainly many opportunities in terms of with integrated support services. Vallair's demand for air freight, a contributary extensive aircraft MRO capabilities, as factor to which is the emerging and phone data. Having previously well as engine and aerostructure repair Partnership augmenting middle-class and the conducted business in Africa, we are capabilities, support our trading and subsequent demands of e-commerce. keen to pursue this avenue. There will of leasing division, offering customers the ...RwandAir, Visit Rwanda Join Basketball Africa League As Official Partners This has been bolstered by a greater course be risks and challenges, peace of mind that comes with level of internet access through mobile however,these will be outweighed by the integrated support. he Basketball Africa League environment. rewards. (BAL) and the Rwanda Amadou Gallo Fall, BAL President, T states: "As we set to tip off our league "Hosting the BAL in Rwanda is also a Development Board (RDB) announce a multi-year partnership that and make basketball history, teaming testament to Rwanda's successful makes "Visit Rwanda" - the country's up with RDB and RwandAir reflects our handling of the COVID-19 pandemic, marketing and tourism initiative - a belief that sports, and basketball in and we are pleased to welcome all the Founding and Host Partner of the particular, can be an economic growth players and visitors to Rwanda for a safe inaugural BAL season. engine for the continent. Rwanda is and seamless experience." leading the way for tourism in Africa, RwandAir says it will be the league's and this partnership will highlight an Yvonne Makolo, RwandAir CEO, adds: Official Airline for the inaugural season African continent that is creative, "As Rwanda's national carrier, we're and has provided travel to and from vibrant and ready to tell its story." honoured to be the official airline Kigali for select BAL teams and staff. partner of the BAL. We're excited to play Clare Akamanzi, Rwanda Development such a pivotal role in uniting teams The partnership will showcase Rwanda Board CEO, notes: "We are thrilled to across Africa for the inaugural season. In as a world-class tourism and investment partner with the BAL as it gives us an addition to vaccinating all RwandAir destination and highlight Africa's invaluable opportunity to showcase the employees, we've implemented stringent growing sports industry. Visit Rwanda wonders of Rwanda. As a Founding and health and safety protocols on board will be showcased on BAL team Host Partner, we will reach millions of and at the airport.These measures mean uniforms, and the BAL and RDB will basketball fans from all around the that players and staff will have the collaborate on youth development and world and promote Rwanda's natural highest level of reassurance and peace social responsibility initiatives in Kigali beauty, budding sports tourism, and of mind on their journey to and from during the season. conducive investment and business Kigali." 15 14 June - July 2021 Aviation & Allied Business JOURNAL June - July 2021 Aviation & Allied Business JOURNAL FEATURE FEATURE According to Cargo Facts Global efficiency by reducing turn-around- Freighter Forecast 2021 - 2040, overall times.To meet future demand for Africa's Cargo Market And the global fleet of dedicated freighters freighter conversions Vallair's portfolio is expected to grow by about 50% to of A321is ready to support the around 4,000 aircraft in total, and it is From a cargo narrowbody freighter fleet for many Opportunities In Aircraft estimated that a combination of perspective, there are years to come. Maximising the life of around 1,000 new build and 2,000 these assets will ensure that the fleet of converted freighters will be needed - certainly many converted cargo airplanes will enter into around 50% for replacement and opportunities in terms their second life after conversion Conversion around 50% for growth of the fleet. of demand for air providing customers and partners with At Vallair,we have invested heavily in unmatched value underpinned by a our cargo conversion programme. The freight, a contributary By Patrick Leopold range of sale/lease options. A321F is the greenest, and most factor to which is the efficient narrowbody freighter currently This is the start of a new era for air ver the last couple of years, Customer relations are key in any region, emerging and available. Converting younger aircraft cargo in Africa as e commerce firmly levels of air cargo within the however personal contacts and face to into freighters certainly has augmenting middle- establishes itself within the region. Over OAfrican continent have face contact are paramount for business environmental advantages. As the class and the the past few years, the GDP in some demonstrated a consistent in Africa. We are witnessing a strong technology used within the aircraft is African countries has risen by up to 7%. augmentation, surpassing those of any drive amongst young people to enter into subsequent demands younger by default, operators of this Due to strong trade and investment other region according to IATA. In aviation and they are taking an freighter can expect to see a 20% of e-commerce. within the region from Asian general, due to the associated credit entrepreneurial approach to the industry. reduction in fuel burn per payload. superpowers, the reality of this is a 17% risks, lessors are more cautious to lease Politics, and the unsettled nature of the With the surge in demand for air cargo year-on-year growth for the air cargo to this market. The aviation industry political climate within some countries, as a result of the pandemic, and the industry, and investment from freight takes adifferent format in Africa as certainly present challenges to the next availability of feedstock, we believe that forwarders will further improve the airlines are predominantly state-owned, generation of would-be aviation the A321F will be the future of e- infrastructure and security around the and those that are privately owned professionals, however if one can find commerce and satisfy market demands A321F allows for the transit of ten airports.

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