Kaduna to attract greater investment as more airlines ply route

Industry experts have said Kaduna state is set to attract greater investment opportunities and facilitate growth in business as more domestic airlines have commenced operations on the route.

Arik airline few weeks ago disclosed preparations to acquire more aircrafts to meet the market demands in some states in Nigeria, which includes Kaduna, while Medview recently extended it wide route network to commence operations to Kaduna.

“The trade coming from Kaduna is geographically well located and there is a viable trade between Abuja and Lagos. There is a huge business and trade traffic in this region which has not yet been realized,” Ado Sanusi; Director Flight Operation, Arik airline told BusinessDay.

Sanusi explained that Arik plans to expand operations in Kaduna and counts upon the state government’s support in terms of consolidating the travel spend and travel volume so that Arik can offer better services and discounts.

“Aviation is the catalyst of economic growth of any nation or state because aviation is a key factor in transportation and connecting businesses. There must be a deliberate effort by the federal government to place emphasis on the strategy of aviation and a deliberate policy to maintain and sustain the growth of the aviation sector,” Sanusi said.

He requested that the federal government address the lingering infrastructural decay in most of the airports, stressing the need for navigational and communication aids that will otherwise hinder transportation of passengers at late night into some of the airports close to Kaduna.

Presently, only Arik, Medview and Aero fly to Kaduna from Lagos but other airlines has indicated interest in plying that route going forward.

Checks by BusinessDay disclosed that Kaduna airport is not one of the airports that are restricted by night landing but most of the airports around the environs are not equipped with landing aids at night and this is the reason airlines refuse to go into night stop in those part of the country.

Checks by BusinessDay disclosed that these airports include Katsina, Jigawa and Bouchi.

Arik airline started the night stop in September last year but all within few months had to reconsider because the environs were not equipped with proper night landing aids.

According to BudgIT reports, a co-creation hub that analyses data in Nigeria, Kaduna airport ranks as the tenth busiest airport in Nigeria but experts has said that this ranking could be on the top three if more passengers are encouraged to embrace flying like other developed aviation industries.

According to report by the Federal Airports Authority, (FAAN), the greatest positive growth in the third quarter of 2014 came from Kaduna, which recorded an increase of 11,427 passengers or 28.94 per cent from the 39,485 passengers or 1.46 per cent of the total for the second quarter.

Lukman Animashaun, Executive Director/Head of Engineering, Medview Airline said the decision of the airline to expand its network to Kaduna was to ease the pains of travellers in that axis.

Animashaun said, “The flight is billed to depart Lagos by 7.30 am and arrives Kaduna at 8.30 am, and thereafter depart for Abuja at 9.10 am. The opening of the Kaduna route brings to eight the number of domestic network the airline operates. Others are Lagos, Abuja, Port Harcourt, Enugu, Yola, Kano and Maiduguri.”

Animashaun said that with more airlines plying the Lagos-Kaduna routes, there will be competition but assured that this would not deter it from operating and offering quality services, adding that what matters to an airline is not the number of operators in a route, but the quality of service offered.

This development, he said will give Nigerians more options in their choice of carriers to facilitating their business and educational pursuits as well as other concerns.

“People can actually live in Kaduna and do businesses in Lagos, which means you can start your business at six o’clock out of Kaduna, come to Lagos, do all the business you have to do and then go back around seven,” Sanusi said.

Investors have said Kaduna has a lot of potentials yet to be harnessed, especially in the agricultural sector.

Only five states other than Lagos recorded capital imported in the third quarter: Abuja, Akwa Ibom, Enugu, Kaduna and Ogun. Of these, Kaduna was the most significant, importing $7.60million, despite having not imported any capital since the third quarter of 2014.

Ikara tomato processing plant in Kaduna has been moribund for over two decades through a public-private partnership with the state government.

Experts has said that the joint partnership between Springfield Agro and Kaduna state government is expected to reduce the country’s food imports and create about 100 direct jobs for the rural community with a spinoff that will create other indirect numerous jobs to the residents with and around the community.

“With the banned on tomato paste importation, everybody is looking inwards. The Ikara tomato processing plant has been there for over twenty years but only operated for two years before it was abandoned. We got a ten year lease to run the factory. The factory is situated at the tomato belt area of the state. With this, Springfield Agro would be able to address the issue of wastage in the tomato value chain,” said Victor Eburajolo, group deputy managing director, Kewalram Chanrai Group.

Nasir El-Rufai, Governor of Kaduna state who visited Arik office few weeks ago had said Kaduna state will work with Arik on the expansion of their operations in the state.

“We are trying to build relationships with many West African countries. There is a group of Morocco investors that came to do business in Kaduna and will be having more of that, that is why will liaise with the federal government to provide transport facilities in Kaduna” El-Rufai said.

He encouraged the airline to look at flying to Abuja from Kaduna, which he said is a potentially big market.

 

IFEOMA OKEKE