The cost of airline tickets in the Nigerian market has reached an all-time high due to the rising aviation fuel prices. The worst aspect is that there is no apparent solution to the current problems being faced by airlines.
Airline operators and air passengers are now calling on the government to step into the situation before a wave of multiple shutdowns devastates the economy. The cost of a local ticket price within now costs about N280,000 ($672) as of last weekend, while some other routes cost about N150,000.00
Some airlines have already notified the general public about their intention to suspend operations from the country while others have reduced their frequencies. Local carriers are not exempted as the Nigerian oldest operator, Aero Contractors has been suspending its operations since mid-July. Dana Air's
license was suspended owing to operational inflation. The supply of gas and oil
to numerous African nations has been affected by the Russia-Ukraine conflict.
Aviation industry specialists are nonetheless
concerned that the entire sector could collapse if this trend is not reversed.
Goddy Ike, one of these industry pundits, predicted that many more airlines
might go out of business.
"The government must
immediately license companies and individuals... who can import these (fuel)
products at reasonable prices and make them readily available in Nigeria,
allowing airlines to reduce the cost of flying."
Air Peace has stopped operating flights to
Johannesburg, South Africa, as a result of issues with travelers getting their
visas promptly. If jet fuel is still imported, according to Ike,
there is no alternative way for the Nigerian government to resolve this issue.
In terms of foreign exchange, the entire economy is at a disadvantage due to
the depreciation of the Nigerian Naira. To purchase JET A1, airlines will need
to pay enormous sums of naira, which further limits the profit margin.
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