NANTA kicks against fare fixing by Aarlines
The National Association of Nigeria Travel Agencies (NANTA) has described the recent price-fixing allegation against Airline Operators of Nigeria (AON), the umbrella body of indigenous carriers as anti-competition, which should not be encouraged in the country.
NANTA also decried that the increase in airfare by the airlines to N50,000 minimum base for the one-way trip had adversely affected its business, but expressed hope that the airlines would return discontinue the practice very soon.
This is as the association has unveiled plans for its forthcoming 46th elective Annual General Meeting (AGM) slated for Kano State later this month, while Aminu Ado Bayero, the Emir of Kano has been chosen as the Royal Father of the Day.
Mrs. Susan Akporiaye, President, NANTA, revealed these to journalists yesterday in Lagos during an interaction.
According to Akporiaye, the law recognised that business entities, including the airline sub-sector, should compete with one other, but kicked against the alleged price-fixing as was witnessed recently in the sector.
Recall that the Federal Competition and Consumer Protection Commission (FCCPC) and some aviation stakeholders had accused the airlines of price-fixing following the base fare of N50,000 introduced across the routes in the domestic market, an allegation the airlines debunked.
She, however, observed that the recent hike in the price of aviation fuel and forex scarcity were negatively affecting the performance of the local airlines and called on the Federal Government to address the challenges.
She said: “Now, some airlines have removed low fares from the market because they can’t afford to be buying from the black market and still sell the lowest fare. I see it as a crisis in life in which we need to remain strong and of course, it will affect us a bit. You are talking of a minimum of N50,000 on the local ticket and N100,000 for a round trip, yet, our roads are not safe.
“However, I think price fixing is anti-competition. The law says there should be competition and when there is competition, the benefits go to the public. What the local airlines are doing is anti-competition. As it is now, passengers don’t have a choice. However, I believe it is just for a while because they can’t maintain it; they will fly empty.
“The passengers are not happy with the situation. However, travelling by air is a necessity and it is the safest form of travelling. The passengers are grumbling no doubt and they are buying the tickets with much pain.
“You can’t make all the profits in just one trip. The international airlines still use the same aviation fuel and they have not increased their fares. I was speaking with an international airline representative recently and he said even if there is going to be an increase, it should be according to your capacity. What is your stake in it? Everybody’s capacity is not the same and it should be gradually. How can you attempt to make all the profits in one ticket because aviation fuel has gone up? They should look at their capacity and re-evaluate.”
Akporiaye emphasised that the forthcoming AGM with the theme: ‘Anti-Trust Opportunities Available for Protection for the Nigerian Travel Market,’ would be a test run for the main Durbar Festival.
She also disclosed that she would re-contest as the President of the association, stressing that she had delivered on all her campaign promises, which included unification, the opening of business opportunities and training of all members that she promised two years ago.
She explained that the theme for the AGM was informed by the presentation of Dr. Kemi Pinheiro, the Chairman of Lagos State Law Reforms Commission who would also act as the Keynote Speaker at the conference.
Also, she mentioned Capt. Musa Nuhu, the Director-General of the Nigerian Civil Aviation Authority (NCAA), Dr. Samson Fatokun, the Head of Account Management, West /Central Africa, International Air Transport Association, Mr. Bernard Bankole, the immediate past President of NANTA, Dr. Gabriel Olowo, the President, Sabre Networks and Mrs. Christine Qantin, the Country Manager, Nigeria, Air France/KLM as the panel of discussants.
