Emirates and the Republic of Angola, in its capacity as the majority shareholder of TAAG Linhas Aéreas De Angola, have announced the signing of a Management Concession Agreement which is expected to see Emirates take a role in the management of TAAG, reports Wallace Mawire.
It is reported that the agreement will lay the foundation for both airlines to jointly leverage commercial opportunities in Africa and beyond.
According to a statement released by Langmead and Baker, the ten year Management Concession Agreement was signed by His Highness Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates Airline and Group and H.E. Augusto da Silva Tomás, the Minister of Transport for the Government of Angola.
The initiative is reported to further the Republic of Angola’s vision to create a world class Angolan carrier with the support of Emirates. As part of the agreement, Emirates is reported to commit to work closely with the Angolan government and TAAG Linhas Aéreas De Angola to formulate and implement a business plan, provide management support and devise fleet and route network strategies, whilst bringing synergy through the complementary networks. Emirates is also reported not to contribute equity under the agreement but will appoint four senior managers to work for TAAG Linhas Aéreas De Angola.
Both airlines are also expected to cooperate across a wide range of areas including bilateral code-sharing on cargo and passenger services, participation of customers in both airlines’ frequent flyer programmes and passenger and cargo handling. Emirates has also committed to allocate its resources to staff and crew training on best-in-class business and operational processes and systems. It is further reported that TAAG Linhas Aéreas De Angola will additionally explore business opportunities with dnata, in particular its passenger and cargo handling, flight catering and travel services. dnata, part of the Emirates Group, is the largest provider of air travel services in the Middle East and employs about 23,000 staff in 38 countries.
H.H. Sheikh Ahmed said, “Through this partnership Emirates aims to provide deeper reach and better connectivity for our passengers in Central and Southern Africa. At the same time, we see an opportunity for TAAG Linhas Aéreas De Angola passengers to benefit from Emirates’ global network.
We see huge potential in Africa, and are keen to continue playing an active role in contributing to its economies. Emirates will continue growing our presence in Africa by opening new routes, increasing flight frequencies, and upgrading aircraft to meet the increasing demand. Exploring mutually beneficial agreements with established carriers such as TAAG Linhas Aéreas De Angola is another key strategy.
We believe this new partnership will build on the success that we have seen on our Dubai-Luanda service, and also deliver operational and business synergies for both airlines.”
Augusto da Silva Tomás, the Minister of Transport for Government of Angola said « The signing of this agreement marks a very decisive step towards the restructuring of TAAG. With Emirates, our new partner and a leader in the world of civil aviation, equipped with know-how, technology and experience, TAAG is starting a new era of growth and progress which will also positively impact the development of Angola. »
Angola is Africa’s second largest oil producer with a strong mining sector, and is one of the fastest growing economies in the world, making it an attractive business destination. Emirates’ first point in Africa was Cairo, launched in 1986, and the airline has since grown a strong presence on the African continent, serving 22 passenger destinations today: Abidjan, Accra, Addis Ababa, Cairo, Cape Town, Casablanca, Dakar, Dar el Salaam, Durban, Entebbe, Johannesburg, Khartoum, Lagos, Luanda, Nairobi, Tripoli, Tunis, Harare, Lusaka, Conakry, Algiers and Abuja. It is also reported that as African economies continue to flourish and develop, Emirates is being well placed to contribute to thisgrowth, by providing valuable air links that enable trade and tourism flows. Emirates operates over 160 flights across the continent each week, connecting African economies and markets with Dubai and beyond to a global network of over 140 major cities.
It is also reported that the agreement will only take effect after a number of conditions have been satisfied, including the receipt of various government and regulatory approvals. (africanaerospace)