Africa, Development & Aid, Economy & Trade, Energy, Environment, Global Governance, Headlines, Poverty & SDGs, Trade & Investment, Trade and poverty: Facts beyond theory

ECONOMY-KENYA: Branson Flying More and Cutting Carbon Emissions

Stephanie Nieuwoudt

NAIROBI, Jun 7 2007 (IPS) - With the introduction of Virgin Atlantic flights on the London/Nairobi route company chief Sir Richard Branson is not only tapping into a lucrative tourism market, he is also offering export opportunities to local farmers.

Branson arrived at Jomo Kenyatta International Airport just after sunrise on June 2 aboard the maiden Virgin Atlantic flight to Kenya. In true Branson style he flamboyantly posed on one of the plane’s wings for photographers before addressing the media.

As with all the aircraft in the fleet, the Airbus A340-300 carries a female name although in this case the name Madame Butterfly might be a bit ambiguous. But there is nothing unclear about Branson’s entry into the Kenyan tourism and freight market.

Virgin Atlantic will be flying to and from Kenya on a daily basis with an estimated benefit of 100 million US dollars to the Kenyan economy over the next twelve months. Apart from carrying passengers, the aircraft will also be used to export 15 tons worth of produce daily.

Virgin Atlantic Cargo has a dedicated cargo team on the ground to look after and develop the route.

During the first quarter of 2007, Kenya’s tourism revenue totalled 250 million US dollars, an increase of 18 percent over the same period in 2006. The additional Virgin Atlantic flights will significantly boost income from this sector.


The flights are advertised by a multimillion dollar campaign promoting Kenya as a destination, including advertisements on the London Underground train network.

Branson announced that his company’s aircraft will carry 15 tons of cargo out of Nairobi.

Moody Awori, Kenya’s vice-president, said his government believes in liberalising the skies. ‘‘We therefore welcome Virgin Atlantic even though we have our own national carrier. We know Sir Richard is a friend of Kenya and we know that his airline will increase tourism to the country. We believe in investment rather than donations.”

He added that Kenya is a world leader in the production of cut flowers. The country supplies 75,000 tons annually to the European market, making it the largest supplier. ‘‘We would like to see our flowers in homes and supermarkets all over Europe and we believe Sir Branson will help us to achieve this goal,” Awori said.

Branson added that various kinds of products produced in Kenya will be transported to London. Alongside flowers, Kenya is also a major exporter of tea, coffee, fruit and vegetables.

Branson said that the ‘‘bellies” of planes flying out of Africa will be empty if they are not filled with fresh produce. The transportation of African produce to overseas markets will not add to the production of carbon gases.

The introduction of Virgin Atlantic Cargo comes at a time when some European companies have expressed concern about the importation of African goods. They say that aircraft carrying cargo over long distances are major contributors to the high levels of carbon emissions.

‘‘I strongly feel that global warming is a major issue which has to be addressed,” Branson said in response to a question. ‘‘For this reason, 100 percent of the profits from our airline and train services are used to look for ways to develop clean fuel. Over the next 10 years, we will spend three billion dollars to this end. And I believe we will be successful.”

In April he announced that the first Virgin Atlantic flight to use biofuel will take to the skies next year. The mixture will be 60 percent biofuel and 40 percent kerosene.

He told journalists that a large percentage of the sugar and beet crops from which biofuels are derived can be grown in Africa. This would create opportunities for farmers and help alleviate poverty on the continent.

Shortly after his arrival in Nairobi Branson said that there are many things individuals can do to help in the fight against global warming. In the next month the Virgin Group will publish a manifesto with guidelines that governments can use to cut the emission of greenhouse gases in their own countries.

According to Branson, these will be simple guidelines that will not cost a lot of money. ‘‘I think there have been some stupid suggestions about ways to curb carbon emissions. They have mostly been knee-jerk reactions.

‘‘We simply cannot damage a continent like Africa by banning their goods from Western markets. Global warming is a problem, but there is also extreme poverty in Africa,” said Branson.

Jason Lloyd, director of Virgin Atlantic Cargo, said in a statement that the route is expected to add around 2 million US dollars to the company’s bottom line. ‘‘We are confident that it will grow and develop in future years.”

In addition to Virgin’s direct flights to 28 airports worldwide the cargo team offers an extensive forwarding network covering over 150 destinations around the globe.

At a media conference earlier this year, Ong’ong’a Achieng, managing director of the Kenyan Tourism Board, said the introduction of new airlines to Kenya is to be welcomed as it encourages competition. The cost of air travel is reduced without compromising quality.

 
Republish | | Print |


perfect addiction book