Transport

Economy on the Wing

Nacla International Airport

According to a 2011 study by Calderon, Moral-Benito, and Serven for the WB (“Is Infrastructure Capital Productive? A Dynamic Heterogeneous Approach,“), for each 10% increase in infrastructure development countries earn […]

According to a 2011 study by Calderon, Moral-Benito, and Serven for the WB (“Is Infrastructure Capital Productive? A Dynamic Heterogeneous Approach,“), for each 10% increase in infrastructure development countries earn an extra 1% in terms of their long-term growth. Aware of this, between 2001 to 2006 Mozambique invested an average of nearly 9% of GDP on infrastructure according to World Bank paper Financing Public Infrastructure in Sub-Saharan Africa: Patterns and Emerging Issues.

One of the major infrastructure investments since 2011 that will position Mozambique in the international arena is the recently inaugurated Nacala International Airport. The former Nacala Air base, a small military airstrip, has been completely upgraded and transformed into a major international air hub for southeastern Africa. The airport is located in the Nampula province in the north of the country. It was designed by Brazilian firm Fernandes Arquitetos Associados and built by the construction firm Odebrecht. Works began in 2011 on an area of approximately 30,000 sqm.

As Emanuel Chaves, Chairman and CEO of Aeroportos de Moçambique explained to TBY that even though the initial estimated cost for the airport was $130-150 million, the final cost was around $250 million due to several subsequent adjustments made throughout the project. For example, the initial scheme envisaged a rehabilitation of the existing railway, but ultimately the decision was made to build an entirely new system, which involved a massive investment. These works extended the existing runway from 2,500 meters to 3,100 meters long and 45 meters wide. The final construction has a passenger terminal with 16 check-in counters and four boarding gates with a capacity for 500,000 people per annum. The innovative installations can handle 1,240 passengers in peak hours and up to 5 tons of air cargo. According to Mr. Chaves, they also expanded the existing facilities to make it a future hub. This included a control tower, a traffic circuit, the freight terminal, a fire station, as well as ramp equipment, roads and parking for taxis and rental cars. Space is available now for custom brokers, and advertising, as well as passenger and handling services.

The first commercial flight arriving at Nacala International Airport was operated by the national company Linhas Aéreas de Moçambique (LAM) on the 8th December 2014. LAM and South African Airlines flights are already operating Nacala flights and according to Mr. Chaves, LAM is already in talks with Air Austral from Reunion to offer this service to the many entrepreneurs from the close island that are keen to invest in Nacala. In fact, a new satellite Chamber of Commerce for Reunion will be in operation in Maputo sometime in June 2015 as Théophane Narayanin, of the Chamber of Commerce and Industry of Reunion confirmed to TBY. Mr. Chaves mentioned that Ethiopian Airlines and Kenyan Airways would also have flights to Nacala and that Qatar Airlines, TAP, JAAL, Lufthansa, Air France and Emirates had shown their interest on the airport. Without any doubt this is the time for interested potential partners to step in as the authorities are considering a partnership with an airport operator. “We want a dedicated airport operator with a huge capacity to mobilize airlines to Nacala“ —Mr. Chaves said.

Besides supporting industrial development, the Nacala International airport will also become a key entrance for tourists in the country and will support the tourism sector in the Northern provinces. As Natalie Tenzer-Silva from Dana Tours said to TBY: “The airport will definitely have an effect on the kinds of packages and combinations offered, such as Nacala and Ilha de Mozambique. The excellent road from Nacala to Ilha de Mozambique makes for a journey time of just two hours“.

Nevertheless, the airport will only fulfill its objective if the government is able to attract a number of international airlines and create new connections. Many touristic operators are still concerned about flight prices and routes that limit their package options and raise price levels. The Minister of Culture and Tourism, Silva Dunduro, has said that Mozambique; “…feels the urge to incentivize the growth of the air connections, which is still a great barrier to the development of tourism in the African continent“. In conversation with TBY he stated that the improvement of the air connections was necessary based in four factors which are, political stability, air safety; airport infrastructure; and governmental reforms (such as the opening of the national airspace, the politics of fees and taxes imposed to the civil aviation).

Over the past few years, Mozambique has developed its infrastructure to provide transport communications with the neighboring countries. This has supported the creation of horizontal development corridors from South Africa, Zimbabwe or Malawi all the way to the Mozambican ports. Nevertheless, north-south connections have been limited. Authorized investment projects by the Investment Promotion Centre (CPI) from 2005 to 2009 in the Nacala Corridor accounted for $7 billion and have continued to rise over recent years.

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