FlightGlobal.com
Home
Premium
Archive
Video
Images
Forum
Blogs
Jobs
Shop
RSS
Email Newsletters
You are in:
Home
Aviation History
1985
1985 - 2180.PDF
AIR TRANSPORT Fokker keeps the pressure on Africa AMSTERDAM-ZUIDOOST An imminent order for two Fokker F,28-Mk400Q aircraft from Zimbabwe (plus options on two more), and the purchase of two F.27 Maritimes by the Nigerian Government, have rekindled optimism at Fokker about sales prospects in Africa, reports Nick Fadugba. After making early inroads into the continent, the company recently suffered a few reverses which, coupled with Africa's economic prob lems, had raised doubts about this traditional Fokker market. In particular, Nigeria Airways' much-publicised phasing out of its entire F.27 and F.28 fleet and the US Government's virtual "veto" (for political reasons) of the sale of five F.28s to Libya were blows to the pride and pocket of the Dutch aircraft company. For political reasons, too, Fokker is banned from selling aeroplanes to South Africa, where a big market exists for Fokker 100s to replace old Boeing 737s. Fokker has established a solid presence in Africa. The continent accounts for 14 per cent of today's F.27 world fleet and 16 per cent of F.28 total sales. Libya, Nigeria, Algeria, Zaire, and Angola are the biggest customers. Roger Lulof, Fokker's director of sales for English speaking Africa, says: "Africa is still important to Fokker. After Boeing, we are the continent's leading supplier of aircraft". Lulof is confident that the company's past success will provide a natural springboard for future busi ness. The imminent sale to Zimbabwe represents a significant triumph for Fokker, as it was won after patient negotiations and in the face of strong competition from other manufacturers, particularly British Aerospace and Boeing. In addition to aircraft suitability, finance was an important consid eration. Fokker's two F.28s were offered for $11-5 million each, with a Netherlands Government-guaranteed in terest rate of 9-9-5 per cent per annum over ten years. BAe's 146-200 was, report edly, priced at $14 million with finance available at 12 per cent per annum, while Boeing's 737-200 was offered for $17-9 million at 12-14 per cent interest per annum. Nigeria's purchase of the two F.27 Maritimes (for its Air Force) is interpreted in Amsterdam as an expression of faith in Fokker by an important customer, which partly offsets the sudden withdrawal of Nigeria Airways' patronage. The airline's decision to phase out its Fokker fleet was speeded up after the 1983 Nigeria Airways F.28 crash. But, a Fokker spokesman points out with evident relief, an official inquiry attributed the fatal accident to pilot error, not to aircraft malfunction. Says Roger Lulof: "Fokker would have preferred to have taken back Nigeria Airways' seven F.28s and then supplied the airline with new Fokker 100s on very favourable terms in 1987/1988". Instead, a French consortium is nego tiating to purchase the aircraft for $32-35 million. An earlier bid by a Canadian company fell through. "Fokker has had an excel lent relationship with Nigeria, has trained over 300 Nigerians, and still hopes to do more business there", adds Lulof. In common with other short- and medium-haul aircraft manufacturers, Fokker has been adversely affected by the dis proportionate attention most African airlines give to hard currency and prestigious intercontinental routes in comparison with their domes tic and regional networks. According to Fokker's director of sales for French- speaking Africa, Co Dorsman, there is insufficient appre ciation in Africa of the vital role smaller aircraft can play in opening up new routes, supplementing larger aircraft, and in reducing operating costs. Says Dorsman: "In Euro pean and American airlines economists and financial advisors play a key role in decision-making, but this is not so in Africa. However, one positive outcome of the continent's economic crisis is that air transport planners are now adopting a more realistic approach to route networks and fleet structures, with less importance attached to political and prestige considerations". To counter Africa's lack of capital—the main imped iment to aircraft sales— Fokker has assumed a flexible attitude to financing, leaving the door wide open to barter deals. This strategy has worked in the past. In the mid-1970s an F.28-Mk4000 was sold to the Ivory Coast in exchange for cocoa and coffee. Adds Dorsman: "Although we prefer to deal in money, there is nothing wrong or new about barter. Fair deals can be arranged on this basis—for petroleum, palm oil, coffee, cocoa, or the like—but it is for the country concerned, not Fokker, to propose it". With Africa's turboprop aircraft requirements over the next 15 years estimated at 354 units, the stakes are high. Aerospatiale/Aeritalia's ATR42 is considered the prin cipal threat to the Fokker 50. An official explains: "France would not hesitate to give financial assistance to any African country which doesn't have the money to buy the aeroplane and can't obtain it on the open market. As a non- subsidised company this puts us at a disadvantage". Despite this, Roger Lulof predicts that Fokker's im pressive track record in Africa and emphasis on after-sales product support could be a trump card in the sales battle ahead. Fokker adds: "We expect to achieve as much success in Africa with our Fokker 50 and Fokker 100 as we did with our F.27 and F.28. Air Ivoire and Air Mauritanie are both potential customers for Fokker's F.IOO and F.50 FLIGHT International, 6 July 1981
Sign up to
Flight Digital Magazine
Flight Print Magazine
Airline Business Magazine
E-newsletters
RSS
Events
