Emirates, South African Airways expand codeshare deal

South African Airways (SAA) will be able to offer its customers seats on flights operated by Emirates between South Africa and Dubai. Above, passengers board a SAA plane at Port Elizabeth International Airport, South Africa. (Reuters)
Updated 18 December 2018
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Emirates, South African Airways expand codeshare deal

  • Deal will improve connectivity between Dubai and Southern Africa
  • Emirates has been flying to South Africa since 1995 and the first codeshare agreement with SAA was signed in 1997

LONDON: Dubai’s flagship airline Emirates is to expand its codesharing agreement with South African Airways (SAA), aiming to improve connectivity between the emirate and locations across Southern Africa.

The expansion of the agreement will support the African airline’s turnaround plan which aims to make a profit by 2021.

SAA is grappling with financial difficulties, having posted a string of losses and forced to rely on government support. Having failed to make a profit since 2011, it is cutting staff numbers and looks to reduce its route network.

“It’s clear that SAA is struggling to survive and so it makes sense for them to coalesce their operations with the powerhouse that is Emirates as opposed to competing head to head, because they simply won’t cut it against them,” said aviation analyst Saj Ahmad at Strategic Aero Research.

“The deal also opens up the possibility of Emirates deploying more flights to places like Cape Town and Johannesburg as well as codesharing on other SAA-regional flights to points that Emirates doesn’t serve.”

Emirates has been flying to South Africa since 1995 and the first codeshare agreement with SAA was signed in 1997.

Under this deal, SAA is able to offer its customers seats on flights operated by Emirates between South Africa and Dubai. This currently includes four daily flights from Johannesburg, three daily flights from Cape Town and one daily flight from Durban.

The new agreement will see this codeshare expand across the airlines’ networks.

“We have seen great success with the codeshare agreement, having enabled greater connectivity to both SAA and Emirates customers, by offering more choice, flexibility and ease of connections to a wide range of cities via Dubai and across more points in Southern Africa,” said Tim Clark, president of Emirates Airline.

“Increasing the scope of our agreement underpins the strong bonds we share with SAA and our belief that this enhanced partnership will enable further success and gain to the airlines and their customers,” he said.

SAA CEO Vuyani Jarana said: “Our route network and that of Emirates complement one another. The expansion of our partnership will further strengthen key focus areas of the implementation of our turnaround plan.”

The agreement will include the two airlines working to improve connecting times via Johannesburg, to make it easier for people to catch flights to popular regional destinations.


Philippines set to import 1.2 million tons of rice as caps removed

Updated 20 min 51 sec ago
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Philippines set to import 1.2 million tons of rice as caps removed

  • President Rodrigo Duterte in October ordered the ‘unimpeded’ importation of rice after the country’s inflation shot u
  • Lawmakers have approved the bill removing the import cap on rice imports and replacing it with tariffs

MANILA: Rice traders in the Philippines are set to import about 1.2 million tons of the staple food, a state grains agency spokeswoman told Reuters on Tuesday, as the Southeast Asian country lifts a two-decade-old cap on purchases.
Bigger rice purchases by the Philippines, already one of the world’s top importers and consumers of the grain, could underpin export prices in Vietnam and Thailand, traditionally its key suppliers.
Prices in Vietnam fell last week ahead of the country’s largest harvest this month, while the Thai market is likely to see additional supply toward the end of January from the seasonal harvest.
President Rodrigo Duterte in October ordered the “unimpeded” importation of rice after the country’s inflation shot up to 6.7 percent in September and October, the highest in nearly a decade, partly due to food prices.
The National Food Authority (NFA) has approved initial applications from 180 rice traders for permits to import a total of 1.186 million tons of either 5-percent or 25-percent broken white, the NFA spokeswoman said.
“We have not set any deadline for accepting applications to import rice. There’s no more limit,” she said.
Importers are allowed to bring in rice from any country, but grains from Southeast Asian suppliers will be charged a tariff of 35 percent while those from elsewhere will face a 50-percent charge.
Lawmakers have approved the bill removing the import cap on rice imports and replacing it with tariffs. Duterte will “most likely” sign it into law “soon,” presidential spokesman Salvador Panelo said on Tuesday.
Philippine inflation eased in November and December, and the rice tariffication law could help curb it this year by as much as 0.7 percentage point, the central bank has said. Rice is the biggest food item in the country’s consumer price index.