Nigerian Aviation Handling Company Plc has announced an ambitious N100 billion revenue target to be achieved within the next five years.
This projection was revealed by the Group Chairman, Dr. Seinde Fadeni, during the company’s Annual General Meeting held in Lagos on Saturday.
To reach this target, NAHCO plans to diversify its investment portfolio, creating new jobs and significantly contributing to alleviating the country’s foreign exchange crisis.
Established in 1979, NAHCO provides a range of services including aviation cargo handling, aircraft handling, passenger facilitation, crew transportation, refueling, and aviation training from its base at Murtala Muhammed International Airport.
Dr. Fadeni highlighted the potential of food exports as a significant source of foreign exchange, emphasizing their impact on the livelihoods and prosperity of Nigerians.
Despite navigating numerous challenges in the air transport sector, Fadeni called on the government to enhance airport infrastructure and reduce financial burdens for airlines and passengers, aligning with the company’s future growth plans.
Fadeni stated, “NAHCO believes that the central government should work to reduce the financial burden on airlines and passengers by reviewing applicable taxes. More payees could then be brought into the tax net. Recently, the International Air Transport Association reported that Nigerian airports impose about 27 levies on foreign airlines.
“This makes Nigerian airports the most expensive globally, deterring airlines from flying into the country. This is not a commendable distinction for Nigeria and serves as a disincentive for both active and prospective investors. The government must address this issue and harmonize the regulatory environment at the ports to align with global best practices. The nation’s Ease of Doing Business mantra should be actively practiced, not just theoretical.”
He further noted that despite the multiple cost-related challenges of 2023, ground handling companies cannot easily pass increased handling costs onto airlines without approval from the Nigerian Civil Aviation Authority.
He added, “Getting new rates approved is also challenging. It’s not uncommon to see ticket prices rise while ground handling rates charged to airlines remain stagnant.
“Our efforts to create a global integrated logistics giant are progressing well with the launch of new subsidiaries.”
Additionally, Group Managing Director/Chief Executive Officer Indranil Gupta mentioned the company’s plans to diversify investments into other sectors to foster growth.
“We will continue leveraging our strengths and market insights to pursue organic and strategic growth initiatives, expanding our market presence and revenue streams.
“We plan to refresh our fleet of ground support equipment comprehensively, replacing old equipment and increasing our fleet size to meet growing customer needs and expectations.
“We are embracing digitalization and innovation, investing in cutting-edge technologies to enhance our service offerings, operational efficiency, and competitiveness. By leveraging data analytics, automation, and predictive maintenance, we aim to stay ahead of industry trends and deliver superior value to our clients.”
