Emirates Airlines has recently begun offering competitive dollar-priced airfares to Nigerian passengers as it prepares to resume services to the country from October 1, 2024. The move has attracted both criticism and praise from aviation experts and travelers.
Competitive Fares, but in Dollars
Investigations on Monday revealed that all fare inventories on Emirates Airlines’ website were priced in dollars. However, when compared to other airlines, the prices were found to be competitive.
Susan Akporaiye, managing director and CEO of Topaz Travels and Tours, expressed concern about the potential impact on the foreign exchange market. “This means that people have to buy dollars in black market to be able to pay for Emirates’ tickets, thereby putting more pressure on the foreign exchange market, which will result in scarcity and fare increase,” she told BusinessDay.
Daily Service Between Lagos and Dubai
Emirates announced that it would resume services to Nigeria from October 1, 2024, operating a daily service between Lagos and Dubai using a Boeing 777-300ER. The flight schedule will be as follows:
– EK783 will depart Dubai at 0945hrs, arriving in Lagos at 1520hrs.
– The return flight, EK784, will leave Lagos at 1730hrs and arrive in Dubai at 0510hrs the next day.
Experts Weigh In
Olumide Ohunayo, industry analyst and director of research at Zenith Travels, suggested that Emirates might have introduced dollar fares as a marketing gimmick or might need time to configure its fares in naira. He emphasized the importance of waiting until the commencement of services on October 1 to see how the situation unfolds.
Ohunayo also highlighted the need for Emirates to renegotiate its agreements with fuel suppliers and government agencies before returning to the Nigerian market, considering the airline’s past challenges with trapped funds and suppliers charging in dollars.
Fare Comparisons
Findings show that Emirates’ dollar-priced fares are competitive when converted to naira:
– A return economy class ticket from Lagos to London Heathrow on Emirates costs $1,130 (N1.83 million), while the business class costs $4,290 (N6.9 million).
– An economy class return ticket from Lagos to Dubai on Emirates costs $987 (N1.59 million), while a business class return ticket costs $4,418 (N7.1 million).
In comparison, return economy class tickets from Lagos to Dubai on other airlines range from N1.17 million to N1.7 million, while business class tickets range from N4.1 million to N5 million.
NANTA’s Concerns
Yinka Folami, president of the National Association of Nigerian Travel Agencies (NANTA), expressed concerns about the UAE’s visa policy remaining exclusive despite Emirates’ resumption of ticket bookings. He also emphasized the importance of respecting Nigeria’s legal tender, the naira, beyond the cost of tickets.
As Emirates prepares to re-enter the Nigerian market, the airline’s decision to introduce dollar fares has sparked a mix of reactions from industry stakeholders. The coming weeks will provide more clarity on how this strategy will impact the aviation sector and the foreign exchange market in Nigeria.