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Business News of Saturday, 24 June 2023

    

Source: aviationghana.com

Ghana to charge US$7 per passenger at KIA to fumigate bags

Inside of KIA Terminal 3 | File photo Inside of KIA Terminal 3 | File photo

The Ghana Health Service is impressing on airlines to add US$7 per passenger on each international airline ticket sold and remit the same to the government agency as a luggage fumigation charge.

AviationGhana sources revealed that the decision of the GHS was conveyed by the Ghana Airports Company Limited to airlines servicing Accra’s Kotoka International Airport at a meeting held on Thursday, June 22, 2023, in Accra.

Airlines, who are still recovering from the impact of the covid-19 pandemic, opposed the decision of the GHS and further pointed to the lack of local law for the planned charge.

If implemented, the imposition of the US$7 fumigation charge will lead to further increases in airfares, which already remain elevated due to high aviation fuel costs, a weak local currency, and a general economic squeeze since last year.

The impact of the COVID-19 pandemic cost the industry some US$180 billion over a three-year period. However, the International Air Transport Association (IATA) predicts that the rebound will lead to a US$2.25 revenue per passenger this year. This is a significant improvement from the -1.1 dollars per passenger loss recorded last year.

In Ghana, most international airlines began re-opening routes they suspended last year and are yet to reach the performance heights recorded in 2019.

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