Friday, March 7, 2014

Ethiopian Airlines Planning 787 Service to Manila

A report in Air Transport World has revealed that Ethiopian Airlines, the second largest carrier in Africa, is once again eyeing new service to Manila. However, unlike the service that was announced last year utilizing a Boeing 767-300ER aircraft, Ethiopian Airlines is now planning to use one of the carrier's 270-seat Boeing 787-8 aircraft on the route.
Although no specific details have been given on the timing or frequency of the possible new route, it is believed that the carrier is also planning 787 service to Tokyo, Japan, and Jakarta, Indonesia. Ethiopian was originally scheduled to begin flying to Manila in June of 2013 but glitches involving the airline's Boeing 787 fleet and an inability to secure landing slots at Ninoy Aquino International Airport pushed the launch of service back to July 2013.

Ethiopian Airlines later revealed that it would begin flying between its hub in Addis Ababa and Manila via Hong Kong on July 2, 2013 with three-weekly flights utilizing a Boeing 767-300ER aircraft. But the airline announced soon after that it would be indefinitely postponing its plans to serve Manila. Although no official reason was given, it was believed that the airline cancelled its plans to serve Manila last year due to an inability to secure fifth freedom rights between Hong Kong and the Philippines.
The CEO of Ethiopian Airlines indicated in an interview with the Centre for Aviation that the airline was hoping to secure rights between Hong Kong and Manila as the Philippines is a small and challenging market to sustain with a non-stop service. In spite of that, the airline maintained that it was committed to serving Manila with or without fifth freedom rights, which would make it the first African carrier to serve the Philippines. It is possible that the carrier plans to use the more fuel efficient Boeing 787 to compensate for what might be tight margins on the thin route. Ethiopian's Boeing 787 aircraft are equipped with 24 seats in Business Class and 246 seats in Economy.
Ethiopian Airlines wants to tap into the strong Philippine economy to help develop investment opportunities between Ethiopia and the Philippines. Africa would like to learn from agricultural experts in Asia in exchange for investment partnerships to develop the vast untapped mineral resources of Africa. Ethiopian Airlines also hopes to take advantage of the Philippines' reputation as a major exporter of consumer goods in order to expand trade beyond South Africa to other countries in the carrier's network. In addition, Filipinos will be able to connect to 44 destinations across Africa through Ethiopian's primary hub in Addis Ababa.

Meanwhile, Ethiopian Airlines revealed that it is on the hunt for an additional 10-20 aircraft. The airline is currently evaluating the Airbus A350 and Boeing 777X. These new aircraft will complement the airline's existing 62-aircraft fleet that includes five Boeing 787 Dreamliners and current orders for fourteen A350 aircraft.

Thursday, March 6, 2014

Yum Eyes Ethiopian Entry as KFC Restaurants Expand Across Africa

Yum! Brands Inc. (YUM:US), the owner of the KFC fast-food chain, said it’s looking at entering Ethiopia, Africa’s second-most populous nation, as it expands across the continent.

“Ethiopia is the one that stands out because it has 85 to 90 million people, so that’s attractive,” Bruce Layzell, Yum’s general manager of new African markets, said in a phone interview today from Johannesburg. “We’re certainly nowhere near pushing the go button, it’s still at that explore stage, to find the right partner, to see if the business model will work.”

Ethiopia’s economy grew an average of 10.3 percent from 2008 to 2012, according to the International Monetary Fund. Expansion is projected to reach 7.5 percent this year from 7 percent in 2013, the Washington-based lender said in October.
Story: Making a Run Inside the Border: Taco Bell’s Huge U.S. Growth Plans

Yum last month posted fourth-quarter profit that exceeded analysts’ estimates on sales gains at its international division. The Louisville, Kentucky-based company has been expanding in emerging markets as well as boosting sales in nations including Russia and France. Yum gets about a quarter of its revenue from its international division, where sales at restaurants open at least a year rose 2 percent in the quarter. Yum has more than 40,000 restaurants worldwide.

“We don’t want to go to a country where we can only build four or five restaurants, that’s going to deliver no one success,” Layzell said. “We want to go in and build 50, 100, our business is the scale game.”

Yum operates in 13 sub-Saharan African countries, including South Africa and Nigeria, which are its largest markets in the region, he said. The company is also exploring the possibility of opening Pizza Hut stores in the region, Layzell said.

Is Heineken's Red Star has some kind of similarities with Ethiopian-Bedele's Teddy Afro Concert Deal

Well, if you happened to be a person who listened to an NPR radio  program which  was broadcasted on Marketplace for Wednesday, March 5, 2014 under a title  "HBO turns to rap to promote 'Game of Thrones"  by Queena Kim,  you will find a hidden relationship what Heineken was trying to do in Ethiopia.  Yep,  in that program the reporter mentioned about Heineken's marketing gimmick using young rappers to prompt its beer to young drinkers  under a marketing scheme called Red Star.

In this  program  one of the person  said " "I think in the case of Red Star, people enjoyed the good music but it didn’t necessarily convert into actually purchasing Heiniken," Goseline says. She says that’s because the music didn’t speak to the Heineken brand:"
Come on, is that what Bedele an Ethiopian beer maker owned by Haniken was trying to use Teddy Afro?
 Well, in my opinion may be some people protested Teddy Afro's deal with Bedele for other reasons but I am going to protest Teddy's deal (too late) because I don't want to see millions of drunken Ethiopian young people running around in  Ethiopian streets.  I think Teddy's decision withdrawing  from this  deal was for good. No matter who pulled out from this deal at the end  I think Teddy is the winner.  Teddy Afro should not allow such kind deals interfere with his principles. Who ever protested about Teddy's deal is not doing any dent on Teddy's pocket but with out knowing it they saved millions of Ethiopians from being addicted beer drinkers. Too bad  for Bedele but too good for the Ethiopian youth!

Teddy!  next time make sure what ever you endorse will not any ramification to your own people. 

Ethiopia says 82 percent of Gibe III dam accomplished (Source Egypt Media)

How Gibe III will affect Egypt ?
Ethiopia says 82 percent of Gibe III dam accomplished
Ethiopian Electric Power Corporation said on Monday that 82 percent of Ethiopia’s Gibe III dam has been completed.
 
Budget allocated for that project is estimated at 1.5 billion Euros.
 
The Ethiopian radio quoted the corporation’s spokesperson Miskir Negash on Monday as saying that the dam consists of ten units, each can generate 187 megawatts. Work on the project is being accelerated. More than 43 percent of electrical and mechanical work is over.
 
The dam will store water starting next April. Two units of it will generate electricity during the first quarter of the coming year, according to the spokesperson.
 
The project is funded by the government and a Chinese loan, the spokesperson said. The dam is expected to generate 1870 megawatts, which will increase the electric energy in Ethiopia by 94 percent.
 
There have been tensions between Addis Ababa and Cairo due to opposition towards the construction of dams on the flow of the Nile for fear that the dams affect its historic share of the water. Egypt has been calling for joint studies over impact of such projects on the water flow.
 
On Saturday, the corporation said 32 percent of the Ethiopian Grand Renaissance Dam has been completed and that efforts are being intensified to accomplish the rest.
 
 
Edited translation from MENA