Business News of Tuesday, 22 June 2010

Source: GNA

United Airline starts direct flight from Accra to Washington DC

Accra, June 22, GNA - US carrier, United Airline touched down in Accra on Monday to begin a direct flight from Washington D.C. It is part of a strategy to use the African market to build on its strong emergence from the recent global economic downturn that hit the aviation industry.

Senior Vice President Mark Schwab said the carrier had 50 wide-bodied aircraft on order for new markets including Africa, its key target for growth after recovery. "We're thinking about our future.We're thinking about Africa," Schwab said, noting that the African route had witnessed a good steady flow of business.

"We are feeling a good strong recovery of business travel," he said, adding that month-after-month the carrier recorded improved yields, improved higher fares and improved occupation of seats. He said management would soon roll out specific services to other African cities, including Lagos, Nigeria. "We're going to continue to work step-by-step to continue to open up travel between the US and the continent," he added. As part of the airline's social responsibility, the crew came along with 1,000 mosquito nets for distribution to children as part of their campaign against malaria.

United Airline will run daily non-stop flights from Washington Dulles to Accra, using Boeing 767-300 plane with promotional fares starting from $849.

United is the second carrier to be making direct flights from Accra to the United states, after Delta Airlines and together they will be making about 18 flights a week. Some 24,000 Ghanaians travelled to the US in 2009, up from 20,000 in the previous year.

In his remarks, Transport Minister Mike Hammah said United Airline's arrival was timely as Ghana prepares to produce oil in the last quarter of the year.

Kwame Mamphey, Director of Ghana Civil Aviation Authority, said the increasing direct flights from the US signified an endorsement of Ghana's business and economic environment. He said a deal had been concluded for Brussels Airline to also begin operations in Ghana mid-July.

"We think Ghana is ready and the time is absolutely right business wise, politically and culturally," Mamphey said. United States is Ghana's fourth largest source of imports with trade amounting to $634 million as against $135 million worth of imports from the West African country.

Relationship between Ghana and the US has improved tremendously over the years with the country hosting three sitting American Presidents -- Bill Clinton in 1998, George Bush Jnr in 2008 and Barack Obama last July.