Wednesday, June 6, 2012

SAA drops Cape Town - London


South African Airways announced this week it is halting daily direct flights between Cape Town and London, to avoid losses amid shrinking demand.

The national carrier will close the Cape Town route, operational for 20 years, in August when two daily flights with increased capacity from Johannesburg will become its sole leg to Heathrow.

"A thorough analysis of the route made it clear that we could use our aircraft more profitably elsewhere, while continuing to ensure excellent business and tourism links... via Johannesburg," said Theunis Potgieter, SAA commercial general manager.

"It is also clear that we would lose money on the direct route in the future, whereas it is possible for us to operate more optimally between Cape Town and London via our Johannesburg hub," he said in a statement.

But the local tourism industry is not convinced.

"Our research has indicated that the London-Cape Town route still holds strong economic value for the Western Cape and neighbouring Eastern Cape," said Nils Flaatten, CEO of development agency Wesgro. "International airlines identified this and are increasing their capacity during peak season. Many business and leisure travelers from the United States are using London as a connecting flight into Cape Town and we are at risk of losing these visitors, as the traveling time has been extended even further."

"This is disappointing news for Cape Town’s tourism industry and we fear it could affect tourism arrivals from the UK and the rest of Europe negatively," commented Cape Town Tourism CEO, MariĆ«tte Du Toit-Helmbold.

To see the full article on iafrica.com, click here


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