Branded the second-largest infrastructural project in the country, as well as boasting an airfreight cargo facility that is the first of its kind for Africa, South Africa’s third international airport is being pitched as an engine for economic growth and development for the next 30 years, that will actively promote resort development and tourism, as well as stimulating passenger and cargo growth.
In particular the airport’s promoters are betting on the perishables sector and other low-weight, high-value manufacturing activities, with a view to stimulating greater international passenger and cargo demand.
A key aspect of the airport development is the new state-of-the-art 15,800m2 cargo terminal which has the long-term capacity to handle up to two million tonnes of cargo a year. A free trade zone, will be linked to the new airport’s airfreight component, which is expected to support and generate new investment in the airfreight-related businesses and associated services.
The cargo facility is also expected to attract industries such as automotive components, electronics, clothing and textiles, perishables and value-added logistics.
But the airport is not without controversy, with many questioning why such a massive project wasundertaken. Among the airport’s critics is International Air Transport Association(Iata) director for industry charges: fueland taxation, Jeff Poole. “Quite simply,the extravagance that is King ShakaInternational Airport cannot be justified,â€Âhe says.
“There is no sustainable business case underpinning its rushed development. Local and international airlines agree that the airport is premature with insufficient traffic or demand to support it.â€Â
Key to many of the detractors’ complaints – and certainly a major concern for IATA and its member carriers – is the fact that the ZAR3.15 billion budget that was initially approved for the airport has almost doubled to nearly ZAR7.6 million. This is going to directly impact the local and international flight costs for passengers and air freight companies.