Angola Aerospace Air Carrier
The Future of the Angolan Air Carrier TAAG
TAAG’s ambitious and expansion project in the short- and medium-terms, should include partial privatization. Angola’s main air carrier, TAAG, suffered heavy blows, especially at the beginning of the COVID-19 pandemic, but its new management has now mapped out a new course for its fleet renewal and an increase in its flight frequencies, destinations as well as the acquisition of more passenger and cargo planes.
TAAG’s plan is to increase from its current 31 aircraft to 58 in 2026, and its national and international connections from 92 to 149 by the last semester of 2023. These flights are expected to be divided into 71 national flights distributed over 11 Angolan provinces, and 78 international flights to 24 cities among 23 countries. This would be 14 more destinations than TAAG currently has, 10 of which are within the African continent.
Of the 31 aircraft available now, six are for cargo and the plan is to increase the number to 16 by the end of the proposed expansion. TAGG’s cargo operation has been one of the segments that has been most expanded this year. The company has higher-than-expected revenues for 2022.
Improving on processes such as capturing engineering know-how within the company; improving procurement and training systems; updating facilities so that emergency maintenance can be carried out; enhancing relationships with OEM/original spare parts suppliers; improvements on the workshops that guarantee the overhaul, maintenance, and repair of aircraft; and finally, the payment of overdue debts to suppliers will be advantageous to the company and may lead to opportunities for U.S. exporters.
This restructuring plan may eventually lead the company to partial privatization, where the Angolan State would maintain a controlling share. Such a partial privatization is very unlikely to be completed before 2024.
U.S companies interested are encouraged to contact Commercial Assistant, Mauro Fonseca, U.S. Commercial Service, Angola at Mauro.Fonseca@trade.gov.