A strong urge to merge or, at the very least, enter into some form of strategic alliance is currently gripping the airline industry in Europe and North America, even among Europe’s state-owned carriers.
Lufthansa has just formed a partnership with US carrier United Airlines; SAS, KLM, Swissair and Austrian Airlines are gritting their teeth and contemplating merging forces; Air France has bought an equity stake in Sabena; American Airlines is investing in Canadian International Airlines; British Airways has acquired shares in several airlines, including USAir and Qantas; etc, etc.
This tidal wave of international co-operation has largely been forced upon the airline industry by the harsh economic recession and sharp decline in the air transport business. Most of these foreign airlines are forming partnerships not because they love each other but out of sheer necessity. For some of them their survival may depend upon it.
In contrast, what is happening in Africa? The proposed Air Maghreb alliance between North African airlines is behind schedule; the planned African Joint Air Services (AJAS) between three airlines in East and Southern Africa is in limbo after one carrier pulled out; and Southern Links, the co-operative venture launched by Air Botswana, is yet to receive the full support it deserves. If co-operation is the sine qua nonfor survival and African airlines refuse to co-operate the outcome seems obvious. For many the choice is between co-operation or extinction.