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Delta Air Lines has given a significant vote of confidence in South Africa’s policies aimed at drawing investment, saying the country’s requirements, including B-BBEE, “do not even come close” to being as onerous as those in other markets.David Werner, MD for international government affairs at the US airline, told reporters in Cape Town on Thursday that it remains deeply committed to the South African market for the long term. He was speaking at a media roundtable to mark 20 years in the South African market.The airline’s positive sentiments around investing in South Africa are in stark contrast to the widespread view that government regulations, particularly B-BBEE, stifle investment.“Nowhere is perfect. [That said], we have a great relationship with the government here and the [department] of transport and others. It’s open communication, and so as we navigate those things, they’re partners with us in terms of any issue that comes up.“I do not see it as something that impedes your growth here, because of the relationships … We send our newest aircraft, our best aircraft, here, and so it’s quite the opposite in terms of what we see in terms of potential.“When I think about places in the world where regulation is holding us back, this does not even come close to being on that radar.”South Africa-born American billionaire Elon Musk has been a vocal critic of empowerment policies, both in South Africa and in the US, where they take the form of diversity, equity, and inclusion (DEI) policies. He has gone as far as claiming that South Africa barred his satellite internet service, Starlink, from entering the market because he is not black.I have nothing but compliments for how things are going [locally to improve service].— David Werner of Delta Air LinesContrary to people’s tendency to paint the African market with the same brush, Werner said Delta’s experience was that the department of transport shows commitment to the improvement of service.“So I have nothing but compliments for how things are going.”Matt Long, Delta’s leader in Europe and Asia, said Delta is committed to diversity across its employment base, customer base and the regions where the company operates globally.“We also think about diversity in terms of the suppliers that we’re utilising, how we think about investment within the aircraft.”Other airlines have also announced an intention to deepen their investment in the South African market and to expand their already extensive networks. This week, Emirates announced a partnership with the JW Marriott Marquis Dubai, discounts through My Emirates Pass and booking benefits.Adnan Kazim, deputy president and chief commercial officer at Emirates, said the offer is supported by Emirates’s strong South African connectivity. Its multiple daily flights from Johannesburg, Cape Town, and Durban link travellers to more than 138 global destinations.“We’re inviting passengers to enjoy even more of the city, with a complimentary hotel stay to take advantage of the exceptional range of shopping, entertainment, dining, and family-friendly experiences that define the Dubai summer experience, when stopping over as part of your journey or visiting Dubai as your final destination.” Cape Town MMC for economic growth, James Vos, said aviation contributed $75bn (R1.2-trilion) to Africa’s GDP while supporting 8.1-million jobs, which could be bolstered through tourism and airlifted cargo.Business Times
