Cross Rivers state is planning to start an airline with the name Cally Air by November of this year. Cally Air will be another local airline that might struggle to survive.
The state is planning to run the airline in partnership with Dana Air. Dana Air is one of the local airlines in Nigeria competing with Arik Airlines.
There are strategic rationale behind this plan. First is the fact Cross Rivers has overtime positioned itself as a tourist destination, so having an airline that can make the state accessible to foreign and local travelers into the state.
Another reason might be to create jobs and deepen the local tourism value chain.
However, while Cally Air sounds like a smart idea, the fundamentals are shaky. First is the cut-throat aviation policy that overtax a sector that is on life support.
Cally Air will also be facing the same Forex challenges, aviation fuel scarcity and the massively-decayed aviation infrastructure in Nigeria.
While this is a welcome development, it is a very delicate move that must be properly calculated.
Still, we await the arrival of Cally Air by November.