Sanctions busting at Manston

Many of you have been wondering why the state airline of a pariah nation regularly visits a failing airport in the corner of England.

A while ago, I was told that Iran Air come to Manston to refuel, which struck me as a "reasonable reason" but a woefully inadequate explanation. Things are now becoming clearer...

For a number of historical reasons, Iran and USA are not best mates. The USA are currently showing their dislike of Iran through sanctions - read about the sanctions here. American foreign policy is conducted in such a way as to try to compel the rest of the world to follow their lead. The Americans "forbid companies and governments with economic ties with the US to trade with Iran".

Depending on your viewpoint, this can be regarded as the effective use of economic leverage, or as blackmail. Either way, it seems to be working, in as much as Iran Air is desperately short of spare parts to maintain its fleet. The inevitable impact on airworthiness probably explains why most of Iran Air's aircraft are banned from European airspace - read about the ban here. This BBC video clip shows a passenger explaining how the Iran Air plane's tyres burst when it landed at Manston, stranding the hapless Iranians in Thanet for the night.

Although the small fraction of Iran Air's fleet that is regarded as airworthy is allowed to land in London (not sure what they do about landing fees) they have to refuel elsewhere. Manton is apparently "devoid of American trade connections" and is thus free to flaunt the American sanctions without fear of retribution. If Manston ever tries running flights to the States, I expect they will find that the US Government and the Federal Aviation Authority have long and unforgiving memories. (Incidentally, does anyone know if Infratil has any "economic ties with the US"?)

So there you have it - Manston can get away with selling jet fuel to the Iranians because they are insignificant enough to slip through the American's sanctions net. When viewed alongside the track records some of Manston's other customers - MK Airlines' stop-frame bankruptcy; Kam Air's DC-8 close brush with disaster; Cargolux's part in the international criminal price-fixing cartel - it doesn't paint a pretty picture.

Manston: judge them by the companies they keep.

Airport's new owners 'in for the long haul'

Steve FitzgeraldKent International Airport could be as busy as Glasgow Prestwick in five years, according to Manston’s new boss. The forecast comes just weeks after Infratil, the New Zealand investment company, bought the Thanet airport from the administrators of former owners PlaneStation for £17 million.

Infratil already owns Glasgow Prestwick which has seen a surge of growth in recent years, employing 500 people directly with a further 3,500 jobs related to the airport. Steve Fitzgerald, chief executive of Infratil Airports Europe, said:

"Sure, this could become another Glasgow Prestwick within five years. There are a lot of parallels between the two operations. Glasgow Prestwick is probably five years ahead of Manston at the moment. We’ll be targeting Manston in a slightly different direction. But in terms of can it get to two to two and a half million passengers, can it get to 34,000 tonnes of cargo? Yes."

The catchment areas are similar with the main difference that round-the-clock flying was permitted and local people seemed to be wholeheartedly behind the airport.

"People are used to it and understand the positives the airport brings."

He pledged to re-engage with the local community and speak to residents about Infratil’s plans. Infratil has already notched up an early success by winning back the custom of freight operator MK Airlines, which defected to Europe last year after complaining about high landing fees. On the passenger front, Mr Fitzgerald has spoken to dozens of airlines about the advantages of Manston.

He is optimistic that a scheduled airline will sign a deal before next summer. But he said it was unlikely to be on a similar scale to EUjet, grounded by financial problems after less than a year. Mr Fitzgerald said EUjet started with too many routes without having enough time to build brand recognition and customer loyalty. He said:

"EUjet tried to replicate a Glasgow Prestwick operation overnight when it was built up there over 10 years by Ryanair. It can be done but it takes more patience. It’s arguably desirable to have several different airlines serving the airport and even some that aren’t based in the UK."

Mr Fitzgerald confirmed Infratil was in for the long haul, with plans for steady growth over the next 20 years.

"Our business model is a 20-year model and it shows that on a modest build-up of traffic, we’ll be losing money for three years. We think it’s an exceptionally good long-term investment. Infratil has a brand with a good long-term view and a track record of delivering returns for long-term investment."

kentonline 13th Oct 2005