The Aviation Ground Handlers Association of Nigeria (AGHAN) has directed its members to withdraw ground handling services from XEJet Airlines due to an outstanding debt of approximately N300 million. According to AGHAN, the airline failed to honour payment plans agreed with ground handling companies despite repeated efforts to secure repayment. This decision may further disrupt XEJet's operations, which have already been impacted by the diversion of some passengers' check-in luggage to another domestic carrier.
AGHAN President, Olaniyi Adigun, and Vice President, Bashir Ahmed, signed a joint statement explaining the association's decision. They stated that several indigenous airlines had responded to AGHAN's earlier demand for the settlement of outstanding handling charges by entering into payment arrangements with ground handling companies. However, XEJet allegedly failed to fulfil its commitments under the agreed arrangement, leading to the withdrawal of services.
The association described XEJet's position as "recalcitrant," citing the airline's failure to meet its payment plans despite efforts by AGHAN members to resolve the matter. The accumulated debt has placed additional financial pressure on ground handling companies, which are also contending with rising operating costs and other economic challenges in the aviation industry.
AGHAN emphasized that the inability of some airlines to pay for services rendered affects the capacity of handling companies to invest in equipment and improve staff welfare. The association warned that the action against XEJet should not be interpreted as an isolated measure, as its members would take similar steps against other airlines that failed to honour agreed payment plans for services already rendered.
According to AGHAN, XEJet's outstanding obligations to its members currently stand at about N300 million. The withdrawal of services means that the airline may face difficulties in accessing routine ground support services required for its flight operations, including passenger and baggage handling. This development has already had operational implications, with some XEJet passengers' check-in luggage transferred to another domestic operator.
The dispute highlights the increasingly strained financial relationship between airlines and ground handling companies, whose services are essential to the smooth operation of flights at Nigerian airports. Ground handlers provide a range of services to airlines, including passenger and baggage handling, ramp operations, and other airport support functions. Delays or withdrawal of such services can have direct consequences for airline operations and passengers.
AGHAN said it remained committed to protecting the interests of its members while urging airlines to honour their financial obligations for services rendered. The association's action is linked to a broader effort to address mounting debts owed by domestic airlines to ground handling companies. XEJet's failure to meet agreed arrangements resulted in the latest directive for ground handlers to withdraw services from the airline.
Key points
- The Aviation Ground Handlers Association of Nigeria (AGHAN) has suspended ground handling services for XEJet Airlines over a N300 million debt.
- The suspension was due to XEJet's alleged failure to honour payment plans agreed with ground handling companies.
- The action may disrupt XEJet's operations, which have already been impacted by the diversion of some passengers' check-in luggage to another domestic carrier.
