Domestic air traffic growth at 3.8 per cent in August

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Published: September 20, 2019 7:20:12 AM

Several airlines had to cancel flights due to heavy rains and floods in Mumbai, parts of Kerala and Karnataka. Analysts said the average domestic fares were up 5-7% in August.

Domestic air traffic,air traffic growth, aviation news, DGCA, Jet AirwaysAll major scheduled carriers witnessed seat occupancy of 80.9-92.4% in August.

Domestic air traffic growth continued to remain soft at 3.8% year-on-year in August, on account of higher ticket prices and flight cancellations due to heavy rains in Mumbai and other cities. A total of 11.79 million passengers booked air travel for August compared to 11.35 million in the same month last year, according to data released by the Directorate General of Civil Aviation (DGCA) on Thursday.

Several airlines had to cancel flights due to heavy rains and floods in Mumbai, parts of Kerala and Karnataka. Analysts said the average domestic fares were up 5-7% in August.

“August is a weak travel period for airlines. The passenger traffic was also hit by unprecented rains in Mumbai and parts of south India,” a senior airline executive said.

The grounding of Jet Airways in April has impacted domestic passenger growth — recorded around 20% y-o-y between calendar year 2015-18. Domestic traffic has grown at 3.2% y-o-y in the eight months to August 2019. Experts are hopeful about better traffic growth during the festival season.

“We have seen the June-August quarter to be slow in general, so let’s wait and watch for the next quarter. Especially with the festive season kicking in, we expect a sharp increase in flight bookings, both domestic and international,” Nishant Pitti, co-Founder & Ceo, EaseMyTrip, said.

Low-cost carrier GoAir continues to strengthen its domestic presence, clocking its highest-ever market share at 11.8% in August.
Its domestic market share during August 2018 was 8.9%. While market leader IndiGo flew 47% of the domestic traffic in August 2019, SpiceJet captured 15.5% share of the domestic pie. Domestic market share for Tata Sons’ joint venture carriers AirAsia and Vistara stood at 6.5% and 5.8%, respectively.

All major scheduled carriers witnessed seat occupancy of 80.9-92.4% in August. Aviation consultancy firm CAPA India has projected less than 5% y-o-y growth in FY20 for the domestic market.

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