Air-traffic picks up in November
Posted on,Wednesday, December 16, 2009
Source:Google
After getting badly hurt by the impact of global slowdown, domestic airlines in India are now seeing some improvement in air-traffic on the back of improved economic environment.
As per the official figures, domestic airlines carried around 399.66 lakh passengers from January to November 2009, as compared to 378.99 lakh in the same period last year, an increase of 5.45 per cent.
Airlines have also focused on route rationalizing to cut rising costs and the move led to an increase in their seat factors.
Air India, Jet Airways and many other airlines registered over 70 per cent flight occupancy in the month under consideration.
However, low fares are still a cause of concern for these airlines, keeping the airlines in the red zone.
Rising fuel prices also have added to their woes. Despite witnessing a growth in the number of passengers, domestic airlines are bleeding with losses.
Not to forget the impact of global downturn which shattered the Indian aviation industry into small pieces, causing a drastic decline in the demand for air-traffic.
As per an estimate, domestic airline industry suffered an overall loss of around Rs.10,000 cr in fiscal 2008-09.