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India Aviation Industry Newsletter 16 April

India Aviation Industry Newsletter 16 April

Domestic Air Traffic Demand Surging in India, Says IATA

India is on track to register 50 months of successive double-digit domestic air passenger growth by October 2018, the International Air Transport Association (IATA) said on April 11. Domestic aviation market of India registered a double-digit growth in February, at 22.9 per cent, for the 42nd month in a row. “This was nearly twice the pace of the next fastest growing market, which is China with 11.8 per cent, and well above its five-year average (15.6 per cent),” the IATA report said.

Indian Budget Carriers Hold Long-haul Aspirations

The arrival of new aircraft technology, emergence of new business models, and the increasing ambition of India’s budget carriers appear likely to lead to a new wave of expansion on international long-haul routes. As India’s outbound leisure traffic grows following demand of the fast-growing middle class, budget carriers SpiceJet and IndiGo have begun preparing to fly long haul. Plans for widebody aircraft could come soon. According to Centre for Asia Pacific Aviation (CAPA), SpiceJet and IndiGo will probably launch their first European long-haul flights to London Gatwick. SpiceJet chairman Ajay Singh confirmed at the recent Wings airshow in Hyderabad that his airline will introduce low-cost, long-haul flights “as early as this winter.”

India poised for massive aviation growth, airports body predicts

India will grow to represent the world’s third largest aviation market for passenger throughput after the US and China by 2020, according to the Airports Council International. Delhi, the country’s busiest airport for passenger traffic, grew by 14.1% year-over year pushing it up from 22nd to the 16th busiest airport in the world in 2017. Calcutta, Hyderabad, Bangalore, Madras also ranked among the fastest growing airports in the world with year-on-year growth of 26.9%, 19.6%, 12.9% and 10.5% respectively.

India will become 3rd largest aviation market by mid-2020: International Air Transport Association

As per International Air Transport Association (IATA), India will witness 50 months of consecutive double digit growth by October. IATA, which has more than 278 airlines as its members, said Indian domestic players handled more than 90% of its seat occupancy in February 2018, which is a first for the Indian aviation market. India’s domestic traffic growth in 2017 saw fastest RPK increase of 175% for the third calendar year in a row. IATA said, “Such sustained rapid growth has seen the market overtake Australia, Japan, Brazil, and Russia in terms of RPKs flown in recent years.”

Philippines Airlines picks Bird Travels as GSA for India ops

Philippine’s national carrier Philippines Airlines has appointed Bird Travels as its general sales agent (GSA) to develop its sales distribution network in the Indian market ahead of starting flight services here by the winter this year. “India’s tourism industry is expanding rapidly and we’re already seeing a steady flow of leisure and business travellers flying between India and Philippines,” said Ryan Uy, vice-president for sales, Philippine Airlines.

SpiceJet to launch direct Delhi-Adampur flight from May under UDAN scheme

SpiceJet announced 11 April said it will launch daily direct flight between Delhi and Adampur (Jalandhar) from May, its sixth destination under the UDAN scheme using Bombardier Q400 aircraft.

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