India continues to lead all markets with a 23.3 per cent rise in domestic traffic in June, propelled by strong growth in real consumer spending as well as by the fact that airlines are adding airport pairs and frequencies. This was revealed in International Air Transport Association’s (IATA) global passenger traffic data for June. Demand for domestic travel climbed 5.7 per cent this June compared to June 2015, while capacity increased 4.3 per cent, causing load factor to rise 1.1 percentage points to 83.2 pre cent. All markets reported demand increases with the exception of Brazil. Domestic RPKs account for about 36 per cent of the total market. The global passenger traffic data for June showing that demand (measured in revenue passenger kilometers or RPKs) rose by 5.2% compared to the year-ago period. This was up slightly from the 4.8% increase recorded in May (revised). However, the upward trend in seasonally-adjusted traffic has moderated since January. June capacity (available seat kilometers or ASKs) increased by 5.6%, and load factor slipped 0.3 percentage points to 80.7%. “The demand for travel continues to increase, but at a slower pace. The fragile and uncertain economic backdrop, political shocks and a wave of terrorist attacks are all contributing to a softer demand environment,” said Tony Tyler, IATA’s Director General and CEO.
Read More »IATA elects De Juniac as DG & CEO
Alexandre de Juniac, Chairman and CEO of Air France-KLM, will succeed Tony Tyler as IATA’s Director General and CEO effective from September 1, 2016. De Juniac will be the seventh person to lead IATA as its Director General. “I thank my industry colleagues for their confidence in confirming me as IATA’s next Director General and CEO. Aviation is a vitally important industry—connecting economies, facilitating business, creating jobs and linking people. My aim is to help airlines to be even more successful businesses creating even greater economic and social value. I want all of our members to have a future that is even safer, more efficient, sustainable and increasingly profitable,” said de Juniac. De Juniac will join IATA from Air France-KLM where has served as Chairman and CEO since 2013. Prior to that, he was the Chairman and CEO of Air France (2011-2013). From 1995 to 2009 de Juniac held various leadership positions in Thales and has also held positions in the French government. IATA’s next AGM and World Transport Summit will be hosted by Aeromexico in Cancun, Mexico from 4-6 June 2017.
Read More »India to be 3rd largest aviation market by 2026: IATA
The International Air Transport Association (IATA) forecasts that India will be the third-largest aviation market in the world within 10 years. Referring to the draft National Civil Aviation Policy (NCAP), Tony Tyler, Director General of IATA, says, “India should develop its aviation policy to try to realise the huge potential of this market. Clearly it’s a good thing that the government has put together an aviation plan that will help make this happen. Certainly having an aviation plan like this is a step in the right direction but I do have to say that I am concerned about some aspects of it. Particularly where it’s going to ride cost to the industry or in some cases deviate from what are well accepted, tried and tested global principles. I have written to Ashok Gajapati Raju, Minister of Civil Aviation and Choubey, Civil Aviation Secretary about these issues.”
Read More »25% growth in domestic air traffic in Nov
The domestic passenger air traffic in India has recorded very strong growth, up 25.1 per cent, during November 2015 compared to the same period in 2014. This was revealed by the International Air Transport Association (IATA), which released global passenger traffic results for November 2015, showing a continued strong traffic growth above the 10 year average rate of 5.6 per cent. The improvements in industry load factors have been largely driven by domestic markets, particularly in India, where there has been a significant improvement in matching capacity to demand and on-going economic strength, according to the report. Globally, domestic travel demand rose 6.4 per cent in November compared to November 2014 but results were mixed, with Brazil, Russia and Japan all showing declines. Total revenue passenger kilometres (RPKs) rose 5.9 per cent compared to November 2014. Though this is a weaker result than the October figure of 7.1 per cent but this has been termed as very healthy rate of growth despite factors which are likely to have a temporary affect. Data for the first ten months of the year show a 5 per cent decline in average fares in currency-adjusted terms. November capacity (available seat kilometres or ASKs) increased by 4.2 per cent, and load factor rose 1.3 percentage points to 78.0 per cent. “The airline industry is delivering solid financial and operational performance. The industry’s return on capital for 2015 and 2016 is expected to exceed its cost of capital, a very rare occurrence. This means we are on the path toward financial sustainability. Consumers are benefiting from lower fares, and airlines are able to invest in new aircraft that are more comfortable, quieter and more environmentally friendly,” …
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