LARGER SHARE OF FOR­EIGN TRAF­FIC FOR DO­MES­TIC CAR­RI­ERS

SP's Airbuz - - News Briefs -

Unlike many coun­tries, in­ter­na­tional air traf­fic to and from In­dia con­tin­ues to be dom­i­nated by for­eign air­lines, pri­mar­ily from West Asia. But In­dian car­ri­ers have been in­creas­ing their share of the pie steadily. From about 30 per cent in FY14, the share of do­mes­tic air­lines in In­dia’s in­ter­na­tional traf­fic rose to 34 per cent in FY16 and fur­ther to 35 per cent in FY17, says a re­port by rat­ing agency ICRA. This is a re­sult of In­dian car­ri­ers out­per­form­ing their in­ter­na­tional coun­ter­parts in traf­fic growth. For in­stance, in FY17, while over­all traf­fic growth to and from In­dia was 8.4 per cent, the do­mes­tic car­ri­ers grew their in­ter­na­tional traf­fic at a faster 11.8 per cent. While this is much slower than the about 22 per cent growth in do­mes­tic air traf­fic in FY17, the for­eign traf­fic op­por­tu­nity is also getting much at­ten­tion from In­dian car­ri­ers. More flights by es­tab­lished play­ers such as Air In­dia and Jet Airways and rel­a­tively new en­trants IndiGo Air­lines and SpiceJet, have aided the trend of grow­ing mar­ket share on for­eign routes. Jet Airways and Air In­dia have, over the years, built up sig­nif­i­cant share on the in­ter­na­tional routes (13.515.5 per cent), while IndiGo and SpiceJet are grad­u­ally build­ing up their pres­ence (about 3 per cent share each).

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