Higher ticket prices continued to have an impact on demand in the Indian market in July as domestic airlines recorded their second consecutive monthly year-on-year decline in passenger numbers.
The Ministry of Civil Aviation says in a statement that 3.08 million passengers were carried domestically by India's scheduled airlines in July, representing a more than 10% decline on the 3.4 million carried in the same month last year.
It was the second consecutive monthly decline in passenger numbers after a drop of around 4% in June, which came after several years of strong growth.
Airlines and analysts say higher ticket prices have been negatively affecting demand as the Indian domestic market is particularly price sensitive. Airlines have in recent months been increasing fares and cutting flights to help cope with high fuel prices.
Source: Air Transport Intelligence news
