Air traffic grows 8% in 2009

Flying high on strong economic recovery, domestic air travel has made a comeback in 2009, with traffic registering an increase of 7.9% over the previous year. In 2008, air traffic fell by 5%, with 412 lakh domestic fliers taking to skies against 433 lakh in 2007.

The increase to 445.1 lakh flyers in 2009 came on the strong revival in traffic since July, as the first six months were consistently witnessing a double digit percentage fall. Last month, for instance, saw a whopping 33% increase with 44.8 lakh people flying within India against 33.7 lakh in December 2008.

Jet and Kingfisher are operating over 70% of their fleet with budget airlines. The combined market share of IndiGo, SpiceJet, JetLite and Go Air was 38.5%. This figure goes up to 55%-60%, after adding combined share of Jet Konnect and Kingfisher Red (the budget brands of main airlines). "At this moment, everyone has realised that low fare is the way to survive and go ahead. So Air India's decision not to have a low cost budget airline is baffling," said a leading travel agent.

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