Excess capacity big concern for a volatile aviation sector
Demand for air travel has not recovered sustainably to pre-covid levels so far as jet fuel prices soar
IndiGo operated 9,748 flight departures per week against DGCA approval to operate 11,130 flights per week
NEW DELHI : Indian airlines have faced near-constant turbulence since the onset of the pandemic. Initially, the sector witnessed its worst nightmare in the form of grounded aircraft for two months during the national lockdown. A slump in demand followed this, along with a restriction on capacity deployment by the civil aviation regulator. Then came the volatility in fuel prices and the weak rupee, which continue to cloud their path to profitability. The capacity deployment equation has remained a constant worry for the sector since the onset of the pandemic.