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Business News/ News / India/  Airlines struggle to fill seats in June as travel demand remains muted
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Airlines struggle to fill seats in June as travel demand remains muted

The country's airlines carried 1.98 million passengers during June, down from 12.03 million passengers during the same period in the previous year
  • The passenger load factor of major scheduled commercial airlines stood between 54% and 68%
  • (Photo: PTI) (PTI)Premium
    (Photo: PTI) (PTI)

    Indian airlines operated up to fourth of their capacity in June, as the surge in covid-19 cases and restrictions imposed by states led to muted travel demand.

    Indian carriers flew 1.98 million passengers during the month, down from 12.03 million in the year-ago period, monthly data from the Directorate General of Civil Aviation (DGCA) released on Friday showed.

    The passenger load factor of major scheduled commercial airlines stood between 54% and 68%, which showed that carriers could fill up to two-thirds of the total seats. In June 2019, the passenger load factor stood at 81-94%.

    Load factor, or passenger load factor, is an aviation industry metric that measures an airline’s passenger-carrying capacity.

    India’s largest airline IndiGo registered a 52.8% market share in June, reporting 60.7% load factor. The airline carried 1.04 million passengers during the month. SpiceJet, which has a market share of 16.8%, registered 68% load factor in June, ferrying 0.33 million passengers. Air India’s domestic operations registered 56.5% load factor during the month with a market share of 12.2%. The national carrier ferried 0.24 million people in June.

    Vistara, a joint venture between Tata Sons and Singapore Airlines, reported a load factor of 56.6% and 5.6% market share, while AirAsia India, a Tata Sons-AirAsia Berhad venture, reported a 56.5% load factor and a 7.1% market share in June. GoAir, which is controlled by the Wadia Group, reported a 57.9% load factor and a 4.5% market share. Vistara carried 112,000 passengers. AirAsia India 140,000, while GoAir ferried 89,000 people.

    “Passengers carried by domestic airlines during the January-June period were 35.18 million as against 70.66 million in the corresponding period of the previous year, thereby registering an annual growth of -50.22% and monthly growth of -83.50%," DGCA said.

    In June, Vistara cancelled 16.50% of its flights, while the overall cancellation rate of scheduled domestic airlines stood at 3.03%.

    Domestic air passenger services had resumed on 25 May.

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    Published: 17 Jul 2020, 05:38 PM IST
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