India Outbound

TRAFFIC TRENDS –
Airport Passenger Movements
International Destinations
International Ticketing

Author: Apeksha Kabra 1 1/5/2009

 India Outbound

AIRPORT PASSENGER MOVEMENTS

TOTAL TRAFFIC HANDLED IN AUGUST 2008

Category August August %

2008 2007 Change
Passengers (in million)
International 2.67 2.44 9.3
Domestic 5.76 6.94 -17.1
Total 8.43 9.38 -10.2

INTERNATIONAL PASSENGER TRAFFIC:

The international passenger traffic has registered an increase of 9.3 per cent during August 2008
as compared to passenger traffic handled in August 2007. Growth rates of different categories of
airports are mentioned above and airport-wise details are given in below

Major increases (in per cent) are at :

Chennai 11.6 Delhi (DIAL) 10.9

Goa 74.2 Cochin (CIAL) 13.9
Calicut 36.1 Coimbatore 367.7
Nagpur 28.5 Mangalore 35.2

MONTH-WISE PASSENGER TRAFFIC TREND:

Month-wise passenger traffic trend has shown in the chart below:

Author: Apeksha Kabra 2 1/5/2009

 India Outbound

TABLE 3.1: TOTAL PASSENGER TRAFFIC TRENDS- AUGUST 2008 vis-à-vis AUGUST
2007
(In million)
Airport Category August August %
2008 2007 Change
Twelve International 2.27 2.62 -13.6
Airports
Five JV Int’l Airports 5.16 5.70 -9.6
Eight Custom Airports 0.41 0.44 -5.7
Twenty One Domestic 0.49 0.53 -6.7
Airports
Others Domestic Airports 0.10 0.09 6.4
Total 8.43 9.38 -10.2

Author: Apeksha Kabra 3 1/5/2009

 India Outbound

REGION WISE TREND:

The highest growth in total aircraft movement has been recorded in North East Region (2.7%)
followed by Southern Region (1.3%) during the reporting month August 2008. All the regions
witnessed negative growth ranging between 8 to 19 per cent in total passengers during
August 2008 compared to August 2007. North East Region has witnessed highest growth of 21.8
per cent in total freight handling and followed by Eastern Region (11.2%) during August 2008
over August 2007.

REGION WISE SHARE:

Southern Region has the highest percentage shares in total Aircraft Movement (36.3%) and
Passenger traffic (35.3%) followed by Western Region during August 2008. Western Region has
the highest percentage (34.7%) share in total Freight traffic followed by Southern Region
(33.2%) during the same period.

[Source: Airport Authority of India –

Link: http://www.airportsindia.org.in/traffic_news/TRAUG2008.pdf ]

DESTINATIONS TRENDS:

With the meltdown in global financial markets and a general recession, there were fears of a dip
in outbound travel from India. However, tourists from India continued to grow as more countries
offer short trips to overseas destinations and have launched attractive packages to lure
travellers from India, as per figures for the January-September period shared by various
international tourism boards. According to industry sources, destinations such as, Malaysia,
Singapore, Thailand, Mauritius, Egypt, Australia and New Zealand would be making up for
almost half of India’s total outbound segment this year.

Major tour operators are functioning with the preposition of offering short-weekend segment
and working out attractive packages to woo more Indians. Indian arrivals in Malaysia are up
31% to 4.14 lakh, in the first nine months of this year, from 3.15 lakh during the same period
last year. For Mauritius, inbound figures have increased by 8% over last year.

A destination like Egypt has already received 75,000 tourists from India, a 32% increase as
compared to the same period last year. A long-haul destination like New Zealand has also
witnessed a growth of about 12% in the January-September period. However considering the
current economic situation, it is believed that growth from India might soften in the next six
months.

[Source: 27 Oct, 2008, Neha Raghunath - ET Bureau]

Author: Apeksha Kabra 4 1/5/2009

 India Outbound

INTERNATIONAL TICKETING:

The hike in fuel surcharge and taxes has increased the cost of international air travel from 7
percent to 15 percent. Travel agents have seen a drop of 15-20 percent in international ticket
sales. But this is said to be just the tip of the iceberg and industry experts foresee an additional
drop of 5-10 percent with another hike in fuel surcharge shortly. However, Indians will
eventually get used to it as the Indian market has enormous ability to absorb price shocks

The Aviation Turbine Fuel (ATF) hike has not impacted business traffic drastically as corporates,
businessmen and Indians employed abroad continue to travel. However, businessmen will reduce
their international trips and there is an expected 10–15 percent drop in business traffic.
Drop in leisure outbound ticketing is expected at 5–10 percent. Leisure travelers are
downgrading their airline travel from business to premium economy to save costs.

Travel agents will see an overall drop of 25–30 percent in ticket sales compared to the same
period last year.

[Source: Friday, July 11, 2008, AMISH MODY –

Link: http://www.traveltrendstoday.in/page.asp?id=618&secid=8]

Author: Apeksha Kabra 5 1/5/2009