Domestic air travel in India dips as Q2 kicks off
What's the story
The onset of July has witnessed a notable dip in domestic flights across India. According to data from Cirium, an aviation analytics firm, daily domestic flights have fallen below the 3,000 mark and passenger numbers have dropped below 4 lakh. The decline is largely seasonal as the Q2 (July-August-September quarter) is historically weaker for Indian airlines.
Capacity adjustment
Airlines are adjusting their capacity in response to seasonal dip
In response to the seasonal dip, Indian airlines are adjusting their capacity. This includes sending aircraft for scheduled checks at Maintenance, Repair, and Overhaul (MRO) facilities. The goal is to ensure lower downtime in the peak October-December quarter. Data from Cirium shows that July will see 1,159 fewer flights per week than June, with the first three days of this month seeing fewer than 3,000 daily flights, as shared by the Ministry of Civil Aviation.
Airline strategies
Air India reducing 5% of its schedule; IndiGo's cuts higher
Air India has announced a reduction plan for 5% of its schedule, while most other airlines have followed suit with cuts in their domestic schedules. IndiGo's cuts are even higher than 5%. However, unlike Air India which has cut both domestic and international schedules, IndiGo has moved capacity to international routes during this lean period.
Route changes
Bengaluru-Goa route sees biggest cut in flights
The Bengaluru-Goa route is witnessing the biggest cut in flights, with 22 fewer flights per week. Air India Express and IndiGo are cutting 14 and eight weekly flights, respectively, on this route. Other routes like Bengaluru-Kochi and Kolkata-Port Blair are also seeing a reduction of 21 and 18 weekly flights, respectively.
International expansion
IndiGo reducing over 900 weekly domestic flights in July
IndiGo is reducing 994 weekly flights on domestic routes in July compared to June, a significant 7.6% drop in departures and a 6.9% decline in seats offered. However, the airline is ramping up capacity on international routes with a 9.5% increase in Available Seat Miles (ASM) in June. Air India Express has also shifted its focus to international routes with new flights to Jeddah from multiple points starting this month.