Domestic air pax number down

The number of domestic air passengers declined in the first nine months of 2014 due to various factors such as extended road network that has cut the travel time to many remote destinations.

According to Tribhuvan International Airport (TIA) statistics, domestic passenger

movement dropped 6.24 percent to 1.032 million, meaning airlines received 32,455 fewer passengers in the review period.

Air passenger movement has been on a constant decline since 2012, marking a departure from the robust growth rates since 2008 when airlines were

flying high due to competitive airfares, road blockades, and increased NGO/INGO staff movement after the peace process, and a real estate boom.

Meanwhile, there were 47,103 flights in the Nepali skies in the review period, down 0.85 percent. The stats show TIA witnessed 175 take-offs and landing on an

average daily.

The domestic airlines received the highest number of passengers in April, with 243 take-offs and landing daily on an average.

“The shortage of aircraft to serve short-take-off-and-landing airfields and extended road network in many remote destinations reduced the number of air travellers,” said Ratish Chandra Lal Suman, director general of the Civil Aviation Authority of Nepal.

Besides, according to Suman, after the peace process, surface travel has become the choice of the travellers.

However, industry insiders blame skyrocketing airfares for the airlines receiving fewer travellers. The European Commission, which has blacklisted Nepali carriers

for being unsafe, has further deterred travellers from using domestic airlines , they say.

In the last two years, airfares have gone up by Rs 2,000-2,500 on long-haul routes and Rs 700-1,000 on short-haul sectors.

Some airlines officials blamed reduced tourist movement from India for the decline in air passenger flow.

Roshan Regmi, marketing manager of Yeti Airlines, said hikes in fuel surcharge in line with increased aviation fuel price in the past years increased the airfare, adversely affecting passenger occupancy.

“Besides, domestic carriers did not receive tourists as expected this year,” he said.

Buddha Air, Yeti Airlines, Tara Air and Sita Air recorded negative growth in terms of passenger occupancy during the first nine months of 2014. Buddha Air flew 589,271 travellers in the review period, down 9.72 percent. The airline commanded 57 percent market share.

Buddha’s nearest competitor Yeti Airlines saw its passenger movement drop 8.51 percent to 292,437. Yeti’s subsidiary Tara Air saw its passenger numbers drop 4.23 percent to 49,390, while Sita Air witnessed its passenger traffic drop 4.22 percent to 4,222.

In the fixed wings category, only Simrik Airlines and Nepal Airlines saw the strongest passenger growth. TIA stats show Simrik recorded 37.92 percent growth in passenger occupancy. It flew 59,803 travellers in the first nine months.

The national flag carrier saw its passenger numbers grow 14.47 percent to 19,872 in the review period. NAC has a marginal 1.92 percent share in the domestic market.

source:the kathmandu post,2 jan 2015