New Delhi: New Delhi's Indira Gandhi International Airport, the busiest in the country, operated only 9,335 domestic flights in June this year, compared to 27,985 flights in the same month last year, a drop of around 67%.
Mumbai: Mumbai's Chhatrapati Shivaji Maharaj International Airport, the second busiest, operates a mere 2,594 domestic flights this June, compared to a drop of 19,682- 87% in the same month in 2019. These numbers are not limited to only the two largest airports in the country.
This shows that the COVID-19 and subsequent lockdown has wreaked havoc with the aviation sector, resulting in a sharp increase in the number of flights operated and those flown from airports around the country.
Consider the number of domestic flights in June 2019 and 2020 from some other major airports. The Chennai airport saw a drop of over 80%, 74% in Bangalore, 71% in Hyderabad and 61% in Kolkata in-flight operations.
If the number is of April-June 2019, then compared to the period of this year, it is very less. Most airports show a drop of over 80%. A similar decline has been observed in the number of domestic passengers at all airports in the country in June 2019 and 2020.
In June 2019, the Delhi airport flew more than 40 lakh domestic flights, but this year it dropped to 8.82 lakh in the same month, a drop of 78%. The story is the same at all airports. Among the major airports with more than 90% decline are Mumbai, Goa and Mangalore.
It is not that the crisis facing the aviation sector is not known. Except the state carrier Air India, which operated the Vanda Bharat Mission and evacuation flights, the rest were shut down for two months, hitting its balance sheet. But even after domestic flight operations started on 25 May, all airlines are fighting to survive due to lower demand.
Fear of COVID-19 has eluded fliers, which is reflected in lower passenger loads. SpiceJet had a 94% engagement in June 2019, which came down to 68% in the same month this year. Indigo's corresponding figures were 90% and 60% while that of Air Vistara was 83% and 57%. Reduced demand forced airlines to layoffs, layoffs and pay cuts.
Last week, the sector was also hit by a downturn, when the largest airline, IndiGo, announced its financial results for the quarter ending in June, with a net loss of Rs 2,844 crore. The government is confident that the aviation sector will see a rebound sooner than later. Union Civil Aviation Minister Hardeep Puri recently told, "We are assuming that by the time Diwali arrives this year, we will have a 55-60 percent stake in pre-covid domestic flights operating in India.
They are unanimous that the sector has undergone serious changes and until the consumer's confidence in flying is restored, reviving the industry is a difficult task. We believe it can take up to 18 to 24 months to recover from the current situation.
Its latest report estimates that the aviation industry will incur a revenue loss of Rs 24,000-25,000 crore. “Airlines will be the worst hit, contributing over 70%, or Rs 17,000 crore, followed by airport operators with Rs 5,000–5,500 crore and retail, food and beverage and airport retailers. With, 1,700 crore duty-free outlet with Rs. 1,800 crore,”. Another rating agency ICRA said that in the last quarter of the current financial year, the domestic passenger traffic industry is expected to decline by 3-14%.