Prabhu flags airfare fall


Mumbai, June 4: Civil Aviation Minister Suresh Prabhu on Sunday said average airfares dropped by 18% last year, while the number of passengers who flew by domestic carriers recorded a compounded annual growth rate (CAGR) of 19% in the financial year 2018 over FY14.
In a series of tweets, with the hashtag #SaafNiyatSahiVikas (Clean intent, right development), Prabhu also said his Ministry was working on a blueprint for domestic production of aircraft under the Government’s “Make in India” project.
“Average airfares fell by 18% in 2017 over average air fare in 2015, making air travel more affordable for everyone,” he said in a tweet.
“Indian scheduled airlines carried more than 12 cr domestic passengers during FY18 as against 6.1 cr in FY14, recording growth of 19% CAGR. Strategic policies resulting in enabling more Indians to fly than ever before,” said another tweet.
The Narendra Modi Government had launched the slogan “Saaf Niyat, Sahi Vikas” oan its 4th anniversary on May 26, listing its various achievements in a range of areas.
The country registered a double-digit growth in air passenger traffic for the 44th consecutive month at 26.05% in April, on the back of low airfares and capacity addition by domestic airlines.
Over the last 20 years, airfares have remained flat, while fuel prices have doubled, Jet Airways Chief Executive Officer Vinay Dube had recently said.
The Civil Aviation Minister, in another tweet, said: “Comprehensive aviation capacity expansion program NABH NIRMAN has been envisaged to cater to 1 billion air passengers over the next decade.”
Under the NABH (NextGen Airports for Bharat) Nirman initiative, announced in the 2018-19 Union budget, the Government plans to expand airport capacity by more than 5 times to handle a billion trips a year. (PTI)