Aviation sector set to witness fall in number of flights


India's aviation sector is set to see a huge decline in the number of flights offered, with consultancy CAPA predicting that carriers will need up to 12 months to get back to capacity levels that existed before the coronavirus outbreak grounded aircraft. “There could be 200-250 surplus aircraft for the next 6-12 months. For India to return to a pre-Covid operational fleet of 650 aircraft is likely to take up to 12 months from the time that restrictions are lifted, and this may be conservative,” CAPA India said in a report released on Monday.
The firm predicted that recovery would likely be slow. “Demand will be suppressed due to economic dislocation; slow or even negative GDP growth; broken supply chains; low consumer confidence; and concerns about lingering outbreaks of Covid-19 first quarter of 2021 will be almost written off, with traffic limping back during the weak second quarter, followed by a gradual trajectory towards normality during the second half of the financial year,” the report reads.


CAPA expects airlines to return aircraft starting from April end. “Indian carriers are initially expected to seek to return up to 100 aircraft to lessors, especially older equipment and those that may be closer to the expiry of their terms. The number of returned aircraft will continue to increase significantly up until Sep-2020, possibly reaching 200-250, or even higher,” the report said, adding that the aircraft delivery plans of airlines will also be deferred by one to two years.

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