Recent Trends in Air Travel
Following a temporary increase in air passenger numbers in May 2025 after the cessation of hostilities between India and Pakistan, new statistics from the Ministry of Civil Aviation indicate a fresh downturn in June. A report from a financial services firm highlights that, according to daily data from the Ministry, the average number of daily passengers had dropped on May 25 due to the geopolitical tensions. However, after the ceasefire was announced, domestic air travel appeared to stabilize. Unfortunately, the average daily passenger count fell again after the tragic Air India accident on June 12, 2025.
Passenger Statistics
The report reveals that the average daily passenger count in April was around 490,000. A decline was noted in May 2025 due to the India-Pakistan conflict, but numbers rebounded to 490,000 before the June 12 incident. Following the accident, the daily passenger count dropped to approximately 460,000.
Impact on International Travel
International air travel has also seen a decrease since May 2025, largely attributed to the ongoing issues stemming from the India-Pakistan conflict. Recently, Air India announced a 15 percent reduction in its international flights utilizing wide-body aircraft for the upcoming weeks. This decision came in the wake of the tragic crash of Air India flight 171 in Ahmedabad, which resulted in the loss of 241 lives. The report notes that Air India canceled 83 wide-body flights between June 12 and June 17, 2025. Daily data from the Ministry indicates that the average number of international passengers fell from 118,000 in April to 113,000 in May, and further down to 102,000 in June.
Fuel Prices and Future Outlook
Despite the decline in passenger demand, the report suggests that a decrease in Aviation Turbine Fuel (ATF) prices could mitigate some of the negative impacts observed in May and June. ATF prices have dropped by 8.2 percent on a quarter-over-quarter basis in Q1 FY26, averaging Rs 86,000 per kiloliter compared to Rs 94,000 in Q4 FY25. However, the recent geopolitical tensions have led to an increase in crude oil prices, which could alter the situation for airlines. As of June 19, 2025, crude oil prices have surged approximately 20 percent since the beginning of June, reaching USD 77 per barrel. This rise in prices may threaten earnings during the typically weaker second quarter.
-
IND Vs Eng 1st Test: Yashaswi-Shubhaman scored a century, Team India dominates the first day of Leeds Test
-
India scored 359/3 against England with centuries of Shubman Gill and Jaiswal
-
BCCI slammed for choosing Sai Sudarshan over Domestic star for India vs England Test series
-
Iran vs israel: How powerful Iran is in war capabilities compared to Israel? Know everything from manpower to nuclear weapons
-
Disadvantages of keeping flour in fridge and effect on health
