Mumbai : The demonetisation drive has not only badly hit the air cargo market leading to a 12 percentage points slump on a month-on-month basis but has also slowed down the passenger traffic growth in November to 19 per cent from 22 per cent in the rest of the year, says a report.
Air passenger traffic stood at 22.6 million, exhibiting a growth of over 19 per cent in November on a month-on-month basis, cargo traffic witnessed a decline of 12 per cent in the month, while air traffic as a whole declined 2 per cent. Even passenger traffic growth on a m-o-m basis tempered to 19 per cent from over 22 per cent in the previous month, says a report by domestic rating agency Icra.
In contrast to the robust y-o-y growth in passenger and aircraft traffic, the y-o-y growth in air cargo traffic halved to 7 per cent in November as against 14 per cent in October, notes the report. During the first 8 months of the current financial year, passenger traffic has grown 19 per cent, aircraft traffic has grown by 15 per cent and cargo traffic has grown by 9 per cent, according to the report. Air traffic growth moderated due to the slowdown in economic activity following the note ban, says Harsh Jagnani,a vice-president at the domestic rating agency Icra.
