According to the latest data released, the domestic air passenger traffic fell by a disappointing 9.9 per cent in the month of July compared to the same month in the previous year.

The total passenger traffic fell to 43.7 lakh during the month of July 2012 compared to 45.4 lakh in the same month of 2011. The air passenger traffic has fallen for the third consecutive month. The data also showed that the total number of air passengers in the first eight months of the year rose by a marginal 0.5 per cent, indicating that the industry can look for stabilizing period ahead.

The data released by the union aviation ministry showed that the number of total domestic air passengers rose to 398.2 lakh compared to 396.3 lakh in the same month of the previous year. The rise in a positive sign for the industry which has been facing difficulties due to high taxes on the airports and increasing cost of fuel as well as low demand from the customers. The aviation industry might get a boost as the government has allowed foreign aviation players to invest in the domestic airlines.

IndiGo maintained its lead in the domestic airline market with a market share of 27.6% in August, ahead of Jet Airways with 25.2 per cent, SpiceJet with 18.5 per cent, Air India with 18.2 per cent, GoAir with 7.4 per cent and Kingfisher Airlines with 3.2 per cent.