Global Airline Traffic Rose in April, Led by Middle East Demand
By Makiko Kitamura, Bloomberg News | May 31, 2007
Global airlines boosted international passenger traffic 5.4 percent in April from a year earlier, led by higher demand for flights to and from the Middle East.
The industry's average load factor, or the proportion of seats filled, was little changed at 76.3 percent, the International Air Transport Association (IATA), which represents some 250 carriers worldwide, said in an e-mailed statement. Cargo traffic rose 2.8 percent.
Economic growth and rising incomes have boosted travel demand worldwide. Global carriers are on course to regain profitability in 2007, ending six consecutive years of losses, IATA said in April.
"For passenger traffic, demand is better than expected, supported by a relatively strong global economy," IATA Chief Executive Officer Giovanni Bisignani said in the statement. "The cargo business is still growing, but competition with other modes of transport is severe," he added.
International passenger traffic, or the distance flown by paying passengers, surged 18 percent in the Middle East last month. On May 30, Qatar Airways pledged to buy 80 Airbus A350WXBs because of the region's rising travel demand.
In North America international passenger traffic rose 3.1 percent from a year earlier. European traffic rose 3.6 percent, while Asia-Pacific traffic climbed 5.7 percent.
In the first four months of the year, international passenger traffic climbed 6.7 percent, while cargo rose 2.6 percent.
Airlines worldwide may post a profit of US$3.8 billion in 2007, 52 percent more than an earlier forecast, as higher passenger numbers help offset extra fuel costs and a slowdown in the U.S., IATA said in April. The new forecast exceeded a December projection for a US$2.5 billion profit.