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Iata reports global air demand drop in April

Global air passenger demand fell back in April with a warning that lower fares are unlikely to help airlines throughout the year as fuel prices rise.

Iata traffic data showed that demand rose by 6.2% compared to April 2017, but down from a 12-month high of 9.7% in March.

April capacity increased by 5.9% and the load factor climbed 0.2 percentage point to 82.3%, which was a record for the month, surpassing last year’s record of 82.1%.

Comparisons with last April were impacted by developments a year ago – including the comparatively late timing of Easter in 2017, which boosted traffic.

Iata director general and chief executive Alexandre de Juniac said: “Demand for air transport continues to be above the long-term trend.

“However, increases in airline cost inputs, most notably fuel prices, means that we are unlikely to see increased stimulation from lower fares in 2018, compared to previous years.”

European airlines’ April traffic increased 3.4% compared year-on-year.

While this was down compared to the 9.8% growth recorded in March, demand picked up in April in seasonally-adjusted terms. Capacity rose by 4%.

Although the region’s load factor dipped 0.5 percentage points to 84.6%, it was the highest globally.

The figures were published ahead of Iata’s annual meeting to be held in Sydney on June 3-5.

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