Air passenger traffic up 11.7% in May

Freight demand also climbed 34.3 percent in May this year, compared to the same month last year.

Giovanni Bisignani, IATA’s Director General and CEO, said: “Demand rebounded strongly in May following the impact of the European volcanic ash fiasco in April.

Passenger traffic is now 1 percent above pre-recession levels, while the freight market is 6 percent bigger.”

A capacity increase of 4.8 percent in May lagged behind the strong upturn in passenger demand, which pushed May’s international passenger load factor to 76 percent.

It is the sixth consecutive month with seasonally adjusted load factors near 79 percent.

The strong surge in cargo traffic outstripped a capacity increase of 12.3 percent, pushing load factors to a record high of 55.7 percent.

The IATA reported that strong traffic growth is contributing to a strengthening industry bottom line.

Airlines are expected to post a $2.5 billion profit in 2010, following a $9.9 billion loss last year.

However, Bisignani warned that the industry is still a “long way from sustainable profitability”.

He added that the eruption from the Icelandic volcano exposed aviation as being vital to the global economy. However, Bisignani voiced his concern that European Governments have since implemented a “short-sighted policy”.

IATA recently announced Vision 2050; an initiative to build a common vision among industry stakeholders for a sustainable future for air transport.

Edited by Jennifer Denby

Visit the IATA website for more information.