India’s aviation industry is staring at an uncertain future despite the government allowing gradual resumption of domestic flights from next week as the coronavirus outbreak is likely to keep passenger sentiment subdued after an initial pent-up demand, said industry experts.
The capping of airfares by the government may further hurt carriers who are estimated to be incurring daily losses of ₹70-90 crore, and are still to receive any financial relief.
With travel sentiments staying muted and fares capped, airlines are looking at huge losses in the coming quarters, said Nripendra Singh, industry principal, aerospace, defence and security practice at Frost & Sullivan.
