NEW DELHI: Domestic air travel has again touched all time highs this summer but growth has been capped by high fares caused by a serious capacity crunch. DGCA data shows about 1.4 crore people flew within the country this May, almost the same as the peak seen last December. However, growth is capped at about 4% (1.3 crore domestic flyers last May). The grounding of almost 80 IndiGo planes due to Pratt & Whitney issues; SpiceJet shrinking rapidly due to a severe cash crunch and GoAir’s collapse last May meant airlines saw their domestic flights going over 87% full.
IndiGo saw its domestic market share balloon to 61.6% this May. Tata Group accounted for 28% (Air India plus Vistara plus erstwhile AirAsia India). Cash-strapped SpiceJet…