Phl seen to post 10.2%/year growth in domestic travel from 2009-2014

MANILA, Philippines - The Philippines is expected to register a compounded annual growth rate (CAGR) of 10.2 percent in terms of passengers travelling locally for the period covering 2009 to 2014, latest figures from the International Air Transport Association (IATA) revealed.

China will record the highest CAGR of 13.9 percent and contribute an additional 181 million passengers. Other countries with double-digit growth include Vietnam (10.9 percent), South Africa (10.6 percent), and India (10.5 percent).

Domestic passenger numbers worldwide are expected to rise from 1.5 billion in 2009 to over two billion in 2014. This 488-million passenger increase reflects a CAGR of 5.7 percent.

By 2014, the five largest markets for domestic passengers will be the United States (671 million), China (379 million), Japan (102 million), Brazil (90 million) and India (69 million).

The industry consensus forecast released by the IATA indicates that by 2014, there will be 3.3 billion air travelers, up by 800 million from the 2.5 billion in 2009.

By 2014, international aviation will handle 38 million tons of air cargo, up from the 26 million tons carried in 2009.

China will be the biggest contributor in terms of new travelers. Of the 800 million new travelers expected in 2014, 360 million or 45 percent will travel on Asia Pacific routes and of those, 214 million will be associated with China (181 million domestic and 33 million international). The United States will remain the largest single country market for domestic passengers (671 million) and international passengers (215 million).

“Despite some regional differences, the forecast indicates that the world will continue to become more mobile. This creates enormous opportunities but also presents some challenges. In five years we need to be able to handle 800 million more passengers and 12.5 million more tons of international cargo. To realize the economic growth potential that this will bring, we will need even more efficient air traffic management, airport facilities and security programs. Industry and governments will be challenged to work together even more closely,” IATA director general and CEO Giovanni Bisignani said.

“The shadow of the global economic recession is expected to remain over parts of the industry for some time to come. Sluggish growth rates in Europe and North America are not only the result of being mature markets. Lingering consumer debts, high unemployment and austerity measures will dampen growth rates,” he added.