2012 a tough year IATA

first_imgSource = e-Travel Blackboard: N.J More political capital is needed to make 2012 a stable year in aviation after the International Air Transport Association (IATA) found the industry to be very contrasting in 2011.A report from the Association read that although passenger demand remained healthy in 2011 with a 5.9 percent increase compared to the prior year, an offset in cargo tipped the growth balance.IATA chief executive Tony Tyler explained further contrasts were seen in the upward growth of China and the tip in Europe.“Ironically, the weak euro supported business travel demand,” Mr Tyler explained. “But Europe’s primarily tax and restrict approach to aviation policy left the continent’s carriers with the weakest profitability among the industry’s major regions,” he said.  The aviation leader said that while improving business was “heartening” in regions such as the US, ultimately it was too soon to predict a “soft landing” this year and failure to achieve durable solutions to the euro zone crisis could see the industry fall into decline. “Cautious improving business confidence is good news,” he noted. “But 2012 is still going to be a tough year,”He added that more political capital was needed to support major aviation project that could benefit the industry as whole. IATA’s report found that with the overall 5.9 percent growth in passenger demand last year, 6.9 percent was lead by international interest and 4.2 percent in domestic compared to 2010. North American carriers reported the highest load factors for the year with 80.7 percent while Asia Pacific’s average load factor sat at 75.9 percent. last_img read more