Air travel beats Indian Railways Rs 1.75 lakh to Rs 1.67 lakh in revenue

Air travel no more “elitist”/“luxury” as size of domestic aviation industry at R1.75 lac cr exceeds rly revenue at R1.67 lac cr.

By: Vinayak Chatterjee | Published: September 28, 2016 

With the size of the domestic aviation industry growing at a fast clip, Railways faces the prospect of losing out. (AP)

Air travel no more “elitist”/“luxury” as size of domestic aviation industry at R1.75 lac cr exceeds rly revenue at R1.67 lac cr.

Domestic Air Travel Overtakes Rail

With the size of the domestic aviation industry growing at a fast clip, Railways faces the prospect of losing out. With the fare of AC-2 seats marginally lower than that of low-cost carriers the number of passengers travelling in AC-2 fell from 25.15 million in FY15 to 24.98 million in FY16. At an aggregate level, just 0.3% of all passengers on the railway network travel by AC-1 and AC-2 but they account for 8.7% of all passenger revenue in FY16.