The airline industry has suffered many economic woes, but the International Air Transport Association (IATA) reports that the worst may be over. According to a recent statement made by the head of the International Air Transport Association, the aviation industry is now on its road to recovery.
The aviation industry experienced a worldwide drop in revenue of about $80 billion – from $535 billion in 2008 to $455 billion in 2009. This type of drop may take several years to return to the previous levels, but the industry as a whole can look forward to more favorable market conditions.
Airlines around the globe have made efforts to speed up the recovery process by increasing fares, imposing or increasing checked baggage fees, and tapping into other streams of revenue in order to generate stronger profits. However, they have continued to struggle over the course of the year, and are now looking forward to improvements in the near future.
One of the emerging trends posing an exciting possibility for the airline industry is the use of sustainable biofuels. According to Giovannia Bisignani, head of the International Air Transport Association (IATA), now is the first time in history that the air transportation industry has the option to use something besides traditional jet fuel to power up planes. Not only is this fuel more eco-friendly, but may also help to keep fuel costs at a minimum.
Experts say it may take between three to four years for airlines to return to their pre-2009 profit and loss levels, but it is entirely feasible for many.
