India's Outbound Travel Soars Breaking Pre-Pandemic Records; Check Out The Favourite Destinations

Indians are fueling a travel boom, jet-setting across the globe like never before. Bucking the global trend, India's Directorate General of Civil Aviation (DGCA) reports a surge in international travel, with 3.14 crore passengers flying in and out between April and September 2023. This figure outpaces the corresponding pre-pandemic period in 2019, signalling a robust recovery in the aviation industry.

One of the key drivers behind this surge is the affordable airfares and hotel rates comparable to domestic travel. Airlines like Air India and IndiGo are witnessing an uptick in demand, with Air India reporting a 30% increase in outbound travel demand for destinations including the US, Canada, Europe, and Australia.

Online travel platforms are also experiencing a surge in outbound travel bookings, with a 156% increase compared to 2019, according to Cleartrip's Vice President, Gaurav Patwari. This surge indicates a resilient recovery in outbound travel, propelled by a growing economy and heightened willingness among travellers to explore international destinations.

The rise in international bookings has paved the way for Indians to explore overseas destinations, with Bangkok claiming the top spot followed by Dubai, Bali, Singapore, and Pattaya, according to travel platform Agoda. Short-haul destinations such as Thailand, Singapore, Malaysia, Indonesia, Maldives, Mauritius, Dubai-Abu Dhabi, and Oman have emerged as favourites among Indian travellers.

Several nations, including Thailand, Sri Lanka, and Malaysia, have recently announced visa-free travel for Indians. This has caused a significant surge in search activities, with a 26% increase in the 10 days following the announcement, as per Krishna Rathi, Agoda Country Director for India, Sri Lanka, and the Maldives.

Notably, search trends indicate a preference for visa-free nations, with a 49% increase in bookings for destinations like Indonesia, Malaysia, Maldives, Sri Lanka, and Thailand during the current winter holiday season, according to Cleartrip's Gaurav Patwari.

The summer season witnessed Singapore as the top international flight destination for leisure travel, followed by San Francisco, Melbourne, Toronto, and Bali. Interestingly, searches for travel in December to Malaysia and Thailand have witnessed over a 100% month-on-month increase, especially after recent visa policy changes allowing a 30-day visa-free stay for Indians, according to Aloke Bajpai, Co-founder and Group CEO of Ixigo.

The surge in outbound travel has also been influenced by fluctuations in airfares. Many international destinations experienced a drop in airfares in 2023 compared to 2022. The most significant drop of 52%, was observed for flights to India from Finland. In contrast, flights from Russia saw a 57% increase in average airfare, followed by Pakistan at 51%, the US at 19%, and Indonesia at 22%, according to Ixigo data.

The DGCA data reveals a shift in market dynamics, with domestic carriers registering a nearly 9-percentage-point jump in market share compared to 2019 levels. This indicates a growing reliance on domestic airlines for international travel.

According to Ajay Prakash, a Board Member of the Federation of Associations in Indian Tourism & Hospitality (FAITH), the outbound travel market is estimated to be a staggering $15 billion, growing at a compounded rate of about 11% annually. Yatra's Bharatt Malik predicts a further upswing, expecting the outbound travel market to witness an increment of up to 50%in the next 1-2 years.

*Inputs from Moneycontrol*