‘Airfare expense increased most for corporates in 2012’
The expenditure on air travel for business fliers has increased the most in India between 2011 and 2012, according to a global survey across nine countries.mumbai Updated: Aug 16, 2013 10:06 IST
The expenditure on air travel for business fliers has increased the most in India between 2011 and 2012, according to a global survey across nine countries.
The report, by travel service provider Concur Technologies, compared the travel expenses of 18,000 corporates houses in 2011 and 2012.
The report found that Indians paid more than 18% on air travel, even as airfares dropped marginally elsewhere.
The survey covered major economies such as United States, United Kingdom, Canada, France, Germany, Hong Kong, Japan and Australia.
“The Indian Rupee declined 12.4% against the US Dollar from 2011 to 2012. Accounting for this change in exchange rates, we can see that India saw an 18% increase in the average price of airfare,” read the report.
According to the report, Indians spent an average of Rs14,519.19 in 2012 on air travel, up from Rs12,299.40 the previous year.
Barring Hong Kong (with a rise of 6.33%) airfares in other countries in the Asia Pacific region such as Australia (-2.36%) and Japan (-10.14%) witnessed a significant drop.
Mumbai emerged the second most-visited business destination in India after Bangalore which was 12th in a global of list of 25 cities in the survey.
However, the report showed that the average expenditure by business travellers to Mumbai dropped in 2012 to $255.18 (Rs 15,692.79) from $238.37 (Rs 14,656.89)
The report showed that the cost of rail travel in India went up by 58% during the same period, with business travellers witnessing marginal rate cuts only for lodging (-0.27%) and fuel (-4.16%).
Globally, travel expenditure for business houses dropped by 4.5% with a steady drop in dining (11.1%), car rentals (9.15) airfares (8.2%) and hotel accommodation (3.8%).