Indian domestic air cargo traffic has halted its sharp decline, with March figures showing a decline of only 2.4 per cent compared to nearly an 11 per cent drop in February, according to the Airports Authority of India (AAI).

Overall, total freight traffic – international and domestic – handled at all Indian airports decreased by 4.5 per cent in March 2009 compared to the same month a year earlier. International freight traffic registered a decrease of 5.5 per cent during March.

Giving some substance to hopes that a recovery is underway, India’s domestic air cargo recovery is is being propped up by renewed growth in the the automotive parts and pharmaceutical industries, according to Gati International’s Sameer Khatri, who added that he expects the market to stabise within the next quarter.