Here are reasons why domestic air traffic grew over 20%

The domestic air traffic grew for fifth consecutive month in February and as per the data by Directorate General of Civil Aviation (DGCA), the traffic went up over 20% on a year-on-year basis.

DGCA stated that in February, Indian airlines flew 7.4 million passengers as against 6 million passengers in the corresponding month of the last year, indicating a jump of 24.7%.

A multiple factors backed this trend such as low fuel cost, most discounts by airlines and also increase in rail fares.

It should be noted that the difference between the fares of rail (AC 2-tier) and air is in the range of Rs 700-800 on these key routes.

Meanwhile, SpiceJet is showing impressive growth, better than IndiGo, as it has high load factor of 92.3% compared with IndiGo's 86%.

SpiceJet's stock is also cheaper in valuation.