In-flight Catering Services Market Size

In-flight Catering Services Market Size

In-Flight Catering Services Market size exceeded USD 8.89 billion in 2020 and is anticipated to grow at a CAGR of over 6.1% from 2021 to 2027. The proliferating global demand for commercial aircraft coupled with increasing air traffic, particularly in the APAC region is likely to bolster the market growth during the forecast period.

The key reasons behind the growth of air travel include favorable trends associated with Gross Domestic Product (GDP) and low air travel costs. Increasing disposable incomes coupled with changing lifestyles will trigger the air travel demand for business & leisure purposes. Over the past few years, air travel costs are declining due to a high degree of competition among airlines and increasing operating efficiency of airlines.
 

However, stringent norms on airline catering might hamper the growth of the market in the coming years. COVID-19 pandemic has caused substantial disruption in the supply-chain across the global aviation industry. Governments of majority of the countries opted for nationwide lockdown, restrictions on mobility of citizens, temporary suspension of international travels and trades to reduce the further outbreak of the pandemic, thus negatively influencing the global aviation as well as tourism industry. As the transportation bans and lockdown restrictions are getting lifted, the market will gain its momentum steadily before regaining the peak growth rate in the coming years.