FARNBOROUGH, England, July 22 (Reuters) - Demand for air

travel has normalised after a years-long boom following the

COVID-19 pandemic as holidaymakers and travellers baulk at

higher fares, executives at major airlines said at the

Farnborough Airshow on Monday.

Guliz Ozturk, CEO of Turkey's low-cost Pegasus Airlines

, said the airline expected yields - a measure of

average fare paid per mile by each passenger - to be flat as

customers go "back to basics".

Travellers are looking for the most cost effective way to

travel, she said.

"We have started seeing the normalisation of demand. What

does it mean? I mean, the demand is there, but now the

travellers are looking for, as before the pandemic, for the most

affordable, the lowest, the best price for their travel," she

said.

Air India CEO Campbell Wilson said he expected the

international market to moderate for the next six months, while

the CEO of BA-owner IAG, Luis Gallego, said business

travel was still recovering from the COVID crisis when travel

almost ground to a halt with borders shut and planes grounded.

The comments come after Ryanair reported earlier on

Monday a bigger than expected drop in quarterly profit as fares

plunged 15%, with management saying that ticket prices were

continuing to deteriorate.

Gallego said demand was still strong for flights within

Europe, but yields were under pressure, which was reflected in

the Ryanair results.