International air travel dropped in July and industry analysts in Canada said demand for tickets in the near term is apt to fall further.

The International Air Transport Association, representing 230 airlines, said ticket sales fell 1 percent in the month after an increase in sales from January through June, USA Today reported Friday.

The trade group also said, "The financial sector meltdown now risks a much sharper economic downturn."

"We think there's a high probability that we will continue to see demand for travel falling," said Andrew Harrison, managing director for planning at Alaska Airlines, which announced Friday it would cut its winter flying capacity 8 percent.

"This economy is going to be around for a while," Harrison told USA Today.