Air New Zealand Tasman Pacific general manager Glen Sowry said flights between Dunedin and Sydney had planes about 66% full while the numbers on flights between Brisbane and Dunedin were a little higher.
Loads had been up to 80% in the summer months.
There are three flights a week between Sydney and Dunedin and four between Brisbane and Dunedin.
Mr Sowry said flights to Sydney from any New Zealand destination, apart from Auckland, were also slower during the May-June period.
Sydney was a more popular venue during the summer and school holidays, while Brisbane was the reverse.
He said flying out of Dunedin was very cost competitive - 7% cheaper than flying from Christchurch across the Tasman.
The cheapest fares on Freedom Air, which were phased out at the end of March and replaced by Air New Zealand, were about $20 cheaper than Air New Zealand's cheapest fares.
But if people wanted to fly on a cheaper airline they had to head to Christchurch and to do that would cost money.
Mr Sowry said the market moved very fast, so Air New Zealand would not always be the cheapest option in the market every day.
But there was a lot of sales activity for the company between $199 and $219, and he believed the fare price was competitive.
Brisbane patronage was looking strong and Melbourne flights would be back in the summer, though they might not operate between March and October, only in a closer season based around the Christmas-New Year period.
That was yet to be decided, although flights would be on Tuesdays and Thursdays.
Mr Sowry said the services connecting Dunedin with Australia would continue and they would continue to build demand, working with Tourism Dunedin.
The company had cancelled a third Sydney flight for seven weeks from September to November, due to lower projected passenger numbers.
This had resulted in increased passenger numbers on the other two flights.
Vincent George House of Travel co-owner Vincent George said cheap flights from Dunedin across the Tasman could still be found.
Patronage on Sydney flights was reasonably mild at this time of year.
But he said fuel costs were a major component of flight tickets and Freedom Air did not have fuel loadings.
They would most certainly have a fuel loading if they were still operating.
Once winter really hit in Dunedin, passengers crossing the Tasman would increase, he said.
Dunedin International Airport Ltd chief executive John McCall said the whole market was softening but comparing prices with those 12 months ago was irrelevant as the cost of fuel had risen so much.
He had booked a flight to Sydney last week and flying from Dunedin was the cheapest option.
