Average airfares stay 10-15% high, SpiceJet and IndiGo have mounted additional capacity
Airfares on domestic routes, especially those connecting non-metro cities, remain high with suspension of Jet Airways flights. The average ticket prices have gone up in the range of 10-1
New Delhi, April 22: Airfares on domestic routes, especially those connecting non-metro cities, remain high with suspension of Jet Airways flights. The average ticket prices have gone up in the range of 10-15 per cent across various sectors even as airlines like SpiceJet and IndiGo have mounted additional capacity.
"The average fare level is higher... in the range of 10-15 per cent," an Air India executive said. Ankur Bhatia, executive director at diversified travel and hospitality major Bird Group, said that the airfares had risen more in case of short-haul routes such as Delhi-Dehradun on long weekends. But with induction of capacity, the fare is returning to normal level, he said.
"In coming weeks, once additional capacity is brought by SpiceJet and Air India, the fare levels would come down further," Bhatia added. Faced with severe liquidity crisis, Jet Airways this week suspended its entire operations causing massive reduction of capacity.
"Since no emergency funding from the lenders or any other source is forthcoming, the airline will not be able to pay for fuel orother critical services to keep the operations going. Consequently, with immediate effect, Jet Airways is compelled to cancel all its international and domestic flights," the airline had said in an official statement on April 17.