JOIN USWith higher ATF prices and a falling rupee squeezing its revenue, Air India on Thursday decided to withdraw its special fares and restore the pre-discount era ticket charge, resulting in an increase of 10-15 per cent in its fares.
Fliers may have to brace for another airfare hike soon as the festive season sets in next month. As the demand picks up, airlines are likely to increase the fares by another ten per cent.
The national carrier has joined private operators Jet Airways and SpiceJet in increasing the fares. Air India and other airlines had announced special fares in the past two months to attract passengers in the lean season.
A senior Air India official told Deccan Herald that the airline has restored the fares to the one that existed in June. Air India Chairman and Managing Director Rohit Nandan on Wednesday said that their rates were already high and it was for others to adjust their fares. The air passenger load is expected to pick up from October after a lean period of three months between June and September.
According to industry watchers, October normally witnesses a five to ten per cent increase in fares compared to September every year.