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Air fares in India may rise by 25% in Jan-2010

29-Dec-2009 11:04 AM

Jet Airways reportedly stated that there “could be an average 25% hike in fares" across the country in Jan-2010, due to recent increases in air travel demand and higher load factors heading into the peak New Year period (Economic Times, 29-Dec-2009). Fare increases have already been implemented on select profitable routes, with Air India stating 90% of seats on most domestic routes are already booked, with the remaining seats to be sold at a higher price bracket. SpiceJet reportedly stated ticket prices would rise by 15% year-on-year.

Kingfisher Airlines: “We always believe in being competitively priced such that it reflects our service quality and if there are opportunities to improve yields, we would always evaluate the same,” spokesperson. Source: Economic Times, 29-Dec-2009.