Current Affairs

Indian Airlines Fare Cut

The leap taken by Indian Airlines (IA) to offer heavy cuts in the air fare on the international routes could be a great welcome to the lean season in the Indian travel industry. The airline has reduced its fares by 50 per cent, which the industry feels is a big step to enhance tourist traffic. Anupama Anand finds out...

Balbir Mayal, president, TAAI

"The cut in fares by Indian Airlines to a number of destinations is indeed a welcome step and will definitely boost domestic tourism. In order to enhance domestic tourism, more fare reduction schemes should be launched by the government of India and Indian Airlines in order to make domestic travel more affordable for the common man. By incorporating this scheme, the percentage of seat availability could vary between 20-25 per cent.

Praveen Chug, co-chairman, TAFI, Airline Council

"Presently, Indian Airlines is operating a number of international flights from interior points like Trichy, Calicut, Amritsar, etc. In order to operate international flights from such interior points, it is required to operate positioning flights to these stations. Currently, twenty-four sectors would be covered by these positioning flights. Introduction of positioning flight fares by Indian Airlines is indeed a welcome step. Air-India has been extending domestic passengers the benefit of reduced fares of upto about 25 per cent in their international flights operating at night via Delhi to Mumbai or Chennai to Mumbai, and vice versa.

Anil Kalsi, managing partner, Ambe World Travels

"The cut by Indian airlines is definitely going to create an impetus in favour of Indian Airlines. But due to this cut, the load factor would increase, which in a way will be good for the consumer but bad for the airline's bottomline. Practically, even the seat availability could vary from to 20-70, again depending on the load factor."