Airfares reduction to take more time: Patel

New Delhi: Amidst softening global jet fuel prices and some major international carriers cutting fuel surcharges, Civil Aviation Minister Praful Patel today expressed hope for reduction in airfares in India but denied any immediate possibility.
"We hope that it (reduction in jet fuel prices) will have an effect on airfares. But to say that this will happen immediately will not be correct," he said on the sidelines of an exhibition on airports here.
Patel said Indian airlines had suffered major losses in the past two years over the unprecedented rise in prices of aviation turbine fuel.
Even if the prices stabilised at the prevailing levels, it would take Indian airlines some more time to come out of the red and pass on the benefits, like lower fuel surcharges, to the air travellers, he said.
Meanwhile, leading global carrier Lufthansa announced an up to $100 reduction in fuel surcharges for a return ticket from India to the US or Canada on its flights.
No airline in India has so far taken any decision to reduce fuel surcharge or fares due to the recent lowering of prices of ATF.
11/09/08 Press Trust Of India/Business Standard

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Categories: Indian Aviation- In General Sep 2008