Day after: Jet brings back old fares

Mumbai: Bowing to pressure from the civil aviation ministry, Jet Airways, JetLite and GoAir on Wednesday rolled back fare hikes and restored the apex fares and promotional offers, within hours of scrapping them. Jet’s fares are now 40% less than its peers’.The Naresh Goyal-promoted Jet, which is also the country’s largest private carrier, has reintroduced the Rs 300 base fare and the Re 1 promotional fare, with immediate effect. These fares are not inclusive of taxes, though. The actual fares are higher, as it would include fuel surcharge, congestion fee and airport taxes.
Earlier in the day, civil aviation minister Praful Patel warned airlines not to cartelise, after all major carriers on Tuesday hiked fares and withdrew promotional offers. “We will keep watch and take strict action in any such case,” Mr Patel said.

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Aero India 2009: Airshow News
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He added that the national carrier, Air India, would never be part of any cartel, and would ensure that passengers get better deals. The Jet Airways Mumbai-Delhi fare for Sunday (February 15), typically the highest in the week, is Rs 3,050, including taxes. This is 40% cheaper compared to other airlines. Fares of other airlines, such as Kingfisher, SpiceJet and IndiGo, on the same route, are in the Rs 5,000-5,500 range.
Wadia Group’s GoAir, too, restored apex fares on Wednesday. CEO Edgardo Badiali said: “The airline industry has been experiencing combative fares, and GoAir is no exception. We have decided to revert to the ‘buy early and pay less’ option. It will be accepted well, and customers will use the offer to their advantage.”
A Jet Airways spokesperson, however, denied there was pressure from any quarter. The company had earlier cited “market conditions and competitive actions” for withdrawing its promotional offers.
12/02/09 Mithun Roy/Economic Times

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Categories: Jet Airways Feb 2009