Increase in rail fare to be a boon for aviation industry

The fare increase announcement by railways minister Dinesh Trivedi will, the aviation sector feels, trigger movement of passengers towards airlines.
“The low-cost carriers (LCCs) are targeting the rail passengers and we are seeing a lot of movement towards air even now. If air fares remain stable at this level, the movement of upper-class train passengers towards LCC will increase because of the increase,” said Sabina Chopra, chief executive officer, Yatra.com, an online portal.
Trivedi on Wednesday announced a margin al rise across the board. For mail and express second class ,the increase will be by three paise per km; for sleeper class by five paise per km; for AC Chair Car, AC 3 tier & First Class by only 10 paise per km; AC 2 Tier by only 15 paise per km; and AC I by only 30 paise per km.
15/03/12 Business Standard

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Categories: Indian Aviation- In General Mar 2012