Fare blow to air travel

New Delhi: A spike in fares, because of the diminishing presence of Kingfisher Airlines, is prompting passengers to curtail air travel.
Data prepared by the Directorate General of Civil Aviation (DGCA) showed domestic traffic falling around 4 per cent to 51.08 lakh in June from 53.12 lakh in May.
According to DGCA officials, even peak periods such as summer vacations could not boost the demand for air tickets.
Officials said the spike in fares happened in the last two months. “The main reason behind higher airfare is the shrinking operations of Kingfisher Airlines. As it cut back operations, the number of seats shrunk and airlines got the opportunity to hike prices. This had an adverse effect as the prices increased so much that people stayed away from domestic travel,” a DGCA official said.
24/07/12 The Telegraph

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Categories: Indian Aviation- In General Jul 2012