The Hindu Business Line : IA hikes fares on most sectors

IN an effort to curtail mounting losses, Indian Airlines has announced a marginal increase in air fares ranging from Rs 115 to Rs120 on most sectors from February 15.

However, for air fares in the north-eastern region and a few other sectors, which IA officials say are less than 10 on the entire route network, the increase in fares is between 10 and15 per cent.

IA has also decided to go in for an across-the-board increase of Rs 100 in the basic fare for travel in business class. Sources said that the increase in business class fares on most sectors would work out to be Rs 115 as the normal taxes will still have to be paid.

The latest fare increase will help the state-owned carrier curtail its losses by between Rs 5 and Rs 6 crore in the remaining period of the current fiscal.

In keeping with the flexi-fare policy which it adopted last year, the airline has not touched the economy class fares on the Delhi-Hyderabad and Delhi-Bangalore sectors. The two sectors have seen almost all the domestic airlines adding additional capacity in the recent past.

However, travel in economy class on the Delhi-Mumbai sector will cost Rs 6,045 from February 15 as against Rs 5,930 at present. Similarly, travel on the Delhi-Chennai route will cost Rs 8,960 from February 15 as against Rs 8,845 now.

In the north-eastern region, the economy class fare on the Guwahati-Imphal sector is to go up by Rs 220, while on the Kolkata-Agartala sector, an economy class seat will be costlier by Rs 155.

However, the airline in a statement has said that even after the increase in airfares, a wide differential will continue to exist between fares in the north-eastern region and other parts of the country.

The statement adds that passengers travelling on or after February 15 will be required to pay as per the revised fares.

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