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A-I, IA may hike fares by 10%
June 15, 2004 19:30 IST
Indian Airlines and Air-India are expected to hike airfares by ten per cent following a green signal from Civil Aviation Minister Praful Patel.
"They have informed me about the need to hike air fares...I have said yes", Patel told reporters in New Delhi.
Asked what would be the extent of the hike, Patel said it would be in the same proportion as that of private airlines.
Patel said the hike was necessary following the rising costs of Aviation Turbine Fuel.
The minister said he did not want the sector to suffer by not allowing airlines to review the fares while input costs were rising.
Private airliner Jet on Monday hiked airfares by ten per cent effective June 21 while Air Sahara on Tuesday said it was hiking fares by a similar amount starting next week.
Deccan Aviation also said it was increasing the price between five to seven per cent.