Thursday June 18, 2009

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By Sam Devraj  ( Assistant Editor )

Falling in line: AI raises fares, like other airlines in India

STATE-RUN Air India said it will raise fuel surcharge on tickets from June 19, following similar moves by other carriers. “We are increasing the fuel surcharge by Rs 400 ($8/£5) effective tomorrow," its spokesman told reporters today, adding the higher fares were for both long and short haul routes on the domestic sector. Earlier in the day, low-cost carrier SpiceJet Limited raised its fuel surcharge on tickets by Rs 400 following a rise in jet fuel prices, a senior official said. “We have raised the fuel surcharge across all sectors by Rs 400, effective immediately,” Samyukta Sridharan, chief commercial officer, said. The move comes after Jet Airways and Kingfisher Airlines yesterday raised fares in domestic sectors by a similar amount as jet fuel prices were increased by more than 12 per cent by state-run oil firms a day earlier. Jet fuel prices account for nearly half of an airline's operating costs. The prices have risen 33 per cent since March this year. 

 

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