Mixed Airfare Trends After Cap Removal; Passenger Traffic On Rise: Report
NDTV
More than two years after being put in place amid the coronavirus pandemic, the fare caps were removed with effect from August 31.
After the removal of airfare caps, there seems to be a mixed trend with lower ticket prices for routes having relatively lesser passenger loads, according to travel industry experts.
More than two years after being put in place amid the coronavirus pandemic, the fare caps were removed with effect from August 31. The move also came against the backdrop of gradual recovery in domestic air passenger traffic.
The average booking price has not changed much but there seems to be a mixed trend with certain sectors seeing drop in fares while some others witnessing a rise, as per the industry players.
The country's largest airline IndiGo said the removal of airfare caps will give an opportunity to offer dynamic pricing and that there has been a consistent increase in the number of passengers over the last 5-6 months.
