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As Routes Shift,Flight Fares Goon Steep Ascent
As Routes Shift,Flight Fares Goon Steep Ascent

Time of India

time21-06-2025

  • Business
  • Time of India

As Routes Shift,Flight Fares Goon Steep Ascent

Air fares from India to several international destinations have risen sharply in the past month, travel companies said, potentially intensifying worries for travellers especially families looking to head out for the summer holidays. Airline operating costs are getting impacted by airspace closures due to the Israel-Iran conflict, forcing longer flight detours, and fuel price volatility, the companies said, adding lower seat capacity on certain routes is also weighing on the ticket prices. Fares could rise further if route diversions and impact on flight frequencies continue, the companies said. Europe is likely to see the sharpest fare hikes, especially for routes to France, Germany and UK, said Jatinder Paul Singh, global CEO of Viacation, a travel solutions provider. 'From India, airfares to Europe have gone up by 20–35% between March and July based on forward bookings data.' Longer Diversions | page 11 Singh also noted short-term fare hikes on flights to some destinations in the Middle East. 'In North Asia, Japan and South Korea have also become significantly more expensive to reach,' he said. A one way, non-stop Air France ticket for Delhi to Paris for July 1 costs about ₹64,000 on a popular travel portal. A one way, non-stop Air India ticket for Mumbai to Japan for the same date costs ₹101, 698 per adult on the same website. Ongoing geopolitical tensions in West Asia have resulted in temporary airspace restrictions, leading to longer flight durations on certain routes by two to four hours, increasing operational costs of airlines, and prompting 15-20% fare hikes on certain routes, said Bharatt Malik, senior VP, flights and hotel business at Yatra Online, an online travel company. Last week, Air India diverted or recalled around 16 flights on transatlantic and European routes as Iran closed its airspace after Israel launched an attack targeting its nuclear and military sites. The Iranian airspace currently remains shut to most international flights. A June 15 advisory by IndiGo, India's largest airline, said due to the airspace curbs, flight routes to and from the Gulf region were experiencing congestion which may cause delays on certain sectors. 'As we continue to operate via alternate paths, extended travel times may be expected,' the airline in a post on X. In an update on Thursday, Air India announced a temporary reduction in services operated by Boeing 787 and 777 aircraft from June 21 till at least July 15. The suspended routes include Delhi-Nairobi, Amritsar-London, Goa-London, while routes with reduced frequency include Delhi-Washington, Delhi-San Francisco, Delhi-Toronto, and Delhi-Tokyo. For some carriers, airfares for Dubai and Abu Dhabi are 10-15% higher from a month ago, while those to Japan and South Korea are 5-10% higher, said Abraham Alapatt, president and group head for marketing, service quality, value added services and innovation at travel company Thomas Cook (India). Industry insiders said the first wave of fare hikes started around late April, when Pakistan closed its airspace to Indian carriers. This affected many flights departing from north Indian cities, with reroutes adding up to three hours on some long-haul journeys. 'Subsequently, in mid-June, airspace closures over Iran, Iraq, and surrounding regions due to escalating conflict in the Middle East compounded the situation,' said Karan Agarwal, director at Cox & Kings. 'The dual impact of these disruptions has led to fare hikes of about 8–12% on Gulf-bound and short-haul international flights, while fares to Europe and North America have risen more sharply, by approximately 30–45% compared to earlier this year. These changes have unfolded gradually over a span of six to eight weeks, and pricing remains dynamic depending on route and carrier capacity,' he added. Increased flight duration, especially on long-haul routes connecting Europe, the Middle East, and the US, not only disrupts schedules but also raises operational costs like fuel, crew time, and landing charges inevitably pushing fares upwards, said Ravi Gosain, president of the Indian Association of Tour Operators (IATO). 'Compounding this is the surge in crude oil prices, which directly impacts aviation turbine fuel (ATF) costs. For international carriers, ATF can constitute up to 30–40% of operating expenses, making fare adjustments almost unavoidable,' he added. While airfares are expected to rise further given the surge in oil prices and longer flying times on account of airspace closures, the demand scenario will also have a role to play, said Ajay Prakash, VP, Federation of Associations in Indian Tourism & Hospitality (FAITH). 'Combine that with the comparatively lower airfares that Air India is currently offering on some routes, we could have a very fluid situation and airfares in the same sector could differ significantly from day to day and flight to flight. But there is definitely pressure on airlines to increase fares to compensate for increased operating costs.'

Airspace Restrictions in West Asia: As Routes Shift, Flight Fares Goon Steep Ascent
Airspace Restrictions in West Asia: As Routes Shift, Flight Fares Goon Steep Ascent

Time of India

time21-06-2025

  • Business
  • Time of India

Airspace Restrictions in West Asia: As Routes Shift, Flight Fares Goon Steep Ascent

Air fares from India to several international destinations have risen sharply in the past month, travel companies said, potentially intensifying worries for travellers especially families looking to head out for the summer holidays. Airline operating costs are getting impacted by airspace closures due to the Israel-Iran conflict, forcing longer flight detours, and fuel price volatility, the companies said, adding lower seat capacity on certain routes is also weighing on the ticket prices. Fares could rise further if route diversions and impact on flight frequencies continue, the companies said. Europe is likely to see the sharpest fare hikes, especially for routes to France, Germany and UK, said Jatinder Paul Singh, global CEO of Viacation, a travel solutions provider. 'From India, airfares to Europe have gone up by 20–35% between March and July based on forward bookings data.' Singh also noted short-term fare hikes on flights to some destinations in the Middle East. 'In North Asia, Japan and South Korea have also become significantly more expensive to reach,' he said. A one way, non-stop Air France ticket for Delhi to Paris for July 1 costs about Rs 64,000 on a popular travel portal. A one way, non-stop Air India ticket for Mumbai to Japan for the same date costs ₹101, 698 per adult on the same website. Ongoing geopolitical tensions in West Asia have resulted in temporary airspace restrictions, leading to longer flight durations on certain routes by two to four hours, increasing operational costs of airlines, and prompting 15-20% fare hikes on certain routes, said Bharatt Malik, senior VP, flights and hotel business at Yatra Online, an online travel company. Last week, Air India diverted or recalled around 16 flights on transatlantic and European routes as Iran closed its airspace after Israel launched an attack targeting its nuclear and military sites. The Iranian airspace currently remains shut to most international flights. A June 15 advisory by IndiGo, India's largest airline, said due to the airspace curbs, flight routes to and from the Gulf region were experiencing congestion which may cause delays on certain sectors. 'As we continue to operate via alternate paths, extended travel times may be expected,' the airline in a post on X. In an update on Thursday, Air India announced a temporary reduction in services operated by Boeing 787 and 777 aircraft from June 21 till at least July 15. The suspended routes include Delhi-Nairobi, Amritsar-London, Goa-London, while routes with reduced frequency include Delhi-Washington, Delhi-San Francisco, Delhi-Toronto, and Delhi-Tokyo. For some carriers, airfares for Dubai and Abu Dhabi are 10-15% higher from a month ago, while those to Japan and South Korea are 5-10% higher, said Abraham Alapatt, president and group head for marketing, service quality, value added services and innovation at travel company Thomas Cook (India).

As routes shift, flight fares go on steep ascent
As routes shift, flight fares go on steep ascent

Time of India

time21-06-2025

  • Business
  • Time of India

As routes shift, flight fares go on steep ascent

New Delhi: Airfares from India to several international destinations have risen sharply in the past month, travel companies said, potentially intensifying worries for travellers especially families looking to head out for the summer holidays. Airline operating costs are getting impacted by airspace closures due to the Israel-Iran conflict, forcing longer flight detours, and fuel price volatility, the companies said, adding lower seat capacity on certain routes is also weighing on ticket prices. Fares could rise further if the route diversions and impact on flight frequencies continue, they said. Europe is likely to see the sharpest fare hikes, especially for routes to France, Germany and the UK, said Jatinder Paul Singh, global CEO of Viacation, a travel solutions provider . "From India, airfares to Europe have gone up by 20-35% between March and July based on forward bookings data." by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like What Is a Family Trust, and How Do You Set One Up? SmartAsset Learn More Undo

Amid Covid & global chaos, Indians' big fear: Missing that flight
Amid Covid & global chaos, Indians' big fear: Missing that flight

Time of India

time07-06-2025

  • Time of India

Amid Covid & global chaos, Indians' big fear: Missing that flight

Kanika Mehra, a schoolteacher from Noida is looking up flights and hotels for her upcoming holiday this month. It's turning out to be a difficult choice. June flight fares for Vietnam, a destination at the top of her list, are about 50% higher than those in July, signalling high demand during the summer school break. Mehra, wanting to escape the domestic summer rush in the hills, turns to Sri Lanka. But the southwest monsoon season is playing on her mind, though the fares are lighter on the pocket. Flight fares for Georgia, another emerging destination, are up as well and the visa will take over 10 days to arrive. She says she'll likely pick Thailand eventually, considering the easier access and more reasonable fares. Despite global uncertainties, and the recent spike in Covid-19 cases in India, travel sentiment remains strong and holiday packages for ongoing summer breaks for both domestic and international destinations are pricier by up to 15 % year-on-year, said travel experts. 'Travellers had been in the waitand-watch mode last month following Operation Sindoor, but bookings are now happening full throttle,' said a travel industry insider. Live Events Fares could rise up to 15%, especially to international destinations such as Georgia, Vietnam and Sri Lanka, which have turned out to be more affordable than some of the top domestic spots over the past year, said Tavleen Bhatia, chief marketing and revenue officer at Cleartrip. In 2024, Vietnam welcomed about 500,000 Indian tourists, a fourfold jump from pre-pandemic levels. India was the top primary market for Sri Lanka in December last year with 52,881 arrivals, accounting for a 21.3% share. Around 124,300 Indian tourists visited Georgia in 2024, marking a 46.8% increase from the previous year. Domestic destinations in demand are Ladakh, Himachal Pradesh, Goa and Kerala while popular international ones include Bhutan, Thailand and Sri Lanka. A three-night Goa getaway package for the second week of June for two adults is priced at Rs 66,290, inclusive of flights, hotel, one activity and four meals on a popular travel portal. In comparison, a four-night-five-day package for two at Ha Long Bay in Vietnam for June 22 is substantially lower at Rs 47,932 on the same platform. That includes hotel accommodation, four activities and nine meals. On average, package prices are up 7-8% compared to last summer, primarily driven by high demand, fuel prices and dynamic airfare fluctuations, Jatinder Paul Singh, CEO and cofounder of Viacation. 'For domestic travel, Ladakh, Himachal Pradesh, Andaman and Ooty are among the top picks,' he said. 'Internationally, destinations like Bali, Thailand, Maldives and Sri Lanka continue to attract significant interest from Indian travellers.' Occupancies are 13% higher than last year for StayVista while average room rates are up 6%, said Amit Damani, cofounder of the villa and bungalow rental company. 'There was a concern around how summer bookings will pan out following the conflict between India and Pakistan, but bookings have bounced back from the second half of May,' he said. 'We are especially seeing higher demand in Southern India, Uttarakhand and Goa.' Bhutan is seeing high interest, said SD Nandakumar, president and country head for holidays and corporate tours at SOTC Travel. There is a notable surge in travel interest for Tokyo and Abu Dhabi this summer with the destinations seeing a 110% and 180% increase in searches, respectively, from the same time last year, said Santosh Kumar, country manager for India, Sri Lanka, Maldives and Indonesia at 'Manali, Darjeeling, Rishikesh and Munnar are among the top 10 most searched destinations this month,' he added.

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