Flight tickets set to get costlier this summer as fuel prices rise, airlines warn of fare hikes

Holidaymakers face significantly higher travel costs this summer as fuel surcharges and escalating operating expenses push up airfares. Domestic flights have seen a 5-10% increase, while short-haul international routes are experiencing a steeper r...

New Delhi: It's not just flights to Europe and the Middle East that cost a lot more. Get ready to shell out more for your domestic as well as short-haul international breaks this summer season as additional costs such a fuel surcharge make holiday packages steeper.

As per fares displayed on a popular travel portal, a one-way Sri Lankan Airlines flight to Colombo from New Delhi for the good Friday weekend on April 3 costs ₹1,06,351, while the one-way fare from New Delhi to Denpasar Bali is hovering around ₹34,000 for an Air India flight on the same date.

You May Have to Break the Bank for a Vacay This Summer as Airfares Soar
Higher fuel charge has pushed up fares for both long and short-haul air travel


Airline executives familiar with the matter said jet fuel prices get revised from April 1 and they are expected to more than double this year.

Also read: Higher airfares due to any further cost escalation will hit demand: IndiGo amid Middle East conflict

India's largest airline IndiGo on Tuesday cautioned that rising operating costs, fuelled by the escalating West Asia conflict, could push airfares higher and weigh on travel demand, while its international flight plans remain contingent on the evolving situation.

"It should be noted that there is a very material escalation in operating costs, with fuel and forex-related costs expected to continue to increase substantially, in addition to what is already an escalating cost environment," an airline spokesperson said
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Ravi Gosain, president of Indian Association of Tour Operators (IATO) said there has been a noticeable increase in both domestic and short-haul international airfares for the upcoming summer season. "On the domestic side, fares have firmed up due to strong holiday demand, higher fuel costs, and some capacity constraints. Similarly, short-haul destinations are also witnessing elevated fares, especially on popular leisure routes," he added.

Driven by higher fuel surcharge costs, domestic airfares have risen in the range of 5-10%, while short-haul international routes are witnessing a sharper increase of approximately 20-30%, said Bharat Malik, senior VP, air and hotel business at Yatra Online. While land arrangements have remained relatively stable, the increase in flight prices is directly impacting the final package pricing, especially for international destinations, said Malik.

Also read: Government says 11 airlines exited in 10 years due to fin stress, other internal issues

Holiday package prices are trending 10-25% higher on certain routes, especially for peak travel windows, said a spokesperson from Pickyourtrail. The company said advance bookings remain steady but more 'cautious.'

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"Travellers are booking closure to departures compared to last year and are opting for flexible itineraries and refundable options besides avoiding regions impacted by geopolitical uncertainties," the spokesperson added.

For some routes, fares have gone up by 5% to 10% within India, whereas internationally, the fares have gone up by 15- 20%, said Rajiv Mehra, general secretary at Federation of Associations in Indian Tourism and Hospitality (FAITH).
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