Air Fares To Go Up In The Country:- With the oil marketing companies increasing the price of aviation turbine fuel (ATF), the air passengers will soon have to spend more on their air fares. ATF now costs Rs 63,472.22 per kilolitre in New Delhi and it was Rs 62,795 per kl last month. The price came up by Rs 677 as per the notification by the Indian Oil Corporation. This 1% price hike will have an affect on the air travel during the upcoming travel season. Though the prices may remain decent during unseason, the peak season will sure witness huge air fare prices for sure.
With lot of constraints in the aviation sector, the ATF price hike will turn out to be a new threat. "The average domestic fares might normalize and even dip 15-20 per cent if attempts to get some grounded planes operational come through" said Aloke Bajpai, CEO and Co-founder, Ixigo. With flared up fares and the shortage of aircraft groundings, the aviation sector is witnessing several hurdles. Jet Airways grounded several flights due to the non-payment of dues.