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Air India plans to further bring down fares in some domestic routes across India by 20–30% over the next few weeks. As a part of Air India’s reposi­tioning initiative, the Civil Aviation minister has expressed his concern to make the carrier’s fares market friendly and competitive.

Air India has been planning multiple initiatives off late to bring down the operating costs and increase profitability and become a customer friendly carrier as it was in the golden period of monopoly a few decades ago. Adding 100 new flights to its existing fleet of 145 and new IT partner along with merger with international counterpart are a few initiatives marking the change to achieve its set target.

Low cost airlines which are already under tremendous pressure to maintain their fares owing to the hike in jet fuel/crude prices recently would find this hard to tackle. According to the sources, in some routes, especially in the Mumbai-Delhi sector, where Air India has already reduced its prices has an evident rise in the bookings in last few weeks. This would be the strategy for the airline to bring back its lost passengers. With the government in a mood to grant a huge debt cover for the Airlines, Customers are bound to benefit sooner or later.


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