Price hike for flights in India on the horizon

India’s domestic airlines are contemplating a fare raise in order to help compensate for the rising price of fuel. The raise is likely to be in the neighborhood of Rs 100-150 and is being considered by a number of carriers across the country.

Officials at Indian and SpiceJet both said their companies would be holding meetings this week to discuss the issue and are expected to announce any changes to ticket prices after the weekend.

Most domestic airlines in India are currently paying around 40 per cent of their operating costs of fuel alone.

There are approximately 28 airlines operating out of India. SpiceJet is one of the newest airlines to enter the industry and is privately owned by Anjay Singh, Sanjay Malhotra and the Kansangra family. Began in May 2005, it offers low-cost flights from it’s base in New Delhi.