Indian Corporate Travelers Pay Premium to Avoid Middle Eastern War Zone
Businessmen and corporate executives from India are taking extraordinary measures to circumvent conflict zones while traveling to the United States for meetings. With the ongoing Israel-Iran war creating significant disruptions across the Middle East, professionals are opting for longer, more expensive routes rather than risk travel through the volatile region.
Premium Fares for Safety Over Savings
While Gulf carriers like Emirates and Etihad offer substantially lower fares due to oversupply and reduced demand amid regional conflicts, Indian business travelers are deliberately avoiding these options. Instead, they are choosing direct flights on European and American carriers or taking eastern routes via the Pacific Ocean when direct flights from major Indian cities like Delhi, Mumbai, or Bengaluru are unavailable.
A striking example involves a multinational corporation executive who booked a business class ticket to Los Angeles on Singapore Airlines for March 21 at a staggering cost of Rs 9 lakh. This decision came despite the availability of much cheaper alternatives through Gulf hubs. For comparison, economy class return fares via New York and Delhi in early April are approximately Rs 2 lakh, while Gulf carrier options would have been around Rs 1.5 lakh.
Fear of Stranding Drives Expensive Choices
Travel Agent Federation of India chairman (east) Anil Punjabi explained the rationale behind these costly decisions: "Businessmen and corporate executives are unwilling to risk traveling through the zone as missile and drone attacks are leading to airspace and airport closures and severely disrupting travel itineraries. There is a real fear of getting stranded if the war escalates."
The concern is particularly acute for time-sensitive business travel where missed meetings could have significant financial consequences. Punjabi noted that on March 21, no economy class seats were available on Singapore Airlines or other carriers via eastern routes, forcing travelers to either pay premium prices or take substantial risks.
Fare Volatility and Alternative Routes
The conflict has created remarkable fare volatility across multiple routes. A Kolkata businessman needing urgent travel to San Diego was quoted Rs 3.4 lakh for an April 5 flight via Delhi and Frisco, a price that was Rs 10,000 higher than just one day earlier.
Direct one-way fares to Europe have experienced even more dramatic increases, soaring from pre-war levels of Rs 40,000-50,000 to over Rs 2 lakh. This surge has created particular challenges for different traveler segments.
Travel Agents Association of India (TAAI) member Manav Soni observed: "Traveling has become especially challenging for students and those visiting friends and relatives. They are the ones taking the risk and traveling via the Gulf, while corporate travelers can afford to pay premium prices for safer routes."
Limited Operations and Regional Impact
While some Gulf carriers have maintained limited operations from Indian cities, the situation remains fluid. Emirates Airlines currently operates eight to nine of its usual eleven weekly flights to Kolkata, while Etihad Airways runs six flights weekly. FlyDubai and Air Arabia maintain two to three weekly flights.
Qatar Airways resumed limited operations from March 17 to Delhi, Mumbai, and Kochi but has yet to announce flights to Kolkata. The uncertainty surrounding these operations contributes to business travelers' reluctance to book through Gulf hubs.
Broader Travel Market Effects
The conflict's impact extends beyond US-bound travel. Fares to Southeast Asian destinations have increased by 20-25%, though this appears driven more by leisure travel patterns than conflict avoidance.
TAAI chairman (east) Anjani Dhanuka noted: "It is leisure travel to Southeast Asia, the only place where people are heading for holidays, that has led to the fare rise. But demand remains muted overall."
The situation highlights how geopolitical conflicts can create complex ripple effects across global travel markets, forcing business travelers to make difficult choices between financial prudence and personal safety while navigating increasingly volatile international air routes.
