Chennai: A sharp rise and continued volatility in airfares across both domestic and international routes have forced travelers to rethink their summer vacation plans. Many are altering destinations, trimming itineraries, or switching to budget carriers to keep expenses in check while still making the most of the holidays.
Impact of Fare Hikes on Travelers
With the elections having concluded, travel demand has picked up. However, flyers now find that air tickets consume a disproportionate share of their expenses. Domestic fares have risen by 15% to 40%, particularly on high-demand metro routes, while international fares have shot up by 15%.
Reasons Behind the Spike
The spike follows a steep increase in aviation turbine fuel (ATF) prices, which have more than doubled in recent months, prompting airlines to impose fuel surcharges across routes. At the same time, the Union government's decision to remove fare caps on domestic flights in March has added to the volatility, making inter-state travel significantly more expensive than in previous summers.
Travelers Adapting to Higher Costs
Sudarshan N, a holidaymaker, said he was forced to cut corners in his vacation. "I had planned a budget-friendly trip to Vietnam, but with flight charges almost doubling, I limited myself to Kuala Lumpur," he said. Sriharan Balan, Managing Director of Mathura Travels, observed that travelers who once preferred full-service airlines are now gravitating toward budget carriers to contain costs. Destinations such as Kuala Lumpur and Singapore, which earlier saw strong demand for premium airlines, are now witnessing increased bookings on low-cost options such as AirAsia and IndiGo. He added that long-haul destinations like those in Europe have seen a dip in demand, while even emerging favorites such as Azerbaijan and Armenia have experienced a decline in inquiries amid continued instability in West Asia.
Domestic Alternatives Gaining Popularity
Tour operators are increasingly recommending alternatives within India, pitching the Andaman Islands as a substitute for Maldives and destinations such as Tawang and Sikkim as alternatives to Southeast Asian getaways. S Vetriselvan of Vetri Tours noted that travelers are showing a growing preference for quieter, nature-oriented destinations. While places like Langkawi, Penang, and Hanoi remain attractive for their landscapes, the rising cost of connecting flights has made domestic options more appealing and practical.
