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India extends airfare price cap
India’s civil aviation ministry has extended the price cap on airfares until 24 November.
The cap was imposed in May after the country came out of national lockdown and domestic flights slowly resumed.
It was imposed to stop price gouging with both upper and lower limits placed on airfares based on the flight duration.
"As per the prevailing situation of Covid-19, the order shall remain in force until 24 November 2020, or until further orders," the Aviation Ministry said.
In June the government raised the flight capacity limit allowing airlines to operate up to 45% of flights based on pre-pandemic schedules.
Airlines have criticised the price caps as there are struggling to break even on certain routes due to localised lockdowns in some areas and light travel demand.
Average passenger loadings have been 50-60% since domestic flights resumed in May.
Apart from repatriation charter flights, International scheduled services are still grounded.
by Ray Montgomery, Asia Pacific editor
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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