Air India on June 1, declared an increase of Rs 300 to Rs 550 in fares with effect from June 3 following a hike in the price of aviation turbine fuel (ATF). The decision was taken after ATF prices reported an increase of 18 per cent as compared with the prices in May 2008. Air India (AI) would be hiking its fares by Rs 300 on all flights up to 750 kilometers and Rs 550 for longer distances. The rates will come in force from June three, It said, that with the present increase, the fuel surcharge on short haul flights will go up to Rs 2,250 and on long haul flights it would be Rs 2,900.
The aviation public sector undertaking had not increased its fares during the last fare hike in May last month when other major airlines had hiked their prices by Rs 150 (short haul) and Rs 300 for long haul flights. The other players are soon going to increase their fares on various sectors as ATF prices in Mumbai have hit Rs 71,759.06 per kilolitre from Rs 60,468.28.
The aviation public sector undertaking had not increased its fares during the last fare hike in May last month when other major airlines had hiked their prices by Rs 150 (short haul) and Rs 300 for long haul flights. The other players are soon going to increase their fares on various sectors as ATF prices in Mumbai have hit Rs 71,759.06 per kilolitre from Rs 60,468.28.
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