Singapore Airlines has made a hefty 52 per cent cut in fares for flights linking India, while Kingfisher Air has made a U-turn and promised cuts, though it would not say how much. Kingfisher could be waiting for rivals to reveal their cards.
In another positive for domestic passengers, Air India may cut base fares on domestic routes from mid-January, said PTI on Sunday, quoting official sources.
“Kingfisher Airline will begin the New Year on an aggressive note by slashing airfares on its network. The current low prices of ATF (aviation turbine fuel) allow Kingfisher to pursue an opportunity to significantly increase market share at reduced fares,” said Kingfisher Chairman Mallya said in a statement.
Singapore Airlines has slashed the economy fare by 52 per cent to Singapore and other destinations from India to counter boycotting travel agents and too woo passengers from rival Indian carriers. The offer starts Monday. As per the new New Year promotion fare, one can get a return ticket to Singapore for Rs 16,830 inclusive of all taxes. Similar cuts are on offer for South East Asia.
Travel agents, soon after tasting success with local airlines, are demanding that Singapore airlines pay 3 per cent commission on ticket sales to them, which the airline is opposing.