New Delhi: Jet Airways today followed its smaller rival SpiceJet and hiked fares by a steep 25 per cent to mitigate the impact of the sharp fall in the rupee value and a near 15 per cent spike in oil prices of late.
"The airline has hiked its fares by 25 per cent with immediate effect," a Jet Airways source told PTI.
Asked whether the hike is on fuel surcharge or base fare, the source said, "it (increase) is in total fares."
The move comes in the wake of a nearly 25 per cent fall in the rupee against the dollar and a recent 6.9 per cent hike in aviation turbine fuel, sources said.
International oil prices have been trading between USD 105 and USD 115 a barrel since the past few months and following the Syrian crisis, has seen more upward spurt.
Yesterday, cash-strapped budget carrier SpiceJet, which has been put on a cash-n-carry mode by airport operators recently, increased prices by a similar amount, citing the same reasons.
Other airlines are also likely to follow suit in the near future.
Jet fuel (ATF) prices were hiked by a steep 6.9 per cent, taking the rate to Rs 75,031 per kilolitre (KL) from September 1. This hike had come on the back of two rounds of ATF price hikes effected in July and August by oil marketing companies.
ATF prices were increased by 5.8 per cent on July 1 and by another 6.3 per cent on August 1.
"The airline has hiked its fares by 25 per cent with immediate effect," a Jet Airways source told PTI.
Asked whether the hike is on fuel surcharge or base fare, the source said, "it (increase) is in total fares."
International oil prices have been trading between USD 105 and USD 115 a barrel since the past few months and following the Syrian crisis, has seen more upward spurt.
Advertisement
Other airlines are also likely to follow suit in the near future.
Advertisement
ATF prices were increased by 5.8 per cent on July 1 and by another 6.3 per cent on August 1.
COMMENTS
Advertisement
High Court Extends Naresh Goyal's Interim Bail In Probe Agency Case By 2 Months Jet Airways Says Resolution Plan At Implementation Stage, Q4 Result Delayed Jet Airways Winning Bidder Withdraws Plea To Put Rs 200 Crore In Escrow Rahul Gandhi's Seat At Red Fort Triggers Fresh Congress Attack On BJP 2 French Rafale Jets Collide Mid-Air, Instructor, Pilot Missing "Pivotal Moment": Key Doctor Body Resumes Strike 2 Days After Calling It Off Woman Shares Series Of Harassment Incidents On Delhi-NCR Streets 1 Arrested In Connection To "Friends" Actor Matthew Perry's Death: Report US State Arizona's Ballot Can Describe Fetuses As "Unborn" Humans: Court Track Latest News Live on NDTV.com and get news updates from India and around the world.