Airlines may start a fare war as government removes control on air fare

Two years after the government started regulating air ticket prices, the government has decided to remove the practice from 31 August. The move which comes in the middle of a lean traffic season is likely to unleash fare war which would lead to lowering of ticket prices, airline executives and industry experts said.

The ministry had imposed lower and upper limits on domestic airfares based on flight durations when services resumed after lockdown in 2020- the first time it was done since deregulation of fare in 1994.