A raging war in West Asia and a World Cup final at home have sent airfares soaring.
A one-way economy-class ticket to London from Calcutta for Sunday was ₹1.9 lakh (see chart). A one-way business-class ticket from Calcutta to Toronto via Vancouver
on March 12 was ₹6 lakh on Saturday.
An economy ticket to Newark for Sunday was ₹3.33 lakh with two stops. By Saturday evening, tickets on another airline for the same route were nearly ₹10 lakh. Travel agents said that even expensive fares between Calcutta and Newark normally range between ₹75,000 and ₹80,000 one way.
Even at these sky-high rates, tickets are scarce because flights are limited.
The US-Israel attack on Iran and Tehran’s response have thrown air traffic in the Gulf region into chaos. Passengers who normally fly to Europe and the US through countries like the UAE, Qatar, Kuwait and Bahrain are now forced to take alternative, longer routes.
An Indian who is now a US citizen had to return to Chicago from Calcutta on Sunday for work. He paid ₹2.2 lakh for an economy ticket on a Japan Airlines flight from Delhi to Tokyo and then onwards to Chicago. He also paid ₹11,000 for a flight to Delhi on Saturday night.
A one-way ticket to Chicago from Calcutta normally costs ₹65,000-70,000.
“Usually, he goes to Chicago via Dubai or Doha. Because of the uncertainty in West Asia, he had to take an alternative route,” his travel agent said.
Scramble for seats
The surge in demand and longer alternative routes due to airspace closures have pushed fares higher, airline sources said.
“We have never seen fares this high. We expect them to rise further if the situation continues. Airlines are bearing losses from grounded aircraft, higher insurance, and increased operational costs,” said Anil Punjabi, chairman of the Travel Agents Federation of India, eastern region.
Calcutta’s lack of direct connectivity to Europe and the US worsens the problem.
“Passengers are ready to pay a premium, yet seats on flights to Europe, the UK, US and Singapore are hard to get. They must take longer routes with multiple stopovers or wait for the Gulf airlines to operate normally,” said Anjani Dhanuka, chairman of the Travel Agents Association of India, eastern region.
An elderly couple had planned to take an Etihad flight from Calcutta to Toronto on March 4 and are still looking for alternatives. “One airline, from Delhi to Vancouver, has business-class seats for ₹12 lakh for two passengers on March 18. They decided to wait until Etihad resumes services,” said a family member.
“We are getting desperate calls from passengers stuck in Calcutta or other cities. West Asia is the biggest gateway for travel from India, and when that is disrupted, fares go haywire,” said Amin Asghar, president, Skall International Kolkata.
Aviation industry experts and airline officials weighed in on the causes behind the steep prices.
Operations stalled
Flights are taking longer routes to avoid restricted airspace. “For February 28 and March 1, flight operations came to a standstill. Recovery is ongoing,” said an official of an Indian carrier.
Insurance hike
Aircraft insurance companies have imposed multiple restrictions and higher premiums for operations in West Asia. “Premiums add ₹30-40 lakh per narrowbody aircraft and ₹90 lakh-1 crore per widebody. Passing this to passengers increases ticket prices by ₹20,000-35,000 per flier,” said an airline official.
Fuel costs
“The Gulf war has pushed jet fuel prices up by about 30%,” said one airline official. Fuel accounts for around 40% of operating costs.
Unused capacity
About 20% of flights are impacted due to West Asia disruptions.
“Slots in the West Asia region are being allocated to airlines on an ad-hoc basis each day, with last-minute changes due to the dynamic situation. Airlines cannot sell inventory on these flights in advance, and filling planes on short notice — usually just a few hours — is resulting in low loads and higher operational costs,” an airline official explained.
World Cup impact
Fares from Calcutta to Ahmedabad spiked on Saturday because of the T20 World Cup final. IndiGo has three flights from Calcutta to Ahmedabad, with one-way fares for Sunday exceeding ₹20,000, compared with the usual ₹10,000.
