Vistara's Operational Cutback Leads To Up To 25% Fare Jump On Key Routes

The Tata Group owned airline announced over the weekend that it would be cutting approximately 10 per cent of its operational capacity, mainly in its domestic network

With airfares already elevated due to a mismatch in supply and demand, Vistara's action has intensified pressure, especially on the routes affected by the cancellations

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Airfare prices are witnessing a further surge as Vistara announced plans to scale down operations by reducing 25-30 flights per day, equivalent to about 10 per cent of its total capacity, to address the recent crisis situation experienced by the airlines. This is particularly true on routes like Delhi-Goa, Delhi-Kochi, Delhi-Jammu, and Delhi-Srinagar, where fares have surged by approximately 20-25 per cent, according to a report by The Indian Express.

Vistara experienced notable disruptions last week due to numerous flight cancellations and delays. The issues arose due to several pilots calling in sick, purportedly expressing dissatisfaction with a new pay structure, apprehensions regarding the impending merger with Air India, and concerns about a rostering system that was reportedly placing excessive demands on them. This also resulted in aviation watchdogs asking for a daily report from the airlines regarding their flight operations.

As a part of airlines’ efforts to address challenges, the Tata Group owned airline announced over the weekend that it would be cutting approximately 10 per cent of its operational capacity, mainly in its domestic network. This decision aims to create a necessary cushion in its crew rosters and enhance resilience. With airfares already elevated due to a mismatch in supply and demand, Vistara's action has intensified pressure, especially on the routes affected by the cancellations. During the height of flight disruptions at Vistara last week, airfares for same-day and day-ahead bookings reportedly surged by more than 30 per cent on certain major routes affected by flight cancellations. This increase was observed as many affected passengers sought alternative flight options.

Bharatt Malik, Senior Vice President of Air and Hotel Business at Yatra Online noted a “significant surge” in airfares on several key domestic routes where the airline holds a strong market presence. “We have observed a significant surge in fares, with prices skyrocketing by approximately 20-25 per cent across key routes such as Delhi-Goa, Delhi-Kochi, Delhi-Jammu, and Delhi-Srinagar,” Malik said, as per the report.