Jet Airways, the country?s largest private carrier by market share, has increased airfare to make up for mounting losses.
The airline on Friday said its ticket price across the domestic sectors would be dearer by R200 on account of an increase in jetfuel prices.
?With the recent hike in ATF prices, Jet Airways has decided to increase its fuel surcharge by R200 per domestic sector,? the airline said in a statement. The move comes close on the heels of government-owned oil companies hiking air-kerosene price by 2.5%. Jetfuel price at the Delhi airport was hiked by R1,429 per kilolitre to R57,689 per kilolitre.
Other carriers, such as SpiceJet and Kingfisher, are also expected to pass on the additional fuel cost burden to passengers. Fuel contributes nearly 35% to the total operating cost of the airline.
All the three BSE-listed airline companies ? Jet Airways, Kingfisher and SpiceJet ? have reported losses for the quarter ending June in spite of double-digit increase in air traffic numbers.
Jet Airways, for instance, whose performance is considered a barometer of domestic airline industry?s performance, posted R123.16 crore loss for the April-June quarter this year as against a profit of R3.52 crore in the corresponding period the previous year.
