Airfares cannot be capped

Responding to concerns over soaring ticket prices during the IndiGo crisis, he said fare spikes are mostly seasonal and driven by demand, and any blanket cap would hurt the ecosystem of airlines and airports. Naidu added that global aviation growth has always come from open, competitive markets, where prices naturally settle through demand and supply.

However, the minister assured that the Centre steps in during extraordinary situations — like Covid, the Kumbh, or sudden disruptions — by invoking powers under the Aircraft Act. He pointed to measures like the ‘Fare Se Fursat’ scheme, where fares are fixed on select routes, and stressed that increasing flight capacity is the real long-term solution to curb fare volatility. According to him, India’s airfare rise is lower compared to many countries, proving deregulation ultimately benefits passengers.