Airlines look to raise fares, but fear loss of customers

 SpiceJet Chairman Ajay Singh told that there should be an increase in the airfares due to the rise in jet fuel prices. 

The fuel price hike was about 16 percent of Rs 141232.87 per kilo litre in Delhi. The weakening of rupee rate also had an impact on airlines because key cost items, overhaul costs etc are priced in dollars. 

But there is a situation if this may cause a decrease in the customers since the airline fares were already high. 

Market leader Indigo reported 29 percent year on year growth in revenue in FY22 but this result was severely affected by the jet fuel prices and posed a lost of Rs 1681 crore.