Airfares on several major domestic routes have risen sharply during the festive and year-end travel season, as strong demand meets fewer flight options and higher aviation turbine fuel (ATF) costs.
According to a report by The Economic Times, average one-way fares for tickets booked for travel between September 1 and November 10 are up 68 per cent year-on-year on the Delhi-Hyderabad route. Fares have risen 51 per cent on Mumbai-Kolkata, 39 per cent on Delhi-Goa and 37 per cent on Mumbai-Bengaluru.
The increase comes as airlines adjust their schedules for the October-December quarter, offering fewer flights but larger aircraft on some routes. This has kept overall seat capacity stable but reduced the number of departure options on some busy sectors, the report said.
Festive demand adds to fare pressure
Demand is rising as people travel for festivals, family visits and holidays.
Travel booking company Yatra said domestic fares are currently 30-40 per cent higher than a year ago, while international fares are 30-50 per cent higher. It said demand remains strong on major routes such as Delhi-Mumbai, Delhi-Bengaluru, Mumbai-Delhi and Mumbai-Bengaluru, as well as on routes connecting major cities with destinations such as Patna and Kochi, the news report said.
Yatra expects fares on high-demand routes to increase by another 15-20 per cent as the departure date gets closer, especially where flight capacity remains limited.
Airfares were already rising before the festive season
The increase in festive-season fares comes against a broader rise in economy-class airfares this year.
Data by aviation analytics firm Cirium showed that average economy fares rose on 18 of India’s 20 busiest domestic routes in June 2026. On 11 of these routes, the increase was more than 15 per cent, while five saw fares rise by more than 30 per cent.
On the Mumbai-Bengaluru route, average economy fares rose 38.8 per cent year-on-year in June, after falling in the previous two years.
Thus, economy fares had already been moving higher as airline capacity struggled to keep pace with demand.
Fewer flights, but stable seat capacity
The news report, citing data from aviation analytics firm OAG, said that the number of domestic flights scheduled for the October-December quarter is 5 per cent lower than a year ago. However, total seat capacity is down only 1.2 per cent. This means airlines are operating fewer flights while using larger aircraft to carry more passengers on individual services.
The impact is not uniform across the country. Airlines have increased capacity on some routes while cutting it on others. Capacity on the Mumbai-Jamnagar route has more than tripled to 102,520 seats from 32,452 a year earlier. Capacity between Delhi and Navi Mumbai has also increased sharply to 142,600 seats from just 8,158 a year earlier as Navi Mumbai airport ramps up operations, the news report said.
Higher fuel costs add to airline expenses
Rising aviation turbine fuel (ATF) prices are also adding to airlines’ costs. From October 1, domestic ATF prices rose by ₹16 a litre to ₹137 a litre, up from ₹121 a litre previously. This followed increases of ₹6.28 a litre in September and ₹5 a litre in August, news agency PTI reported.
Fuel accounts for around 30-40 per cent of an airline’s operating expenses. Cirium data showed that jet fuel prices rose 32.7 per cent between February and September, after remaining largely unchanged between September 2025 and February 2026.
Higher fuel prices can therefore pressure airlines to raise fares, particularly when demand is strong. Airlines also have several dollar-linked expenses, including aircraft leases and maintenance, making their costs sensitive to both fuel prices and movements in the rupee.
