Airfares Set to Climb as Fuel Costs, Travel Demand Drive Prices Higher

Air travellers are likely to face significantly higher ticket prices this year, with travel agents forecasting fare increases of up to 30 per cent during peak travel periods to major destinations. Rising jet fuel costs, flight disruptions following the US-Israel-Iran conflict and the overlap of the Hajj season with summer holidays are among the main factors driving the surge.

Travel industry executives say airfare increases are already being felt during the Eid Al Adha holiday period, with prices on several routes substantially higher than those recorded last year.

Mir Wasim Raja, manager at International Travel Services (ITS), said ticket prices have risen across most destinations, affecting travellers heading to South Asia, Europe and regional markets.

“Airfares have risen across the board, including to India, Pakistan and Europe. This is not specific to any one country or region but due to wider flight disruptions,” Raja said.

He noted that fares during Eid Al Adha were at least 35 to 40 per cent higher than the same period last year in some markets, partly because jet fuel prices have more than doubled since late February.

Raja urged travellers to plan early to avoid steep increases closer to departure dates.

“We always advise clients to book in advance and not wait until the last moment if they are sure of travelling on certain dates,” he said.

Travel platform Cleartrip also reported stronger pricing pressure, particularly on routes experiencing heavy holiday demand and limited seat availability.

Masna Haseen, head of growth marketing and partner relations at Cleartrip, said popular outbound routes are currently recording year-on-year increases of around 20 to 30 per cent for Eid Al Adha and early summer travel.

Regional and Arab destinations are facing even greater pressure, with some fares climbing as much as 45 per cent.

“Regional destinations are seeing sharper peak fare pressure because of strong holiday demand, Hajj-related travel, tighter seat availability and last-minute bookings,” Haseen said.

She added that direct flights, weekend departures and return journeys scheduled immediately after Eid are experiencing the strongest price jumps.

Imtiaz Hussain Nasir, chief executive of Pinoy Tourism, said fare increases vary depending on the airline, destination and booking period. Many regional and international routes are currently priced about 10 to 20 per cent higher than last year’s Eid season.

“Last-minute bookings continue to experience the strongest price increases due to strong demand,” Nasir said.

Industry experts noted that Gulf carriers, including UAE-based airlines, are still operating below pre-conflict capacity levels despite rapidly expanding routes to meet rising demand.

Travel agents expect elevated pricing to continue through the main summer holiday period and into year-end travel seasons.

Haseen said airfares are likely to stay firm during school breaks, long weekends, National Day holidays and the Christmas and New Year season.

She said routes to Europe, South Asia and key regional destinations such as Saudi Arabia, Egypt and Jordan remain especially sensitive to fuel prices, airspace restrictions, visa processing and airline capacity.

While elevated fares may not become permanent, travel industry executives say passengers who remain flexible and book early will have the best chance of finding more affordable options.

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