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BUSINESS EYE MARCH 11, 2022 | The Indian Eye 38

war shadow over flights:

can india become a transit point

between west and east?

Now, because of no flights over Russia, a London-Beijing flight will now have

to fly towards Delhi, then northeast India before going northwards towards China

OUR BUREAU due to the increased passenger load
factors on flights,” said Jay Bhatia,
London/Mumbai
vice-president, Travel Agents Associ-
n a major move this week, US ation of India.
President Joe Biden announced Meanwhile, credit rating agency
ithe suspension of flights from ICRA said it expects a strong year-
Russia in the US airspace during his on-year growth of about 50-55% in
State of the Union address. “We will domestic passenger traffic in FY2022,
join our allies in closing off American though the volumes will be signifi-
airspace to all Russian flights, further cantly lower than pre-Covid levels.
isolating Russia and adding addition- The recovery to pre-Covid levels is
al squeeze on their economy,” Biden expected only by FY2024, it said.
said. “He has no idea what’s coming,” The recovery is expected to be
the US President told Congress. supported by pent-up demand in the
The move comes after several leisure travel segment and gradual
European countries including the recovery in business travel as cor-
UK, France, Italy, Spain and Cana- porate offices move towards the re-
da closed their airspaces for Russian School students offer special prayers for peace between Russia and Ukraine, sumption phase, post the third wave,
flights following Russian President it added.
Vladimir Putin’s declaration of the in Chennai on Friday (ANI) “Sharp rise in crude oil prices
Ukrainian breakaway regions of Do- and its resultant impact on aviation
netsk and Luhansk as independent between the west and the east as fares crashed with a drop in demand. turbine fuel continues to play spoil-
republics and launching of “special western airlines are not overflying Currently, airfares are capped sport for the industry, with recovery
military operations” in Ukraine. Russian airspace. For instance, a up to 15 days, so airlines offered dirt process already hindered by recent
Biden also announced that the London-Beijing flight will now have cheap tickets for travel two weeks Omicron wave albeit briefly,” it said.
US along with its partners is working to fly towards Delhi, then northeast out. That is, if you look up domestic In a related development, Aer-
on imposing tougher sanctions on India before going northwards to- fares today, you will find compara- oflot will operate a Delhi-Moscow
Russia, targetting its banks, financial wards China. tively cheaper fares on dates 15 days flight on Sunday (March 6) before
institutions and key individuals. “Oil prices are on fire with crude out, from March 20 onwards. this route gets suspended along with
Earlier on Monday, Russia touching $120, so operating lon- Till recently a Mumbai-Delhi re- the Russian carrier’s all or most oth-
banned flights for airlines from ger direct routes to avoid Russian turn ticket booked 15 days or more er international flights. Under the In-
36 countries in a retaliatory move airspace will be very expensive for in advance cost Rs 5,500, but now it dia-Russia air bubble, both Aeroflot
against the European Union (EU) airlines. If crude remains high, it costs Rs 10,500. Similarly, the cheap- and Air India operate twice-weekly
airspace ban. may make sense to have a fuelling est 15-day advance purchase return flights between Moscow and Delhi.
US carrier United has suspend- stopover somewhere like the Gulf fare on the Mumbai-Kochi flights “The Aeroflot aircraft that flew
ed its Delhi-San Francisco and Mum- or India. These options are being was priced around Rs 4,300; it costs Moscow-Delhi will be flying back to
bai-Newark direct flights after the weighed,” said a senior official of a over Rs 15,000 now. Fares on travel Moscow on Sunday as a scheduled
decision to stop overflying Russian leading international airline. within 15 days are much higher. flight. Subsequent flights may get
airspace. United’s Delhi-Newark Now, airfares to international “Some of the international carri- suspended like all or most other in-
and Delhi-Chicago flights are on as destinations have soared along with ers were fast enough to increase their ternational routes of the airline,” say
they avoid the airspace. While AI the rise in oil prices following the airfares due to the fuel price increase sources.
may look at adding more US non- Russia-Ukraine crisis, but on the do- during this week and the same is ex- An Air India flight (AI 195) op-
stops, Vistara is also considering the mestic routes, the recent hike in air- pected to rise further, in an event the erated from Delhi to Moscow SVO
same. fares can be attributed to an increase fuel prices go up more. The domes- airport on Saturday. “We have Del-
Senior officials across both In- in bookings, said travel industry of- tic fares have yet to see the impact hi-Moscow flights on Wednesdays
dian and international airlines say ficials on Friday. In January, during of the fuel price rise. The current and Saturdays. We are operating this
India could become the transit point the third Covid wave, domestic air- jump in airfares within India is seen route,” said an AI official.

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