Reduced Airfares Reach Unexpected Minima on Routes Linking UAE and India, as Perowed by Travel Agents
In a surprising turn of events, airfares from the UAE to popular Indian destinations have seen a significant drop, offering a more affordable travel option for many this summer. As of July 8, 2023, fares to Thiruvananthapuram have dropped to Dh1,565, to Mumbai have dropped to Dh1,161, to Chennai have dropped to Dh1,809, and to New Delhi have dropped to Dh1,163.
The moderation in airfare prices can be attributed to an increase in the number of flights operating between the UAE and India, providing more options for travellers and fostering competition among airlines. This trend has shifted towards shorter trips, typically a week, ten days, or fifteen days, for travel to India, as many prefer not to stay away from home for extended periods.
The unusual drop in airfares from the UAE to India during July-August 2023 compared to previous years can be attributed to several factors. Seasonal travel patterns, competitive market responses by airlines, and the strong economic and travel ties between the UAE and India that encourage high flight frequency and promotional pricing are key contributors.
Historical data shows that airfares to India from various regions, including the UAE, tend to be cheaper in certain months, reflecting seasonal travel trends and airline pricing strategies. The UAE’s travel and tourism sector continues growing strongly, with increasing visitor spending and expanding bilateral business ties, especially with India, potentially leading to more flight options and competitive fares.
Airlines sometimes reduce fares aggressively in shoulder seasons or in reaction to market conditions such as overcapacity or to stimulate demand. The data highlights unusually low prices in July 2023, which may have stemmed from such strategic pricing moves.
While airfares to smaller Indian cities, including Mangalore, Lucknow, Varanasi, and Kozhikode, have reached highs of Dh2,500 to Dh3,000, the drop in airfares to major cities such as Mumbai, Bengaluru, and Thiruvananthapuram has been substantial compared to the average fares in July-August 2024.
The drop in airfares is attributed to a decrease in travel confidence due to monsoons in Kerala, causing people to plan their return end of July instead of the usual August. Afi Ahmed, Chairman of Smart Travels, stated that while the absolute lowest off-season fares are not currently available, the prices are certainly more attractive than what travelers have had to contend with in the last couple of years.
Travellers are still advised to book their flights as early as possible to secure the best available fares. Several airlines, particularly budget carriers IndiGo and Akasa, have introduced new routes and increased their flight frequencies, particularly from Abu Dhabi. Airfares from Abu Dhabi to Ahmedabad (July 8-31) are priced at an unbelievable low of Dh735.
As more and more Indian expatriates opt for off-peak months to travel home due to cheaper airfares, it seems that the summer of 2023 is shaping up to be a less financially straining period for those planning to visit India from the UAE.
- The current drop in airfares from the UAE to major Indian cities, such as Mumbai and Thiruvananthapuram, may encourage more travelers to explore news and lifestyle opportunities in India during the summer.
- The travel industry, particularly the business sector, could benefit from the affordable airfares between the UAE and India, as more people might take advantage of this opportunity to pursue both personal and professional endeavors.
- Finance journalists might find it interesting to analyze the impact of the price drop on the financial health of airlines operating between the UAE and India, given the increase in travel and the resulting revenue.