Domestic airlines forced to raise prices

May 13, 2011 | 22:08

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A number of domestic airlines have announced that they would increase their fares shortly after the Ministry of Finance (MoF) issued new ceiling prices for economy air fares on domestic routes.

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Top carrier Vietnam Airlines will raise its domestic air fares over six routes starting from next week. New prices for one-way fares on the Hanoi - HCM City route will increase from VND1.05 million ($50.7) to VND2.227 million ($107.6), excluding value-added tax (VAT).

Despite increasing its fares, the corporation offered additional fare types which would be lower than MoF ceiling prices by up to 50 per cent.

According to the Vietnam Airlines website, its new diversified and flexible air fares would help satisfy passenger demands.

Jetstar Pacific and Air Mekong both announced their own new domestic air fares in response to the MoF's new ceiling price decision which took effective on April 27.

Jetstar's cheapest one-way fare will be VND850,000 ($40.47) while the most expensive fare will cost you VND2.45 million ($116.6) on the Hanoi-HCM City route.

Air Mekong revealed its own new air fares online with a non-stop one-way ceiling fare of $2.7 million ($128.57) on the Hanoi-Phu Quoc route.

Yesterday and today the airline has offered its passengers an additional 40 per cent discount on flights to Phu Quoc from Hanoi as long as return dates fell on or before the coming weekend. Round-trip ticket fare for the route is currently listed at VND3.4 million ($161.9).

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