Domestic Airfares in Thailand Cry Foul Over Ceiling Prices

High domestic airfares in Thailand are currently causing frustration among travelers. Airfares for flights within the country have skyrocketed, putting a strain on travel budgets.  Tourists and locals alike are feeling the pinch when trying to book affordable flights for their trips.

The surge in airfare rates has made it difficult for many to plan and enjoy their travel experiences.  Travelers are now faced with the daunting task of finding ways to navigate the expensive domestic flight options available, making it challenging to travel.

Travelers are presently expressing discontentment with the exorbitant domestic airfares in Thailand. Due to the exorbitant cost of domestic transportation, travel budgets are being significantly strained. When attempting to reserve inexpensive flights for their endeavors, both tourists and locals are experiencing financial strain.

Many individuals are now unable to appreciate and organize their travels due to the abrupt increase in airfare prices.

Presently, travelers are confronted with the formidable challenge of devising strategies to traverse the prohibitively expensive domestic flight options, which hinders their ability to fully appreciate all that Thailand has to offer.

In light of the increased cost burden airlines have borne since the pandemic, Thai AirAsia maintains that ceiling prices should not be reduced despite consumer discontent with expensive domestic airfares.

Mr. Santisuk Klongchaiya, chief executive officer of Thai AirAsia, stated that airlines can assist in reducing average fares by increasing traffic during Songkran.

The individual stated that expenses related to fuel and maintenance have increased in operation costs since the pandemic, and the aircraft supply chain has not yet fully recovered to its condition in 2019.

Mr. Santisuk stated that increases in airfare are a typical occurrence during the Songkran holiday due to the heightened demand that occurs during the prime season. The capping of tariffs for each route is a regulatory function of the Civil Aviation Authority of Thailand (CAAT).

In accordance with passenger demand and seasonal variations, he stated that Thai AirAsia will maintain reasonable fares on each route.

Mr. Santisuk stated that in response to CAAT’s policy, the airline will expand passenger options to include early-morning and late-night flights in an effort to reduce average fares.

As this rule violates the principles of the free market and could potentially hinder consumer benefits from airline promotions, such as discounted airfares offered to promote new routes, he stated that the government should not impose a minimum fare on airlines.

Mr. Santisuk stated that Thai airlines will not revert to pitiful operational outcomes in the form of price warfare or the resumption of pricing strategies.

The individual expressed that the government could potentially alleviate passenger expenses by implementing a more suitable aviation fuel tax rate.

The majority of the Thai population has limited disposable income but still desires to travel, according to Ms Tansita Akrarittipirom, director of commercial operations at Thai AirAsia. As a result, low-cost airfares promotions are essential for the Thai market.

The GDP per capita in France is greater than that of Thailand, according to Ms Tansita, which could render it rational to impose a minimum price regulation on European flights.

With the addition of 60 aircraft and 23.3 million seats, Thai AirAsia aims to increase revenue by 15–2 percent this year.

In addition to its current operation of 33 domestic routes and 58 international routes to 18 nations, the airline intends to augment its fleet with three A321neo and one A320ceo aircraft.

The CAAT is evaluating a new ceiling price to make it more flexible for all airlines, according to Mr Sarun Benjanirat, deputy director-general of the organization. The price for each route will be fixed, according to Mr. Sarun, and will need to be modified in consideration of the various services offered by each airline.

He suggested incorporating variables such as the volatile cost of petroleum in order to establish a suitable rate, stating that the implementation of the new regulations is anticipated to occur during the second or third quarter.

Travel Agents Say High Airfares May Hinder Songkran 2024 Holiday

Thailand’s Travel Agents Say High Airfares May Hinder Songkran 2024 Holiday