Government Decides to Remove Domestic Airfare Caps from Mar 23

New Delhi/Mumbai: The government lifted temporary ceilings on domestic flights following disruptions in IndiGo flights in December last year. According to an order issued by the civil aviation ministry, the removal of air ticket caps will be effective from March 23.

The removal also comes at a time when airlines are facing significant operational disruptions on international routes due to the West Asian conflict.

The ministry also stated in the order that airlines should implement pricing discipline and act responsibly.

“Airlines will ensure that fares remain reasonable, transparent and commensurate with market conditions and that passenger interests are not adversely affected,” he said.

The Ministry also emphasized that excessive or unfair increases in wages, especially during periods when demand is intense, disruptions or obligations, will be taken seriously.

The ministry monitors airfare trends in real time.

According to the decision, temporary ceilings were imposed on domestic flight tickets on December 6 to control the abnormal increase in ticket prices resulting from IndiGo’s large-scale flight disruptions.

The order stated, “… The current situation has stabilized with the re-establishment of capacity and normalization of operations across the sector. Following the review, it has been decided to withdraw the wage cap imposed pursuant to the said letter, effective from 23 March 2026.”