Airlines based in the UAE are cutting fares in a bid to ensure summer traffic is not affected.
Dubai-based Emirates, the largest airline in the region, has removed a fuel surcharge on its tickets with immediate effect
“In line with the recent decrease in fuel prices, Emirates has removed its fuel surcharge on all tickets,” said Tim Clark, President Emirates Airline.
Meanwhile, Etihad Airways has launched a new sales promotion for UAE and GCC based travellers, offering return Coral Economy class air fares with up to 40 per cent discount off regular fare prices during the month of May, for travel to be completed by the end of the May.
Hareb Al Muhairi, Etihad Airways' Vice-President Sales, UAE, said: "Last week we were recognised as the Middle East's Leading Airline at the region's World Travel Awards, so we are very excited to offer these sale fares to complement the win, designed to help all our UAE based customers choose their perfect holiday or short break during May."
Emirates had introduced a new fuel surcharge on April 18, citing soaring international fuel prices. Its surcharge made an economy class ticket dearer by between Dh40 and Dh640, depending on the sector of travel.
“The removal of this surcharge reflects our longstanding commitment to our customers. We promised our customers from the outset that we would eliminate the surcharge as soon as it was commercially viable and this has now been done. We continue to closely monitor the situation.”
However, not all airlines are likely to follow suit. Travel and tourism operators are expecting an overall 15 to 20 per cent hike in air fares this summer as demand from UAE holidaymakers rises.
Riyad al-Faisal Director General of Al Majed Travel and Tourism Agency pointed out that “travelers have realised the importance of early booking to ensure the best prices and best seats on the aircraft which helps airlines to prepare well and explore the next stage in advance.”
He also noted that there are airlines which are deliberately cancelling the budget flights to take advantage of the peak travel season and compensate for the period of winter hibernation.
Al Faisal explained that the number of the budget flights has seen a drastic growth, especially in light of the growing demand by large groups of travelers in the UAE.
“Cheaper fare is the main reason behind the success of low-cost airlines,” he said, adding that competition between airlines remains very healthy and in the interest of passengers in particular and the aviation sector in the UAE in general.
Malaysia and Turkey have come out as the two most preferred destinations of the UAE vacationers and tickets to these places are expected rise by more than 10 per cent during peak summer.
Crude oil prices fell 15 per cent last week, the steepest decline in two-and-a-half years, and a barrel of crude Brent is trading around $109 this morning, down from last week’s high of over $127.
Travellers have welcomed the move by the Dubai-based airline. “Emirates is a true leader. I like their service, and now I love their prices even more,” said Ian Lewis, a sales executive with a Dubai-based IT reseller. He, like thousands of expatriates, is getting ready for his annual family trip back home during the forthcoming school holidays, and said the reduction came just in time for him.
Bindu S, another Dubai resident, said that although she tries to minimize her payouts by using her Air Miles and Skyward miles, she nevertheless was happy with the announcement.
Duleep Singh, a Sharjah resident, too is happy with the decision, and says he’d “prefer flying with Emirates than with [a low-fare] airline, especially with my family.”
The latest Emirates surcharge was valid for just three weeks. “Due to the current volatility of oil prices, Emirates is introducing a fuel surcharge to reflect the substantial recent increases in our fuel costs,” an Emirates spokesperson had said on April 18.
“Emirates has already incurred substantial costs by absorbing the recent price rises, but the surcharge gives us the ability to respond faster to market conditions, rather than a lengthier process of incorporating them into fares,” the spokesperson had said in a statement.
“The changes will also give us the ability to decrease prices quickly, where appropriate. We will review the level of the surcharge on an on-going basis, while remaining committed to providing our customers with excellent service and a strong value-for-money proposition,” the spokesperson had said.
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