Low-cost carrier SpiceJet’s chairman and managing director Ajay Singh on Thursday said that ongoing troubles with Go First will have a temporary effect on airfares.
The sudden cancellation of flights by Go First has put pressure on already high airfares.
Singh told FE: “They (fares) will go up temporarily. But as we have seen in the past, these are temporary phenomena and capacity comes in quite rapidly to fill the demand and fares go back to normal.”
According to Singh, any failure of an airline is bad for the industry and the overall impact of this development will be negative for the sector.
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“But it’s a very resilient industry. We hope that Go First is able to resolve their problems and come back soon, I am confident that the rest of the industry will also make sure that passengers are not inconvenienced for a long period of time, that capacity will increase to fill up the demand and that the growth in the aviation sector will continue.”