Photo: AFP
Airline operators in the country are seeking approval from the Ministry of Transport to hike ceiling fares on domestic routes by 50 percent during peak seasons like Tet and the summer vacations.
State-owned Vietnam Airlines and the private Jetstar Pacific and Air Mekong got approval last April for a 23 percent increase.
The carriers said they wanted to hike fares again since during the high season it was common for flights to return virtually empty in one direction.
For instance, before Tet, flights from Ho Chi Minh City to the central and northern regions are always full of people traveling back to their hometowns, while in the reverse direction, the occupancy rate is a mere 15 percent.
The situation reserves after Tet.
Pham Ngoc Minh, Vietnam Airlines CEO, said the new ceiling prices would enable the carrier to offer passengers greater choice in terms of classes of tickets.
Lai Xuan Thanh, deputy head of the Civil Aviation Authority of Vietnam, said since the airlines were in competition, it was unlikely that fares would become exorbitant.
“Air fares would go up by 15 percent,” he said.
But travel firms are concerned since their tour packages would be affected by the fare hikes.
Tran Quoc Bao, head of Saigontourist’s domestic tours department, said the company had announced prices for packages during autumn and Tet based on current fares.
“The prices would have to be adjusted, which would decrease their competitiveness compared to outbound packages, whose prices are equal or lower,” he said.
Bui Viet Thuy Tien, director of Asian Trails travel agency, expressed the same concern.
“Prices for domestic tour packages will go up and I am not sure if foreign tourists will be willing to travel to Vietnam at exorbitant prices,” she said.