Air fares drop 75% after govt intervention: ATAB
However, following the government’s monitoring efforts, ticket prices have dropped dramatically, with fares now available for as low as Tk48,000 to Tk50,000
The price of air tickets, particularly for flights to various destinations in Saudi Arabia, have fallen by nearly 75%, following the government's intervention and the implementation of stricter regulations, according to the Association of Travel Agents of Bangladesh (ATAB).
Between December last year and February, passengers were forced to pay exorbitant fares for tickets from Dhaka to major Saudi Arabian cities, with prices soaring to as high as Tk190,000 under group booking schemes.
However, following the government's monitoring efforts, ticket prices have dropped dramatically, with fares now available for as low as Tk48,000 to Tk50,000.
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Some airlines are even offering tickets for routes such as Dhaka to Dammam and Dhaka to Riyadh at prices as low as Tk35,000.
In a move to curb the escalating airfares and establish market discipline, the Ministry of Civil Aviation and Tourism of Bangladesh issued a directive on 11 February, mandating stricter regulations for ticket bookings.
The move aimed to improve transparency and reduce artificially inflated prices for destinations such as Jeddah, Madinah, Dammam, and Riyadh.
Under the new regulations, air tickets must now be booked with the passenger's name, passport details, and a photocopy of the passport. As a result, airlines have released previously blocked tickets, increasing seat availability in the computer reservation systems.
This has allowed passengers and travel agencies to access real-time ticket information, fostering competition among airlines and leading to lower prices.
ATAB, in a statement, praised the government's intervention, calling it a timely and necessary step to alleviate the financial burden on travellers, especially migrant workers who depend on affordable air travel.
"This initiative is beneficial not only to passengers but also to the travel industry, as it will ensure a more transparent and competitive market. We are grateful to the Ministry of Civil Aviation and Tourism for taking this decisive step," ATAB Secretary General Afsia Jannat Saleh said yesterday.
However, Afsia emphasised the need for continued government oversight.
"Strengthened monitoring and regulatory enforcement will be essential to prevent airlines from reverting to old practices," she added, noting that additional laws and regulations are also being recommended to maintain market equilibrium and protect consumers from inflated prices in the future.
In the statement, ATAB also lauded the roles of Chief Adviser Muhammad Yunus, Expatriate Welfare and Overseas Employment Adviser Asif Nazrul, Special Envoy for International Affairs Lutfey Siddique, and Civil Aviation and Tourism Secretary Begum Nasrin Jahan in addressing the air ticket pricing issue.
Earlier this year, on 26 January, ATAB had called for intervention through a press conference, urging the government to take immediate action against soaring ticket costs and market syndication.
