Highlights

  • IndiGo’s move will intensify competition in the market
  • Akasa's entry to make India’s low-cost carrier market crowded
  • Luggage will be charged separately

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Indigo to join Go airlines to unbundle baggage charges from air ttickets to position itself as an ultra- low cost carrier.  

After Go Airlines, Indigo may unbundle baggage charges

IndiGo airlines may unbundle their airfare prices and may soon start charging for luggage separately.

This will lead to even cheaper ticket prices as the low-cost carrier prepares for a potentially fierce price war in India's cutthroat air travel market, which is showing signs of recovery following the worst of Covid.

IndiGo’s move will intensify competition among carriers known for driving fares so low they barely, and often don’t, cover costs. Go Airlines is working on the same lines to position itself as an ultra-low-cost airline.

The crushing price wars have put many airlines out of business in what was one of the world’s fastest-growing aviation markets before the pandemic.

Prominent investor Rakesh Jhunjhunwala is also working on launching another budget carrier Akasa.

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