Rivals unlikely to follow Emirates fares reduction

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AIR FARES: Etihad and Gulf Air say they have no plans to reduce costs of flying. (Getty Images)

Two Gulf airlines have said they have no immediate plans to follow Emirates’s lead and cut fares in response to a recent drop in fuel prices.

Etihad Airways said it was constantly reviewing its fuel costs and that fluctuating oil prices were a challenge faced by all airlines.

“Fuel remains a significant proportion of Etihad’s total costs and we continue to monitor the situation on a daily basis. The fuel surcharges vary within each market,” Tom Clarke, spokesman for UAE-based Etihad Airways said in a statement on Monday.

Gulf Air said its fuel surcharge on all flights was already extremely competitive and it had no plans to reduce the amount further.

“Gulf Air is continually reviewing its fares against market conditions and competitors. We have no plans at this stage to reduce fuel surcharges, however this week we announced a large sale on prices for our customers,” said a spokesman for Gulf Air, based in Bahrain.

Emirates announced on Sunday it had revised its fares for tickets issued in the Middle East and GCC markets to more than 20 cities to reflect the recent softening of oil prices.

In total, lower fares are being implemented on more than 30 flights to destinations in Europe, Far East and the Middle East - including popular cities such as Manila, Dhaka, Jakarta, London Gatwick, China.

No one was available to comment from Qatar Airways.

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READERS' COMMENTS

Bit of Creative PR by Emirates
Posted by James, Dubai on Tuesday 26 August 2008 at 12:30 UAE time


Emirates recently raised fares and are now announcing cuts... bit of creative PR work here to give the illusion of savings, you'll still be paying more than you were in June and more than on Gulf Air and most other competition.

Given the quality of product Emirates produce for the money they charge I am repeatedly amazed that they can fill seats.

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