New Delhi/Mumbai, 21 Mar

The Indian government has removed temporary caps on domestic airfares that were imposed in the wake of the IndiGo flight disruptions in December last year.

The airfare caps removal will be effective from 23 March, according to an order issued by the civil aviation ministry.

The removal also comes at a time when airlines are facing significant operational disruptions in international routes due to the West Asia conflict.

In the order, the ministry also said that airlines are required to exercise pricing discipline and act responsibly.

"Airlines shall ensure that fares remain reasonable, transparent and commensurate with market conditions, and that passenger interests are not adversely impacted," it said.

The ministry also stressed that any instance of excessive or unjustified surge in fares, if observed particularly during periods of peak demand, disruptions, or exigencies, would be viewed seriously.

On a real-time basis, the ministry is monitoring the airfare trends.

According to the order, the temporary caps on domestic airfares were imposed on December 6 to contain an abnormal surge in ticket prices arising out of large-scale flight disruptions of IndiGo.

"... The prevailing situation has since stabilised, with restoration of capacity and normalisation of operations across the sector. Upon review, it has been decided that the fare cap imposed vide the aforesaid letter shall stand withdrawn with effect from 23rd March, 2026," the order said.