What are the key factors affecting airfare prices in India

Discuss the criticism faced by the Aviation Minister over the issue of high airfares and possible reasons behind it.
The key factors affecting airfare prices in India include demand-supply dynamics, cost of aviation fuel, taxes and charges levied by the government, competition among airlines, and foreign exchange rates. Recently, the Aviation Minister faced criticism over the issue of high airfares in India. Some of the reasons behind this criticism include: 1. Inadequate capacity in airports and inadequate infrastructure which limits the number of flights thus increasing demand, 2. Imbalance between low-cost airlines and full-service carriers causing disparity in prices, 3. Constant increase in fuel prices, 4. The implementation of the regional connectivity scheme (RCS) has led to passengers having to pay extra levy to support the scheme. As a result of the criticism against the Aviation Minister, it was recommended that measures be taken to reduce the taxes and charges levied by the government on airlines, along with seeking ways to increase competition in the aviation sector.
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