The Centre’s move to cap extra baggage fares and cancellation fees may lead to higher airfares as the move will impact airline’s revenue, analysts and airline executives said. “It will impact revenue in a big way,” said a top executive of a domestic airline, who didn’t want to be named. The Union government acknowledged that the proposed measures may impact the airline’s ancillary revenue. That is the reason why the airfares are so low today ,” aviation expert Dr. Anurag Jain said. “There is no doubt that the ancillary revenue of the airlines will be impacted,” Civil Aviation Minister Ashok Gajapathi Raju said.

Source: The Hindu June 11, 2016 18:00 UTC