Indians planning overseas holidays this summer are facing sharply higher travel costs as airfares to Southeast Asian destinations surge amid strong demand, airline capacity shortages and rising fuel costs linked to tensions in West Asia, according to media reports.
Travel industry estimates suggest airfares to destinations such as Thailand, Malaysia, Vietnam, Singapore and Sri Lanka have risen by 25% to 30% compared with February levels.
Travel industry officials said many Indian tourists were avoiding West Asian destinations such as Dubai and Abu Dhabi because of regional tensions linked to the US-Iran conflict.
Industry sources said airlines had not significantly increased seat capacity on Southeast Asian routes despite rising seasonal demand. They added that fuel surcharges introduced by carriers to offset higher aviation fuel costs had sharply increased overall ticket prices.
The shift in travel demand has also pushed up hotel prices across Southeast Asia. Hospitality sector executives said bookings from Indian travellers had increased strongly compared with last year, while room rates for May and June were trending 8% to 12% higher year-on-year.
According to travel market estimates, fuel surcharges now account for as much as 30% to 50% of ticket prices on several Southeast Asian routes. Airlines operating international services from India have revised surcharges upwards in recent months, citing sharply higher aviation turbine fuel costs.
Direct return fares between Delhi and destinations such as Bangkok and Kuala Lumpur have risen steeply ahead of the peak summer holiday season.
Aviation analysts said airlines continue to face cost pressures despite the fare increases, warning that ticket prices could rise further if fuel prices remain elevated and travel demand stays strong, as per media reports.



