Travelers hoping to reunite with family for Diwali this year are suffering sticker shock in New Delhi and other Indian metros as domestic airfares and last-minute train tickets soar well beyond off-season levels. Seat prices that hover around ₹4,500 during Eid are now appearing at nearly three times that figure, and the sudden surge is reviving perennial questions about whether Indian regulators should step in during major festivals.
The scale of the Diwali airfare surge
Screenshots circulating on travel forums this week show one-hour flights on busy trunk routes listed at ₹13,500. For many travelers, that is more than they usually pay for a round-trip to neighboring countries on low-cost carriers. Rail passengers, meanwhile, say Premium Tatkal berths, traditionally a safety net for late bookers, have spiked to ₹6,000—roughly the price of some international budget fares out of India. Industry analysts note that the country’s dynamic pricing model allows carriers and Indian Railways to raise fares steeply when demand peaks. The Diwali holiday, which falls on November 12 this year, drives one of the largest annual migrations within India, filling planes and trains days in advance. Government officials have previously argued that fares settle to “market-determined” levels once capacity additions and cancellations play out, but the current numbers are making that argument a hard sell for many families.
Why Eid and Diwali tell different price stories
Domestic fares during the Eid-al-Fitr holiday in April averaged around ₹4,500 on the same city pairs that now show seats for ₹13,500. Airlines say the October-November window typically combines festival traffic with the start of the winter tourist season, shrinking the inventory of discount seats. Consumer groups, however, contend that the absolute gap—almost ₹9,000 between Eid and Diwali—reflects aggressive yield management rather than mere seasonal demand.
Regulators under pressure
The Directorate General of Civil Aviation (DGCA) has authority to seek fare data from carriers but rarely caps prices outside of emergency evacuations. Civil aviation ministry officials have previously stated that “banded pricing,” a system that limits the highest fare on any sector, was scrapped in August 2022 to foster competition. Critics counter that removing those caps has left festival travelers at the mercy of algorithms designed to maximize revenue on emotionally significant dates. Rail passengers voice similar frustration. Indian Railways introduced the Premium Tatkal quota promising “flexible” pricing, yet the quota can treble the base fare overnight. Social media complaints argue that the mechanism punishes lower-income riders who lack the digital tools or cash to book weeks in advance.
What this means for holiday planners
With the Diwali airfare surge showing no sign of easing, experienced travelers are turning to lesser-known airports, red-eye departures or circuitous rail-and-road combinations to remain within budget. Below are a few tactics that frequent flyers and rail veterans say can shave thousands of rupees off a holiday trip.
- Book 40-45 days out: Historically, the cheapest domestic fares surface five to six weeks before travel dates. After that window, fares climb steeply.
- Watch alternate airports: Flying to Pune instead of Mumbai or to Kannur instead of Kozhikode can sometimes cut the fare in half, even after adding a cab ride.
- Mix modes: Pairing a low-cost flight to a secondary city with a sleeper-class train on the last leg often beats nonstop airfare.
- Leverage loyalty: Redeeming miles on festival dates can deliver better value than cash tickets, since award charts are static while cash fares float.
- Use fare alerts: Smartphone apps that track route-specific drops sometimes flag short-lived sales released when airlines add capacity.
Calls for policy rethink grow louder
Consumer advocates say the pattern of festival-season spikes warrants a formal investigation. The Federation of Indian Pilots last year urged the government to publish real-time fare indices so travelers know where a quoted price sits within its historical range. Lawmakers from multiple parties have also floated the idea of reinstating upper-fare bands at least during national holidays. “In many countries, regulators intervene during peak cultural events to protect consumers,” travel economist R. Kannan said during a panel at the India International Center. “India could begin by demanding greater transparency in algorithmic pricing.”
Could more seats be the solution?
Airlines argue that the fastest way to lower prices is to increase supply. IndiGo and Air India have each announced double-digit capacity growth plans for 2024, while newer entrants such as Akasa Air continue to expand fleets. Yet aircraft shortages linked to engine recalls have hampered near-term additions. Until more seats actually fly, travelers may not feel the benefit. Railways face their own constraints: tracks into major hubs like New Delhi, Kolkata and Mumbai already run near maximum utilization during festival weeks. New Vande Bharat Express sets add prestige, but passenger bodies argue that affordable unreserved and sleeper capacity should grow in parallel.
Tips for travelers facing the Diwali airfare surge
- Check charter options: Corporates occasionally release unsold blocks on holiday charter flights at the last minute.
- Monitor cancellation windows: As corporate travelers firm up plans, premium fares sometimes drop 48-72 hours before departure.
- Explore state-run buses: Deluxe inter-state buses offer reclining seats and night departures at a fraction of air costs for journeys under 800 km.
- Travel off-peak: Departing on Diwali day itself can be cheaper than leaving one or two days prior.
What’s next?
Parliament’s winter session is expected to see fresh questions on fare practices, but any binding action appears unlikely before the 2024 general election cycle begins. Until then, Indian holidaymakers may need to budget for what has effectively become “surge pricing season.” For now, families planning to light diyas together must weigh the emotional value of a reunion against air and rail tickets that can cost an entire week’s salary. As one flier posted on a New Delhi travel forum, “In India, sentiment is the most expensive add-on.”
