The Airlines Association of Thailand (AAT) has responded to the government’s call for air fare reductions by agreeing to launch promotional campaigns, offering domestic air fare discounts of up to 20% from January.

Informed airline sources said that the seven founding members of the AAT recently held a meeting to discuss air fare reductions, to encourage more people to travel by air while promoting local tourism.

To help absorb some of the operational costs of domestic airlines, the Thai Finance Ministry recently decided to reduce the excise tax on aviation fuel.

It is reported that businesses in Phuket asked domestic airlines to increase flights during the festive season, to cope with an increasing number of passengers. They also asked the government to persuade the airlines to cut the airfares which, they claim, are unrealistically high.

The AAT was established early this year by Bangkok Airways, Thai Air Asia, Thai Air Asia X, Thai Smile Airways, Nok Air, Thai Lion Air and Thai Vietjet.