Air India on Wednesday (June 16) introduced a new “Basic” fare category for domestic economy class travellers, offering a lower-cost, unbundled ticket option that excludes complimentary meals while retaining baggage allowance and limited onboard services, the airline said.

The new fare, currently being trialled on select domestic routes, is part of Air India’s broader strategy to expand its branded fare families and provide passengers with greater pricing flexibility and choice.

The “Basic” fare sits below the airline’s existing Value, Classic, and Flex fare tiers, which were introduced in 2024 as part of a wider overhaul of its customer offering.

Under the new structure, basic fare passengers will receive a 15 kg checked baggage allowance, a 7 kg allowance for cabin baggage, and complimentary tea or coffee service. However, complimentary meals will not be included as part of the ticket price.

Air India said the new option is aimed at “value-conscious” travellers who prefer to pay only for services they use, while still retaining access to optional add-ons such as pre-booked meals.

“The introduction of basic fare reflects Air India’s pro-consumer approach, recognising that different travellers have different preferences,” the airline said in its statement. “By unbundling certain services, Air India is enabling price-conscious travellers to pay only for what they need.”

Passengers opting for the basic fare will be able to pre-purchase meals up to 24 hours before departure, with options including vegetarian, non-vegetarian, Jain, and diabetic meals. In cases of schedule disruption or re-accommodation, pre-booked meals will be transferred to alternate flights or refunded if unavailable.

The airline said the fare is currently available only through its direct booking channels, including its website, mobile application, contact center, and airport ticketing offices. It will remain in a pilot phase, with customer response determining whether it is expanded more widely.

Aviation analysts say the move aligns with a global industry trend toward fare segmentation, as airlines seek to attract budget-sensitive passengers while preserving higher-yield premium offerings.

The introduction of the basic fare does not affect Air India’s existing domestic fare families, which continue to include bundled services such as complimentary meals and additional benefits at higher price points.

Air India, which is undergoing a broader transformation under the Tata Group, said the initiative is part of its ongoing efforts to improve transparency, flexibility, and customer choice in its domestic network.

Source: PR