Tourism and business associations reject proposed airfare price control in Peru
Associations are raising concerns over a bill approved in a first vote by Congress that would mandate the inclusion of additional services in basic airfares, potentially increasing ticket prices and harming air connectivity in Peru.
Several tourism and trade associations have voiced strong opposition to the preliminary approval of bills No. 2210 and 2956/2022-CR by the Peruvian Congress, which would allow the government to intervene in setting airline ticket prices.
According to the signatory organizations—including IATA, ALTA, AETAI, and CANATUR, among others—the measure could result in higher ticket prices and fewer choices for millions of travelers. They warn that this populist initiative, which ostensibly aims to “benefit” consumers, would ultimately undermine access to the safest mode of transport.
The proposed legislation would require airlines to include services such as seat selection and a carry-on bag of up to 10 kilograms in their basic fares, effectively eliminating the most affordable options currently selected by about 70% of travelers.
The statement emphasizes that this change “directly threatens the freedom of choice that people currently have to buy an airline ticket tailored to what they want or need.”
Between 2011 and 2019, the number of passengers transported in Peru rose from 18 million to over 40 million annually, while prices on domestic and international routes fell by nearly 40%, according to the associations. They attribute this trend to the liberalization of the fare system and a global model focused on flexibility and service customization.
The associations also raise concerns about a potential conflict with international air service agreements, including those signed with the United States, which guarantee airlines the right to set their own fares. “This situation jeopardizes international relations by disregarding previously agreed commitments,” they argue.
The joint statement criticizes the legislation’s approval in Congress without any technical discussion or consultation with relevant entities such as the Ministry of Transport and Communications (MTC) or Indecopi. It notes that Indecopi had already expressed opposition, stating that services like carry-on luggage and seat selection should be optional and charged only to those who choose them.
The associations are urging Congress and the Executive Branch to “reconsider the real and inevitably negative consequences of this decision.”
AUTOR
Contando la aviación desde marzo del año 2000. Fundador y Managing Editor de Aviacionline. Base: ROS Origen: RES
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