Air India introduces basic fare category without complimentary meals

Loss-making Air India on Tuesday announced the introduction of a basic fare category for select domestic flights, wherein passengers will not receive complimentary meals, as the full-service carrier seeks ways to trim expenses amid rising operational costs.

The basic fare, introduced on a pilot basis, is entirely optional, the airline said, adding that passengers can also choose from the three other fare categories -- value, classic and flex -- that offer complimentary meals.

This is at least the first time since privatisation in January 2022 that the airline has introduced a fare category without complimentary meals for passengers.

Generally, complimentary meals onboard are part of the fares offered by full service carriers. Low cost airlines levy additional charge for in-flight meals. The three categories of value, classic and flex, which include complimentary meals, were introduced in 2024 and also have a range of bundled benefits at progressively higher price points.

The introduction of basic fare simply adds another layer of choice, particularly for price-conscious travellers who prefer a more unbundled offering, the airline said in a statement on Tuesday.

"Being trialled on select domestic routes, the Basic fare is available for travel in Economy Class and is designed for travellers who prioritise value. It includes a 15 kg checked baggage allowance, 7 kg cabin baggage allowance, complimentary beverage service (tea/coffee), while complimentary meals are not included," the airline said in a statement.

A decision on continuing with the basic fare option would be taken after assessing customer response and feedback during the pilot phase.

Airspace closures and higher fuel costs have been pushing the airline's operational costs. Against this backdrop, the carrier, which was acquired by the Tata Group over four years ago, has embarked on various cost-saving measures, including temporary reduction in flights.

Officials said the basic fare option is part of cost-cutting efforts.

Passengers opting for basic fares would have the flexibility to pre-purchase meals up to 24 hours before departure, with options including vegetarian, non-vegetarian, Jain, and diabetic meals. In the event of a schedule change or reaccommodation, pre-purchased meals will be automatically transferred to the new flight, or fully refunded if unavailable for any reason, the statement said.

Air India said the introduction of the basic fare reflects the airline's pro-consumer approach, recognising that different travellers have different preferences.

"By unbundling certain services, Air India is enabling price-conscious travellers to pay only for what they need, while preserving full-service offerings for those who value an all-inclusive experience," it added.

Air India's loss stood at more than SGD 3.56 billion (over Rs 26,700 crore) in the financial year ended March 2026, as the carrier grappled with the fallout of airspace curbs and other headwinds.

The figures were disclosed by Singapore Airlines Group in its annual financial report for 2025-26, released on May 14.

Singapore Airlines Group's net profit dropped 57 per cent to SGD 1.184 billion (nearly Rs 8,900 crore) in the fiscal ended March 2026, mainly due to the absence of a prior-year one-off accounting gain related to the Vistara merger, and Air India losses