UAE travellers become more selective amid high summer airfares, regional turbulence

Dubai: Flight operations have largely stabilised across the Middle East, but many UAE residents are continuing to postpone their holidays as high airfares, uncertainty over regional tensions and economic pressures weigh on travel demand, according to travel agents.

While airlines continue to operate across the region, travel professionals told Gulf News that demand for leisure bookings have softened.

Travellers with confirmed plans and tickets are going ahead with their holiday plans. Unfortunately, high airfares are making last-minute travel unaffordable.

The ones booking last-minute tickets are travellers flying only for emergency family visits or visa-change-related travel, which is driving much of the current demand, say travel agents.

Ali Hassan, from Europe Tours and Travels, said the travel market has yet to recover following the latest escalation in regional tensions.

"Emergency travelling is the priority," he said, adding that demand remains lower than the same period last year.

According to Hassan, holiday bookings have been discouraged by high airfares, with a family of four paying between Dh8,000 and Dh10,000 for airline tickets alone on some routes.

He said travel demand had started improving towards the end of June before a second escalation in regional tensions led to softening in bookings

Instead, he said, visit visas and visa-change travel have become some of the industry's biggest revenue sources. Salalah remains one of the few destinations seeing sustained demand, although Hassan said many UAE residents are choosing to drive there rather than fly.

TP Sudheesh, from Deira Tours and Travels, said airfares are unlikely to fall soon. He said passengers remain cautious about travelling through the Middle East, while many international airlines continue to adjust operations, increasing pressure on available capacity.

According to Sudheesh, high oil prices (which hit highs of $100 per barrel) and operational costs mean airlines have little incentive to reduce fares, particularly with strong return travel expected before schools reopen in late August.

"Fare reduction is not going to happen any time soon," he said.

He expects prices to begin easing only around the third week of September, once the peak back-to-school travel period ends and airline schedules stabilise.

Sudheesh also said consistent regional stability would be needed before airlines regain confidence in expanding services and reviewing pricing. Average Economy fares to most popular destinations are 30 to 40 per cent higher than off-peak fares for travel from August 1 to 8.

Outbound fares usually drop during this time as peak outbound summer travel subsides. To India, fares range from Dh1,360 (Delhi) to Dh2,088 (Kochi). South sector fares are much higher compared to the rest of the country. Direct Economy fares to London are priced at Dh2,885 and Dh4,210 to Paris. South East Asia fares are in the Dh4,800 (Bangkok) to Dh,305 (Manila) range.

Several countries, including the UK, US, and European nations, continue to warn travellers about possible disruptions due to regional security concerns. Moreover, international airlines, including Air France, KLM, and Lufthansa have extended their flight cancellations to the UAE.

Sapna Aidasani said many expatriate families are also changing the way they holiday rather than giving up travel altogether.

Instead of flying directly from Dubai to popular leisure destinations such as Thailand or Malaysia, many are first travelling to their home countries, particularly India, before continuing their holidays from there, where airfares are often significantly cheaper.

She cited the example of a one-way flight from Mumbai to Thailand costing far less than flying directly from Dubai.

Many families, she said, return to India for the summer, with one family member travelling back to the UAE for work before rejoining relatives later or completing the holiday separately.

Business travel, however, has remained steady, while flight disruptions have been limited despite operational challenges in some markets.

While flight operations at UAE airports remain largely normal, airlines are continuing to adjust select services based on operational and security considerations. Flights to Kuwait, Bahrain, and Saudi Arabia from UAE were severely disrupted as US-Iran war intensified.