Kuwait Airlines were among the first carriers operating out of Dubai to raise fares as they increased ticket prices to Delhi by Dh100 today – despite new rises in insurance premiums.

The rise from Dh550, for a single ticket, to Dh650, and from Dh1,200 for a return journey to Dh1,300 is also non-inclusive of tax or insurance premiums, which have risen since the terrorist attacks on the U.S. early last month.

Salim Shaikh, Kuwait Airlines Sales Manager for Dubai and Northern Emirates, said the price rise was not due to low load factors – but seasonal changes in anticipation of the Indian religious festival, Diwali.

"Considering the international situation with travel, loads have gone down and I would estimate that we have seen a 20 per cent drop – which is quite substantial.

"However, this is the low season, and low loads are expected – so we won't really be able to make a full assessment of the changes until high season kicks in. Only then will be able to make a sound judgement on passenger losses because we'll really feel the pinch."

He added that carriers not operating direct routes would be charging passengers extra insurance premium costs.

"Basically, on every sector an extra Dh20 is being charged – so for a single ticket to Kuwait – the charge would only be Dh20. However, if the passenger wants to travel from Dubai, via Kuwait and on to Delhi, the charge will be Dh40. For a return ticket, that will be doubled to Dh80."

Shaikh said indirect carriers from the UAE would be subject to charging higher premiums because of flights being directed through home bases.

"The direct carriers are better off because they will only have to charge for one sector each way, whereas we will be forced to charge double.

Other carriers adopting the Dh20 surcharge per sector are Emirates, Egypt Air, Gulf Air and Air India. Lufthansa has increased its fares by Dh30 for one-way flights, and Dh60 for return journeys.

Airline experts said both UAE inbound and outbound traffic had been affected by 15 to 20 per cent across the board since September 11.