Airlines seek higher fares to meet fuel costs

World airlines agreed yesterday to demand a 3 per cent rise in air fares to cover the higher cost of aviation fuel.

The International Air Transport Association, which represents 254 airlines around the globe, said members decided to apply to their governments for permission to increase their fares globally by 15 December, which would put them in place for the busy end-of-year travel period. IATA said the average price of aviation fuel has risen by 37 per cent since June, and 43 per cent since October 1995.