Cheap Tasman fare stays

Press, Volume CXIV, Issue 33478, 8 March 1974, Page 1

Cheap Tasman fare stays

t.xcii Zealand Press \SSUUU((OU« WELLINGTON. March 7. Ihc neyx "epic" cheap tare for lasman air Hights would not be affected by two sets ol international air fare price rises that had occurred this I year, the Minister of Cixil Aviation (Dr Finlay) said today.

He summarised the ellect of fare changes since the beginning of the year as: ! World fares generally—up (13.4 per cent. South Pacific-North American fares — up 11.3 per cent Japan-New Zealand fares I —up 9.2 per cent. Tasman "epic” fairs — no

change. The new “epic” fare ap plies from April I this ye:r. Dr Finlay said that this (would stay unchanged at ■least until another cost anal.lysis was completed by the ([airlines later this year. The result was that those Travelling by the “Epic” fares [would be travelling at a rate unmatched elsewhere in the •world. Another crumb of comfort • was that those travelling (overseas this month might not need to pay the second part of the fare increase,.

a Provided that the tares wet - ; paid by March 2 and travel is begun by April 2, the second increase (which is 7 pci cent ■ or. most routes) will not be ' applied. Dr Finlay said that the laie ..increases were designed to ■ overcome ih>- added price of luel. The first, applying from ' January I. generally added ■» per cent io fares, and the second, applying on March ’■ 15. generally adds 7 per ' cent. This adds up to a com pound increase of 13.4 pel ’ cent. But there were exceptions In the case of the first in(crease, operators in the Pau ’ fic agreed to limit the u (crease generally to 4 per cent and to absorb extra costs In the second case, serviceJ into Australia (but not out ol ’(it) are to be increased b‘. (only 3 per cent, and there an reduced increases on air tare, ■(to and from Japan. Dr Finlay said of the in creases; “This is not good news for the New Zealand traveller, nor is it going io help our tourist drive. But (Air New Zealand has agreed I io absorb some of the heaw ‘added costs caused by fuel price rises here and overseas.