Overseas air fares rise 7 per cent

Press, 15 August 1984, Page 1

Overseas air fares rise 7 per cent

PA Wellington All international airfares and cargo rates from New Zealand, except for the Cook Islands, rose 7 per cent from midnight. The Minister of Civil Aviation, Mr Prebble, said that the Government had agreed to a request by the airlines for an across-the-board increase in the rates to offset the effects of de-

valuation, he said. All tickets already issued and paid, for which confirmed reservations are held, will be accepted at the pre-devaluation level as long as there are no subsequent changes to reservations for the first outbound sector from New Zealand. The Government will hold separate talks with the Cook Islands Government over implementing a fare in-

crease. New Zealand’s bilateral aviation agreements required the country to consent to an adjustment in airline tariffs after a devaluation, Mr Prebble said. Other Governments had already made adjustments to their tariffs in response. “The increase is considerably less than the amount of

the devaluation itseit ana most airlines had felt that a greater increase was justified,” he said. “They had, however, unanimously elected to take a lesser percentage in recognition of the importance they attach to the. New Zealand marketplace. "I am pleased to say that Air New Zealand itself has been a strong advocate for restraint.”