Between December 2020 and May 2021, the average cost of airline tickets in Costa Rica increased 18%, a variation that is explained by the increase in fuel prices and the depreciation of the local currency.
One of the sectors with the highest contribution to the variation of the Consumer Price Index (CPI) in May was Transportation. According to the National Institute of Statistics and Census (INEC), gasoline, airline tickets and tourist packages abroad were among the main items with the greatest positive effect on the price level.
The Ministry of Foreign Affairs tenders the service of issuing air and road tickets for the fulfillment of official missions of the Secretariat of State.
El Salvador Government Purchase LP No. 02/2019:
"The service of issuing air and road tickets is required, facilitating the best routes, fares and itineraries, opportunely with quality for the fulfillment of official missions abroad of the country, for officials and employees of the Ministry of Foreign Affairs, which will be cancelled with funds of the 2019 general budget.
Charges, taxes, high fuel prices and other costs at airport terminals can represent close to 30% of the value of air tickets in countries in the region.
Airlines that operate in the Latin American region face an uncompetitive market, since in 2018 these companies are projected to earn $2.95 per passenger, a figure much lower than the $15.67 estimated in North America or $7.58 in Europe, according to representatives of the International Air Transport Association (IATA).
The Panamanian airline has presented a financial offer in cash and stock to acquire the second largest airline in the region after Latam Airlines.
The New York Times reported that the offer made by Copa Airlines consists of "... a merger that would value Avianca at more than $2 billion, or a 150 percent premium to its share price last week. [November 29]".
In five years the airline market in Central America has transformed from being a market dominated by two major airlines, to one with new entrants, lower prices and greater connectivity.
The arrival of so called "low cost" airlines to the region has resulted in a progressive reduction in the prices of tickets to fly between Central American countries. Between 2011 and 2014 the average cost without taxes for travelling between Costa Rica and El Salvador ranged from between $400 and $500, while in 2015 it costs $391.
With the entry of two competitors focusing on the business of low-cost fares, the airline market in Central America is preparing for a potential price war.
Panama has become the starting point for tourists looking to travel to the rest of Central America, where new airlines want to capitalize on a market which so far has been driven Copa Airlines and Avianca.
An announcement has been made that from January 2015 the departure tax will be included in the final ticket price.
The new measure announced by President Juan Orlando Hernandez aims to reduce the time it takes tp pay the fee in bank branches at airport terminals, as it will be included in the cost of tickets.
An announcement has been made that as of December 3rd the $29 corresponding to departure tax will be included in the final price of airline tickets.
The tax collected since 2003 by the Banco Crédito Agrícola de Cartago, starting from December will be included in the final cost of tickets, with the aim of simplifying procedures and avoiding the long lines that travelers have to make in order to pay the tax before leaving the country.
Owners of VivaColombia and the mexican VivaAerobus have announced the opening of a holding company in Panama to start operations in Central and South America.
From a statement issued by Irelandia Aviation and Grupo IAMSA:
Irelandia Aviation and Grupo IAMSA, owners of the Mexican low-cost airline VivaAerobus and of the Colombian airline, VivaColombia, announced their intention to expand the Viva airline brand in Central and South America.
The arrival of new competitors with frequencies between Colombia and Central America has generated a reduction in rates, favoring customers.
The opening of routes from Medellin and Bogota to Panama, by the airlines AirPanama and VivaColombia with fares "... up to 70% less than those offered by the subsidiary of Copa Holdings" is already generating benefits to travelers.
The government will manage 95% of the maize authorized to be imported duty free from any member country of the World Trade Organization.
"... The remaining 5% will be distributed under a "first come first served" basis until the available volume of each quota runs out," says an agreement of the Ministry of Development, Industry and Trade, as reported by Eleconomista.net.
United Airlines, American Airlines and Air Canada have also suspended the sale of tickets for international flights to Venezuela.
The international airlines American Airlines, United Airlines and Copa Airlines have decided to temporarily cancel the sale of air tickets in Venezuela. The measure was taken due to the uncertainty generated over a multi million-dollar debt the government holds with some airlines and the changes that have been made relating to foreign exchange.
Air fares rose from $1,100 to $2,500, threatening to cause a dramatic drop in the flow of tourists from Venezuela to Panama.
Speculation and distortions in the foreign exchange market have caused Venezuelan air tickets to become the subject of hoarding "resulting in there being to date no seats available to Panama for the remainder of the year."
Travel agents say that people are not buying the tickets for sightseeing, but in order to obtain dollars and that this is causing prices to soar.
The three weekly flights which were planned to run from last August by Aeromexico will start on November 4th and will depart on Mondays, Wednesdays and Fridays.
Fernando del Cid, commercial manager for Guatemala at Aeromexico confirmed that the flights will depart from Tapachula at 9:45 and arrive in Guatemala at 10:30 and will leave Guatemala at 11:30 and arrive at 12:15 in Tapachula, in a ERJ50 jet with capacity for fifty people.
As of November 11 Transportes Aéreos Guatemaltecos will be offering weekday flights bound for Tegucigalpa, San Pedro Sula and Belize.
In order to accomplish this Guatemalan Air Transport (TAG) has teamed up with the airlines CM from Honduras and Tropic Air from Belize. Jonathan Layton, president of TAG, said that "passengers will be able to go and return on the same day with these direct flights" which will arrive in the morning and return in the afternoon.