Cheap air travel in peril in Mexico

Skyrocketing fuel prices are rocking the Mexican airline industry, leading to steep fare increases, the slashing of routes and what some analysts fear could be the end of low- cost air travel south of the border.

Experts say the current woes could lead to the disappearance of several Mexican airlines and an era of consolidation that could see just a handful of Mexico’s 14 carriers survive. At greatest risk, they say, are Mexico’s fledgling low-cost carriers, which entered the market in 2005 and had a profound effect, causing traditional airlines to lower ticket prices and bringing thousands of first-time fliers into the skies.

AtlantaJournal