New Zealand domestic travel price expected to soar

16:04, August 17, 2010      

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Domestic travel in New Zealand is expected to become significantly more expensive after Pacific Blue announced its exit from New Zealand domestic market, according to local media Tuesday.

The airline will be stopping all domestic flights by October and will instead concentrate on trans-Tasman services.

Consumer New Zealand's chief executive, Sue Chetwin, said on Tuesday that the travelers should start looking out for cheap domestic fares now as she predicted that there will be fewer deals by the end of the year.

Peter Chin, mayor of New Zealand South Island's southern city of Dunedin, told Radio New Zealand that his city will be disadvantaged by Pacific Blue's withdrawal but is optimistic that a review of domestic destinations will mean that Qantas-subsidiary Jetstar will begin to schedule flights in Dunedin.

Jetstar said that it plans to increase it's New Zealand operations and will add two extra A320 aircrafts to its fleet.

Air New Zealand now has 85 percent share of New Zealand's domestic market.



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