Full service carrier Air India intends to offer meal choice on its flights on domestic routes and international flights that last up to two hours. It is likely to happen in the coming one or two months.

Offering meal choices will lead to a reduction of up to 250 rupees per traveler. This decision follows rising costs and declining revenues. Rising costs and falling revenues are attributed to the ongoing war in West Asia.

In addition, Air India is considering offering lounge access separately to business class passengers. This implies that those without access to the lounge will benefit from reduced ticket fares. Lounge access at metro airports costs around ₹1,100 to ₹1,400 per person, while in smaller cities it ranges from ₹600 to ₹700.

On average, a passenger spends around ₹1,000. Many business class passengers avoid lounge access due to time constraints. Therefore, excluding this facility could reduce their ticket prices.

According to reports, Air India has included meals in its tickets since its inception. However, rising aviation turbine fuel prices and the weakening rupee are making tickets more expensive. In a price-sensitive market like India, higher fares could lead passengers to choose train or road travel.

This is why the airline is considering such changes. Many airlines globally have already discontinued such facilities. The gap between full-service and low-cost airlines is gradually narrowing.

Air India Group plans to transfer its new narrow-body aircraft to Air India Express, which offers more seats and lower costs. It doesn't offer perks like free meals and lounges. The company is also exploring options like advertising on the back of boarding passes to boost revenue. This is already in place at Air India Express.

The war with Iran has impacted airlines worldwide. Air India suffered a loss of approximately ₹24,000 crore in the last financial year and has sought funding from its investors, Tata Sons and Singapore Airlines.