Demand, fuel surcharges drive up flight costs
Flights and vacations overseas are substantially more expensive this summer compared to last, says Ronen Carasso, VP marketing of Issta. Prices are at least 8 percent higher this year, and for destinations including the United States, prices are up 20 percent, he says. An investigation by TheMarker reveals that plane tickets with commercial airlines are 10-20 percent more expensive this year. This is mainly due to higher fuel surcharges and increases in demand. El Al, for instance, raised its prices for the second time in two months on July 2. Ticket for short flights, such as to Turkey and Europe, are $10 more, and longer flights, to destinations including North America, South America and the Far East, are $20 more. This follows a $10 to $30 hike in April, and is coupled with El Al's summer surcharge of 4 percent to particular destinations. An economy class ticket to New York started at $1,074 this past May, as opposed to $1,033 in 2006. A ticket to Bangkok, which cost $1082 in 2006, was up to $1,125 this May.