Domestic flights resumed on May 25 after being shut for almost two months due to the Covid lockdown.Civil aviation minister Hardeep Singh Puri on Thursday said the ceiling cost on air travels was an immediate measure to prevent a tariff war between airlines.Stocks of SpiceJet and InterGlobe Aviation rose on the stock market on Friday, on the back of the Union government's choice to increase the upper and lower cap on airfare by as much as 30 percent.

Throughout inter-day trade, SpiceJet rose 7 percent to a high of Rs 94 per share, while IndiGo shares went up to 4.7 per cent on the BSE to strike an intra-day high of Rs 1,704 per share.The civil air travel minister modified the fare rate band on flights with 90 to 120 minutes of duration to Rs 3,900, up from Rs 3,500 earlier.

The cap on optimum chargeable fare was raised to Rs 13,000 from Rs 10,000.

Airline companies' management stated although the Directorate General of Civil Aviation (DGCA) had increased the upper and lower rate cap on air tickets, it might be tough for them to hike fares as need is still on shaky ground and only suitable to a particular paths, primarily in Tier-II and Tier-III routes.Weekly typical everyday fliers stood at 2.48 lakh in the week ended February 6 compared to 2.42 lakh fliers for the week ended January 30.

The number has actually increased from 38,000 to 2.5 lakh in the very first 35 weeks after the lockdown, partially to 2,215 in the week ended February 6 from 2,211 in the week ended January 30.

After being non-operational for nearly two months due to the Covid lockdown, domestic flights resumed on Might 25.

The cap on airline capacity, currently at 80 percent of the pre-Covid levels, has been extended till March 31.