One of the country's top private air-carrier, Kingfisher Airlines has announced that it would effect fare cut across its network from January 1.

In a press release, Kingfisher Airlines chairman Vijaya Mallya said, “Kingfisher Airlines will begin the New Year on an aggressive note by slashing fares on its network.”

However, Mallya did not state the quantum by which fares would come down.

The company chairman further pointed out that the low prices of Air Turbine Fuel (ATF) allows Kingfisher to follow an opportunity to considerably amplify market share by offering the fine five-star flying experience at reduced fares.

The company had earlier made it clear that it would effect fare cut only after the government classifies ATF in the Declared Goods category.

It may be here recalled that another private airline, Jet Airways, had also taken a similar decision on the issue.

The airlines across the board are demanding from the government to classify ATF in the declared goods category.

It is learnt that, Air India (domestic) would also announce a `sizable' reduction in first week of January as the aviation ministry has specifically asked it not to do a cosmetic farecut job.

Apart from Kingfisher and Air India, other air carriers like SpiceJet and Indigo has already reduced fuel surcharge on all domestic flights, resulting in the air fares dropping by up to Rs 400.