THE BATTLE in the air over prices has reached new heights as Krabi complains that Thai Airways return tickets to Bangkok now top 10,000 baht.

The criticism came from Krabi Chamber of Commerce President, Phuwadit Preechanon, who said pricing was making it tough for the destination to compete.

Elsewhere in Thailand, including Phuket and Chiang Mai, where Thai recently announced large price rises, complaints about ''price-gouging'' by the national airline are growing.

AirAsia's low budget prices are changing the attitudes of travellers throughout the region but Thai Airways appears intent on stoic resistance to the challenge by pushing high fares even higher.

Phuketwan checked online and discovered Thai Airways' prices for a return flight between Bangkok and Krabi start at 8160 baht and rise to 13,100 baht for a Royal Silk ticket. AirAsia's standard price for the same journey is 4469.50 baht.

AirAsia flies the route once a day while there are three Thai Airways flights. Bring on more low cost airlines as soon as posible, say local officials, who are concerned about the damaging effect on tourism.

The entire global airline industry is undergoing dramatic change as the traditional national brand airlines seek to compete with budget airlines.

Not many are adopting the Thai Airways approach of trying to increase revenue by lifting prices. In the long term, that probably means increasing the speed with which customers turn to other, less expensive options.