A market share battle in the aviation industry will see price used as a tool to attract customers to Fiji.
Budget airline V Australia is to commence flights to Nadi with a 185 US dollar fare.
National carrier Air Pacific immediately matched the fare.
The Fiji Times quotes Air Pacific managing director John Campbell saying the new fare would be applicable in the low season - predominantly late January, February and March.
Mr Campbell says they would not reveal their plans to counter V Australia's offer.
He said the airline expected to carry around 70,000 people on its international flights for this month alone.