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Relief for scheduled airlines: Jet fuel prices rise 8.5%; Passengers avoided huge increase in air fares

Relief for scheduled airlines: Jet fuel prices rise 8.5%; Passengers avoided huge increase in air fares

NEW DELHI: Jet fuel prices for scheduled Indian carriers have been hiked by nearly 8.5% in April, sparing the average air traveler from big airfare hikes. The price of aviation turbine fuel (ATF) per kilo liter for scheduled airlines will now be Rs 1,04,927 in Delhi, which was Rs 96,638.14 last month. In India’s second-busiest hub, the price now stands at Rs 98,247, up from Rs 90,451.87 last month. This is a big relief for India’s stressed airlines and passengers.ATF Pricing for Non-Scheduled, Ad-hoc and Charters: Rich people traveling on non-scheduled, adhoc and charter will have to suffer a lot as jet fuel for those flights has more than doubled. For their domestic flights this increase is around 115% and for their international flights this increase is around 107%. A kilo liter (kl or 1,000 litre) of ATF for domestic flights for these operators at Delhi’s IGIA, India’s busiest aviation hub, will now cost Rs 2,07,341.22 – a 114.5% increase from last month’s Rs 96,638.14. This is the first time that their price has crossed Rs 2 lakh in Delhi, Kolkata and Chennai.ATF pricing in India has crossed the $1,000 mark for the first time for international chartered flights by Indian operators. One kilo liter of ATF for international flights will now cost $1,690.81 in Delhi, which is 107% higher than last month’s $816.91. The prices and hikes in Mumbai are almost the same. Relief for scheduled airlines: ATF for domestic flights in India is the costliest globally. Jet fuel accounted for 40%–45% of the total operating costs of scheduled airlines. A huge hike would have made Indian carriers – a handful backed by cash-rich promoters like Tata for one profitable airline (IndiGo) and Air India Group – unviable.IndiGo, Air India Group, Akasa are among the airlines that imposed or increased fuel surcharge last month which now ranges from Rs 150 to $200. The fare cap of Rs 18,000 for domestic flights was removed on March 21, 2026. Since airlines have not received any financial relief on ATF excise duty (from the Centre) or VAT (from some places like Delhi and Mumbai), they had categorically asked the government to limit the airfares if their costs can also be fixed similarly.The rupee is touching new low on a daily basis, pushing up dollar-denominated costs for Indian airlines, including fuel, for international flights. The route from the top to the west has become very long.

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