Air travel likely to get costlier as jet fuel price crosses ₹2 lakh for domestic flights
Jet fuel prices in India cross ₹2 lakh per kiloliter for domestic flights, signaling likely airfare hikes as airline costs surge sharply.
New Delhi (The Uttam Hindu): Air travel in India may soon become more expensive as aviation turbine fuel (ATF) prices have surged sharply over the past month, significantly increasing airline operating costs.
According to the revised April rates issued by oil companies, jet fuel prices for domestic flights have risen by around 115 percent, while international flight fuel costs have increased by approximately 107 percent. The continuous decline of rupee value has also added further pressure on airlines.
With the new rates, jet fuel at Indira Gandhi International Airport has climbed to ₹2,07,341 per kiloliter, compared to ₹96,638 per kiloliter last month—an increase of about 114 percent.
Similar sharp increases have been recorded in other metro cities. In Mumbai, prices have jumped from ₹90,451 to ₹1,94,968 per kiloliter, marking nearly a 115 percent rise. Meanwhile, in Kolkata and Chennai, jet fuel prices have also crossed the ₹2 lakh per kiloliter mark.
For international flights, jet fuel prices have crossed $1000 per kiloliter for the first time. In Delhi, rates surged from $816 to $1690 per kiloliter, while in Kolkata they rose from $855 to $1727. During this period, the Indian rupee has weakened to record lows, crossing ₹95 against the US dollar.
In India, jet fuel accounts for nearly 40–45 percent of an airline’s total operating cost. Such a steep rise is expected to directly impact airline expenses.
Experts believe that the increased cost burden will likely be passed on to passengers, making fare hikes almost inevitable. Higher ticket prices could reduce demand, potentially forcing airlines to cut down on flight frequencies.
Airlines, already facing multiple challenges, may find the situation even more difficult. The ongoing crisis in West Asia has already increased pressure on longer flight routes, and now the record rise in jet fuel prices has added to their troubles.