Aviation Turbine Fuel (ATF) prices for international airlines have been raised by more than 5% since May 1, making it the second month in a row that ATF prices have been revised upward despite domestic airlines being exempted from such changes.
The ATF price for international flights has been revised to $1,511.86 per kilolitre, up by $76.55 per kl, which is 5.33%. This price adjustment has come amid soaring crude oil prices worldwide due to geopolitical unrest in West Asia.
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Domestic airlines spared amid global volatility
Even with the increase in input costs, the price of ATF for the domestic airlines has been maintained constant. State-owned oil companies like Indian Oil Corporation stated that it was done to prevent domestic carriers and consumers from being affected by any sudden surge in prices.
An IndiGo aircraft lands at Jay Prakash Narayan International Airport ANI “Aviation turbine fuel prices for domestic airlines remained unchanged… to absorb the rise in global fuel prices,” the company said in a statement. The retail prices of petroleum products such as petrol, diesel, and domestic liquefied petroleum gas were also held constant since they constitute the majority of the use.
Calibrated pricing strategy in play
Industry sources told PTI that authorities have opted for a staggered pricing approach instead of passing on the full impact of rising crude costs in one go.
Jet fuel prices in India are deregulated and aligned with global benchmarks, but recent volatility has led to a more measured revision cycle. At the start of April, ATF prices for domestic airlines were raised sharply by 25% to ₹1,04,927.18 per kilolitre — one of the steepest hikes in recent years.
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Officials indicated that while international operations have now seen further increases, domestic aviation has been temporarily insulated to maintain stability.
Most fuel categories remain unchanged
Petroleum firms said that approximately 80% of petroleum products have not experienced any price adjustment, whereas only a small portion, mainly industrial fuels, has undergone a revision.
“Price revisions have been limited to select industrial segments… subject to routine monthly adjustments based on global benchmarks,” IndianOil said. The price revisions have been made mainly in bulk and commercial sectors such as ATF for foreign air operations, whereas kerosene under the public distribution system has remained untouched.
