Booking A Flight Soon? Major Indian Airlines Sound SOS As Soaring Fuel Prices Threaten Domestic Travel
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The situation has been worsened by the ongoing West Asia crisis, which has led to longer flight routes due to airspace restrictions and a significant rise in global oil prices.
In March, the Indian government capped the increase in ATF prices for domestic flights at INR 15 per litre. However, for international operations, prices surged significantly higher, rising by INR 73 per litre. (Image credits: Canva)
Indian domestic travellers may soon face higher airfares, reduced flight frequencies, and possible route cancellations as the country’s major airlines grapple with an acute fuel crisis.
In a recent development, major airlines including Air India, IndiGo and SpiceJet have collectively raised alarm over the escalating price of aviation turbine fuel (ATF), urging urgent government intervention.
According to a NDTV report, the Federation of Indian Airlines (FIA) representing Air India, IndiGo, and SpiceJet wrote a letter to the Ministry of Civil Aviation, saying that the aviation industry is “on the verge of stopping operations” due to unsustainable aviation turbine fuel (ATF) prices.
Airlines Warn of Operational Disruptions
ATF, which accounts for nearly 40% of an airline’s total operating costs, has seen a sharp surge in recent weeks. The situation has been worsened by the ongoing West Asia crisis, which has led to longer flight routes due to airspace restrictions and a significant rise in global oil prices. While the government had capped the domestic ATF price hike in March, the disparity between domestic and international fuel pricing has created severe financial pressure, especially on long-haul operations that indirectly support domestic networks.
What this really means for travellers is the possibility of fewer flights, disrupted schedules, and potentially higher fares as airlines attempt to offset rising costs.
Long-haul routes are expected to be the worst affected, as fuel consumption plays a larger role in their economics. Airlines have also flagged the disparity in fuel pricing between domestic and international operations as a key issue, calling for a more uniform pricing mechanism.
In March, the Indian government capped the increase in ATF prices for domestic flights at INR 15 per litre. However, for international operations, prices surged significantly higher, rising by INR 73 per litre.
A Ripple Effect on Travel
While there is no immediate shutdown, the warning signals a deeper stress within India’s aviation ecosystem. Industry experts suggest that if costs remain unchecked, airlines may be forced to rationalise routes, reduce frequency, or scale back expansion plans.
For passengers, this could translate into limited options, fluctuating ticket prices, and less flexibility in travel planning. The situation also raises concerns ahead of peak travel periods, when demand typically surges.
For domestic travellers, the implications could be significant. Frequent flyers planning summer holidays, business trips, or family visits across popular routes like Delhi–Mumbai, Bengaluru–Chennai, or Hyderabad–Kolkata may witness fewer flight options and increased fares in the coming weeks if the situation is not addressed promptly.
April 28, 2026, 20:52 IST
