Indian airlines warn Centre of flight cancellations over fuel crisis amid West Asia conflict
Indian airlines, represented by the Federation of Indian Airlines, have warned the central government of potential flight cancellations due to a sharp rise in aviation turbine fuel (ATF) prices amid the West Asia conflict. The surge in fuel costs, coupled with airspace restrictions and a weakened rupee, has made international operations unviable, pushing fuel expenses to 55–60% of operating costs. The FIA has urged the government to reinstate a transparent pricing mechanism, defer excise duty, and reduce state VAT on jet fuel. The government had previously intervened to limit domestic ATF price hikes, but international operations absorbed the full increase.
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Indian airlines warn Centre of flight cancellations over fuel crisis amid West Asia conflictThe Federation of Indian Airlines said the April pricing had already made international operations unviable and resulted in significant losses.Published on: Apr 29, 2026 6:48 AM ISTBy Neha LM TripathiShare viaCopy link The Federation of Indian Airlines (FIA), representing Air India, IndiGo and SpiceJet, has warned the government of flight cancellations and said the airline industry is on the verge of “stopping operations” due to the surge in aviation turbine fuel (ATF) prices, in a letter dated April 26 seeking urgent government intervention ahead of the next ATF revision on May 1.
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