NITN | @notintownlive | 11 Mar 2026, 06:49 am
Air India fares are expected to rise amid a spike in fuel surcharges. Photo: Wikimedia Commons.
Air India on Tuesday announced a phased increase in fuel surcharges across its domestic and international network, citing a sharp rise in aviation fuel prices triggered by the ongoing conflict between Iran and the United States in the Middle East.
The airline said the surcharge hike would be implemented in three stages and described the move as unavoidable due to factors beyond its control. Air India warned that without revising fuel surcharges, some flights could become commercially unviable.
“Absent such fuel surcharges, it is likely that some flights would be unable to cover operating costs and would have to be cancelled,” the airline said in a statement.
Under the revised structure, fuel surcharges for flights to the Middle East will be set at $10. For routes to Africa, the surcharge will rise by $30 to $90, while flights to Southeast Asia will see an increase of $20 to $60.
Air India hikes Fuel Surcharge. Air India appears to be the first mover this cycle. IndiGo is the one to watch given it holds over 60% domestic market share, any surcharge announcement from them would have the widest passenger impact. SpiceJet and Akasa Air have not yet followed… pic.twitter.com/awavRFoxRY
— P. Kumaran (@Kumaran_TVK) March 10, 2026
The airline said the surcharge levels will be reviewed periodically and adjusted depending on how the situation evolves.
However, Air India Express, the Tata Group-owned airline’s low-cost subsidiary, will not introduce fuel surcharges for now, which may provide some relief to passengers.
Air India also pointed out that aviation turbine fuel (ATF), which accounts for nearly 40 per cent of an airline’s operating costs, has seen a sharp price surge since early March due to supply disruptions.
“In India, the impact is further amplified by high excise duty and VAT on ATF in major metro cities such as Delhi and Mumbai, placing significant pressure on airline operating economics,” the airline said.
Jet fuel is among the most volatile costs for airlines, and Indian carriers are particularly vulnerable to global oil price fluctuations as the country imports most of its crude oil.
- Akasa Air to Begin Operations from Noida International Airport with Daily Flights to Bengaluru and Navi Mumbai
- IndiGo Launches ‘Great Connections Fest’ With Discounted Domestic and International Fares
- Kids on Board? Air India's 'Cloud Chasers' Promises a New Experience
- German airports warn of massive flight cuts amid fuel shortage
- Lufthansa Turns Munich Layovers Into Extended City Breaks for Singapore and U.S. Travellers
- Air India Unveils Points Fest to Mark 100 Maharaja Club Partnerships
- Spirit Airlines Halts Operations as Fuel Costs Soar Amid Middle East Crisis
- IndiGo Launches Direct Chennai–Réunion Island Flights, Boosting Connectivity in the Indian Ocean
- Fuel crisis hits skies: Lufthansa cancels 20,000 flights amid Iran tensions
- Planning to Fly with Your Pets? Etihad Airways Rolls Out Special Offer on Pets Onboard Service
Akasa Air is set to begin operations from Noida International Airport, with direct daily flights to Bengaluru and Navi Mumbai from June 16, 2026, the airline said.
IndiGo has launched its ‘Great Connections Fest’, offering discounted fares on connecting flights across its domestic and international network for a limited booking period.
Air India, the Tata Group-owned airline major, has announced the launch of Cloud Chasers, a comprehensive new programme aimed at enhancing the travel experience for families and young flyers.
