Air India Group announces revisions to fuel surcharge

GURUGRAM, 07 April 2026:

Air India group today announced further revisions to its fuel surcharge structure across domestic and international routes.
A. Fuel Surcharge on Domestic India Routes
Following the Ministry of Petroleum & Natural Gas’ and Ministry of Civil Aviation’s decision to cap domestic Aviation Turbine Fuel(ATF) price hike at 25%, Air India group is reflecting this calibrated approach, transitioning from a flat domestic surcharge to a distance‑based grid as follows, effective 08 April 2026 (including on Air India Express flights):

A: FUEL SURCHARGE PER PASSENGER, PER SECTOR

Distance Band (km)             Revised Fuel Surcharge                       Effective From

0–500                                         INR 299                                         0901 Hrs IST of 08 April 2026

501–1000                                   INR 399
1001–1500                                 INR 549
1501–2000                                INR 749
2000+                                         INR 899

B. Fuel Surcharge on International Routes

At the same time, in the absence of any such mitigations on international ATF prices, the Air India group will be implementing more significant changes to fuel surcharges as below.
According to the latest data published by the International Air Transport Association (IATA), the global average jet fuel price rose to USD 195.19 per barrel for the week ending 27 March 2026, up from USD 99.40 at the end of February, recording a surge of close to 100%. ATF, produced by refining crude oil, has seen simultaneous increases in both its crude oil component as well as the refinery margin, known as ‘crack spread’, with the latter having nearly tripled within three weeks. It increased from USD 27.83 per barrel for the week ending 27 February to USD 81.44 for the week ending 27 March. This steep rise compounds the impact of rising crude oil prices, creating one of the most challenging fuel cost environments that airlines globally have faced in recent years.

The fuel surcharges on international routes do not compensate for the exponential increase in jet fuel prices for international flights. Air India continues to absorb a significant portion of this increased cost.

FUEL SURCHARGE PER PASSENGER,PER SECTOR – BY REGION

Region                                Revised Fuel Surcharge                      Effective From

SAARC
(excluding Bangladesh)             USD 24                                  0901 Hrs IST of 08 April 2026

West Asia/Middle East              USD 50

China and Southeast Asia
(excluding Singapore)                 USD 100
Singapore                                      USD 60
Africa                                             USD 130

Europe
(including the United Kingdom) USD 205                             0001 Hrs IST of 10 April 2026

North America                             USD 280
Australia                                        USD 280

Revisions to fuel surcharge on flights to and from Bangladesh and Far East destinations, namely Japan, Hong Kong, and South Korea, will be advised in due course subject to the requisite regulatory approvals.

For the avoidance of doubt, tickets that have already been issued prior to the above times will not attract the new surcharge unless customers seek date or itinerary changes that require a recalculation of the fare.

Air India will review its surcharges periodically and make appropriate adjustments as the situation requires.

FOREWORD

Dear Reader’s,

 

The current edition of Aviation World has covered many areas of Aerospace & Defence based on the latest development in the sector. The front cover highlights three different images, first for the Union Civil Aviation Minister ….. who is leading from the front to steer Indian Civil Aviation sector to witness one of the most interesting phases. He is also facing most tumultuous timing due to the ongoing financial stress in the Aviation sector due to ATF rising cost and long airspace restrictions resulting in mounting losses for Indian carriers. Despite of all the ground level challenges,the minister is addressing new things on regular basis which keeps the sector motivated. We have featured many such developmental works in this edition done under his guidance which will be interesting to read.

Our lead story on “ The West War” is another important feature which covers the ground level reality of the challenges faced by the Aviation sector. Its though time ahead and we believe it will pass soon .

There are features on Regional connectivity and MoCA revised rules on the UDAN 2.0 and how its going to transform the flying experience within India.

In this edition, we have covered topics on MRO,Various Policy changes,Sea Plane Operations by SkyHop Aviation, TATA-Airbus joint project on C295 military aircraft under Make In India which is expected to roll out soon and many other interesting contents which will be good to read.

We are covering Farnborough International Airshow 2026 from 20-24July 2026 in London and our next edition will be based on the same event.For features, you may contact our team on priority basis.

 

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