Aviation turbine fuel (ATF), also known as jet fuel, has become costlier for international airlines.
State-run companies like Indian Oil Corporation increased prices by around 5% on May 1.
This is the second straight monthly hike, mainly due to rising global energy costs.
In Delhi, ATF for international carriers has gone up by $76.55 per kilolitre, taking the total price to $1,511.86 per kl.
Why Are Prices Increasing?
The main reason behind this hike is the rise in global crude oil prices.
Ongoing tensions in West Asia have pushed energy prices higher worldwide.
Since jet fuel prices are linked to international benchmarks, oil companies are passing on some of this increase.
However, instead of a sudden jump, companies are increasing prices gradually to avoid major shocks.
No Change for Domestic Airlines
While international airlines are paying more, domestic airlines have been protected for now.
Oil companies have decided not to increase ATF prices for domestic carriers.
This move is aimed at protecting airlines and passengers from rising costs.
There has also been no change in petrol, diesel, or domestic LPG prices, which affect most households.
Most Fuel Prices Remain Stable
According to oil companies, about 80% of petroleum products have seen no price change.
Around 4% of products have become cheaper, while only 16%—mostly industrial fuels—have become more expensive.
This shows that price increases are limited to specific sectors like international aviation and bulk fuel users.
A Balanced Approach to Pricing
Fuel prices in India are revised monthly based on global trends.
The current strategy is to balance two things—global price alignment and domestic stability.
By keeping everyday fuels stable and adjusting prices mainly for industrial and international use, the government and oil companies are trying to manage rising costs without heavily impacting the public.
This careful approach helps maintain economic stability while still responding to global market changes.
