Air India, IndiGo and SpiceJet, which hold 95 percent of India’s aviation market, have told the government that the airline industry is the verge of “stopping operations”, the Press Trust of India reported.
The war and the near-complete closure of the Strait of Hormuz have ramped up oil prices in India, the world’s fifth-largest aviation market.
Alongside that, airspace restrictions have increased airlines’ operating costs, particularly on long-haul routes. The airlines sought a revision to Aviation Turbine Fuel (ATF) pricing, which accounts for around 40 per cent of a carrier’s operational expenses.
At the same time, the Federation of Indian Airlines (FIA) has asked the civil aviation ministry to extend a fuel pricing mechanism to both domestic and international operations. (Al Jazeera)