AIR INDIA GROUP ANNOUNCES REVISIONS TO FUEL SURCHARGE AMID SHARP RISE IN GLOBAL JET FUEL PRICES

GURUGRAM : 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):

FUEL SURCHARGE PER PASSENGER, PER SECTOR

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

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.